6.4.1Segment

Coal & Thermal Power Generation

Operators of coal-fired, biomass, and oil-fired thermal power generation assets.

4
Verticals

Overview

Coal & Thermal Power Generation covers electricity produced from coal and other thermal fossil sources. Once the backbone of U.S. power, coal generation is in structural, accelerating decline — displaced by cheaper natural gas and renewables and pressured by emissions regulation and decarbonization — with plants retiring across the country.

Demand is shrinking as the coal fleet ages and retires, though some plants persist for reliability and in coal-dependent regions, and retirement timing is occasionally extended amid load-growth and reliability concerns. It is a declining, consolidating segment defined by managed wind-down, retirement, and site repurposing (often to gas, solar, or storage).

Market snapshot

FragmentationConsolidating
Federal indicators
Share of generation
~15% of U.S. electricity (2024), down from ~45% in 2010 — structural decline
EIA Electric Power Monthly, 2024

Coal generation is combined with natural gas and oil within fossil-fuel generation (NAICS 221112) and is not separately disclosed; coal is in structural decline (~16% of U.S. generation and falling), so the segment is not separately sized here.

Business model & economics

Revenue model
Wholesale power and capacity (declining)
Recurring revenue
Moderate — declining baseload generation
EBITDA margin
Pressured; managed wind-down
Capex intensity
High
  • Structural, accelerating decline.
  • Displaced by gas, renewables, and regulation.
  • Managed retirement and site repurposing.

M&A deal context

Emerging deal activity

Who’s acquiring

Utilities managing retirementSite-repurposing developersReliability-focused operators

What’s driving deals

  • Plant retirement and managed wind-down.
  • Site repurposing (gas, solar, storage).
  • Reliability-driven retirement-timing extensions.

Verticals in this segment

  • 6.4.1.1Biomass & Waste-to-Energy Plants

    Operators converting biomass and waste to electricity and steam.

  • 6.4.1.2Coal-Fired Power Plants

    Operators of coal combustion power generation facilities.

  • 6.4.1.3Oil-Fired Generation Facilities

    Operators of fuel oil combustion power plants.

  • 6.4.1.4Thermal Plant Operations & Services

    Operations and maintenance contractors for thermal power plants.

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