South Korea's coal consumption is expected to grow nearly 3 percent in 2016 from a year earlier, a report said Thursday, despite government efforts to cut back on coal-fired power generation to tackle growing concerns over fine dust.

According to the report by the Korea Energy Economics Institute, the country's coal consumption will likely climb 2.7 percent this year from 2015 on increased demand from thermal power stations, with its total energy demand rising 1.5 percent on-year to 289 million tons of oil equivalent. 


South Korea is scheduled to put on line five new coal-fired power stations with a combined capacity of 6.7 gigawatts by the end of the year.

Oil consumption is projected to increase 2.8 percent on-year in 2016 as crude prices remain low, with consumption of atomic power likely to grow 3.8 percent.

In contrast, consumption of natural gas is forecast to drop 6.4 percent on-year this year due to weaker demand for power generation, following an 8.7 percent on-year decline in 2015.

The fall was attributed to sluggish electricity demand and a sharp expansion of power-generating facilities using cheaper coal and nuclear energy.

The institute said the report is based on government energy policies that were in place before it put forward measures to cut back on fine dust, which has emerged as a major public health threat.

"The estimate for coal consumption will be adjusted as the government is revisiting its plan to put coal-fired power stations into operation this year," it said.

Early this month, Seoul said it will decommission 10 old coal-fired power stations or change some of them into gas-powered ones, and toughen restrictions on old diesel vehicles while promoting sales of environment-friendly cars.

Fine dust refers to particles that are smaller than 10 micrometers, which have been known to cause various respiratory problems while also affecting the body's immune system. (Yonhap)