In 2025, the United States electric power sector saw the lowest amount of coal-fired generating capacity retired in fifteen years, with only 2.6 gigawatts (GW) across four power plants taken offline. This figure represents a significant decrease from previous years, particularly 2022, when operators retired 13.7 GW of coal capacity, equating to approximately 6.5% of the operational coal fleet at the close of 2021. The reduced retirements in 2025 were largely a result of numerous planned closures being postponed or entirely canceled by plant operators.
Initially, coal plant operators had slated 8.5 GW of capacity for retirement at the start of 2025. However, a substantial portion of this, 4.8 GW, was subsequently delayed to future years. Furthermore, operators for two coal plants, totaling 1.1 GW, decided to cancel their retirement plans altogether. These adjustments significantly altered the landscape of coal capacity reductions for the year.
Beyond the immediate 2025 schedule, the trend of delayed retirements extended to future years as well. Operators of 1.2 GW of capacity that were slated for retirement in 2027 opted to cancel these closure plans. Additionally, one facility originally scheduled to retire in 2026 has pushed its closure date back to 2029, indicating a broader pattern of extending the operational life of existing coal plants.
The four coal-fired power plants that did retire generating units in 2025 accounted for 2.6 GW of capacity, or 1.5% of the total coal fleet operating at the end of 2024. These retirements occurred at different times throughout the year. In February, the Indian River Generating Station Unit 4 in Delaware, with a capacity of 410 megawatts (MW), was retired. This was followed in March by the retirement of Cholla Units 1 and 3 in Arizona, contributing 383 MW.
Later in the year, the Intermountain Power Project Units 1 and 2 in Utah, a significant facility with 1,800 MW of capacity, were retired in October and November. Finally, in December, Prairie Creek Unit 1 in Iowa, a smaller plant with 15 MW, was also retired, marking the last coal retirement for 2025.
The largest coal plant retired in 2025 was the Intermountain Power Project, which was managed by the Los Angeles Department of Water & Power. To partially offset the loss of this generating capacity, a new natural gas-fired combined cycle facility with a capacity of 1,017 MW was brought online at the same location in late 2025. This demonstrates a shift in energy sources at specific sites.
Several other coal-fired generating units that were initially planned for retirement in 2025 were kept operational due to emergency orders issued by the U.S. Department of Energy. Under Section 202(c) of the Federal Power Act, these orders directed specific coal plants to remain available to ensure grid reliability. This intervention prevented further reductions in coal capacity for the year.
Among the plants that received these emergency orders and were directed to continue operating were J.H. Campbell Units 1, 2, and 3 in Michigan (1,331 MW), Transalta Centralia Unit 2 in Washington (670 MW), R.M. Schahfer Units 17 and 18 in Indiana (722 MW), F.B. Culley Unit 2 in Indiana (90 MW), and Craig Unit 1 in Colorado (427 MW).
These emergency directives are typically valid for up to 90 days but can be reissued, as was the case with the J.H. Campbell facility. The continued operation of these plants was deemed necessary to maintain the stability and reliability of the electric grid during periods of potential strain.
In addition to the emergency orders, operators at three other coal-fired power plants, with a combined capacity of 2.2 GW, voluntarily decided to delay their planned retirements that were originally scheduled for 2025. These plants include Brandon Shores in Maryland, South Oak in Wisconsin, and Comanche in Colorado.
Furthermore, the operator of the Transalta Centralia Generating Station has announced plans to convert its coal-fired Unit 2 to run on natural gas instead of retiring it. This conversion project is currently slated for completion in 2028, indicating a potential transition strategy for some older coal facilities.
Looking ahead to 2026, the U.S. electric power sector currently anticipates retiring approximately 6.4 GW of coal-fired generating capacity. This planned retirement figure represents nearly 4% of the U.S. coal fleet that was operational as of the end of 2025. However, these future plans remain subject to change based on evolving regulatory decisions and various economic factors that may influence operator strategies.
