Solar overtakes coal as China's largest power capacity source

September 1, 2026 at 05:30 PM2 min

This digest was compiled by AI from multiple sources — links to the originals are below.

Solar power capacity in China reached 1,286 gigawatts at the end of July, surpassing coal as the country's largest electricity capacity source, according to the National Energy Administration. Solar now accounts for 31.5% of total installed power generation capacity. The milestone comes as coal's share of electricity output fell below 50% in the first half of 2026 for the first time on record.

Key Facts

Solar power capacity in China stood at 1,286 gigawatts at the end of July, exceeding coal-fired capacity of 1,275 GW.
Solar capacity accounted for 31.5% of total installed power generation capacity in China as of July 31.
Coal's share of China's electricity output fell to 49.7% in the first half of 2026, the first time below 50% on record.
Renewable energy accounted for 41.2% of China's total electricity generation in the first half of 2026, with wind and solar generating almost 25% of total power output.

Capacity Milestone

China's solar power capacity reached 1,286 GW at the end of July, surpassing coal-fired capacity of 1,275 GW, according to the National Energy Administration. Solar capacity accounted for 31.5% of total installed power generation capacity as of July 31. In July, Chinese authorities had projected that solar capacity would exceed coal-fired capacity as early as this quarter. At the end of June, solar capacity stood at 1,274 GW, just below coal's 1,275 GW.

Generation Shift

Coal's share of China's electricity output averaged 49.7% in the first half of 2026, falling below 50% for the first time on record. Electricity generation from renewable energy rose about 9% from a year earlier, according to National Energy Administration data. Renewable energy accounted for 41.2% of total electricity generation in the first half of 2026, with wind and solar combined generating almost 25% of total power output.

Grid Constraints

China continues to rely on coal for industrial power and grid reliability despite the milestone. The renewable energy boom has slowed in recent months amid policy changes, grid constraints, and rising coal-fired generation. These factors have led to soaring curtailment rates of solar and wind power generation.