Global climate activists applauded China's pledge two years ago to stop building new coal plants overseas, but Beijing's decision to go ahead with some projects has raised questions about whether the world's top carbon emitter will live up to its word.
This year, China and Pakistan revived long-stalled plans to build a coal power plant at Gwadar. Gwadar is a port city at the heart of an economic corridor that the Chinese government is seeking to develop. China is also pushing ahead with plans to build new coal plants in Indonesia, which the Indonesian government hopes will provide energy for nickel processing. Nickel is a metal used to make batteries for electric cars.
Chinese companies have cancelled nearly 40 planned coal power plant projects in the past two years, but the fate of about 40 others remains unclear amid wrangling over how to interpret and enforce Beijing's coal power commitments.
The Center for Research on Energy and Clean Air calculated that the remaining 40 coal power projects could produce about 245 million tons of carbon dioxide a year, slightly less than Spain's total emissions last year. The Center is a Finland-based organization that studies climate issues.
Isabella Suarez, a policy analyst at Transition Zero, said: "China should do more to promote renewable energy in these countries." Transition Zero is a data and analytics company that advocates the shift to renewable energy.
The problem is that many developing countries say they are not fully prepared for the transition, which often requires large upfront investments to accumulate technology and revamp the grid. Pakistan and Indonesia said they chose to continue building coal plants in some places because such plants can ensure a stable and affordable power supply in the present, and because these countries lack financially and technically viable alternatives.


A coal-fired power plant in Cilegon, Indonesia. The Indonesian government hopes the new coal plants will provide energy for the processing of nickel, a metal used to make batteries for electric cars.

China's economic planning agency issued guidelines last year aimed at making that commitment clear, saying it would halt all new overseas coal power projects and proceed cautiously with those under construction.
The Chinese government is also weighing the strategic importance of the project, according to people familiar with discussions among Chinese policy makers. For example, Chinese projects in Pakistan serve as a showcase for Chinese investment in developing countries.
The National Development and Reform Commission, the Ministry of Ecology and Environment and the Ministry of Foreign Affairs didn't respond to requests for comment.
For nearly a decade, China has been trying to develop Gwadar into the hub of an economic corridor that would give it access to key shipping routes in the Arabian Sea at the entrance to the oil-rich Persian Gulf. Gwadar is located in an area plagued by terrorist activities.
But projects in Gwadar, including the airport and hospital, have stalled because of power supply problems. Shah Jahan Mirza, managing director of Pakistan's Private Power and Infrastructure Board, which oversees private investment in the power sector, says poor infrastructure and power shortages are the biggest obstacles to developing Gwadar.
Power outages across Pakistan have worsened since last year due to shortages of natural gas, which accounts for more than a third of the country's electricity generation. The move comes after the price of liquefied natural gas soared following Russia's invasion of Ukraine, with weaker economies losing out to European buyers in the race for supplies.


For nearly a decade, China has been trying to develop Gwadar into the hub of an economic corridor.

In February, to reduce power generation costs and its reliance on volatile external markets, Pakistan announced it would quadruple its coal-fired power generation capacity and use domestic coal. This marks a reversal of former Prime Minister Imran Khan's pledge to wean Pakistan off coal power.
Pakistan first approved construction of the Gwadar coal plant in 2017, but the project has been delayed due to disagreements over financing and pricing. In the summer of 2022, the two sides considered converting the solar farm, and only at the beginning of this year re-determined the construction of the coal plant.
According to Wood Mackenzie, an energy consultancy, the cost of building and operating a solar farm in Pakistan is 270 per cent higher than a coal plant, once storage costs are included.
Indonesia is also pushing China to build coal plants in Indonesia. Indonesia has 14.5 gigawatts of Chinese-backed coal plants in the planning stage or under construction, most of which are so-called self-contained coal plants operated and managed by industrial users to meet their own power needs.
Indonesia says the coal plants are needed to power projects such as smelters that process nickel ore used to make batteries for electric cars as it tries to move up the value chain and develop its economy.
Climate activists have accused China of not keeping its promises because some of Indonesia's power plants were announced in 2022. The Chinese government says the plants are part of an industrial complex and not a separate project under its climate commitments.


A coal-fired power plant in Pakistan's Sindh province. In February, Pakistan announced it would quadruple its coal-fired power generation capacity.

Indonesia's Ministry of Energy and Mineral Resources didn't respond to a request for comment.
In Indonesia, a coal-rich country, replacing coal with renewable energy and storage would be costly. The International Renewable Energy Agency estimates in 2022 that Indonesia will need more than $400 billion between then and 2030 for renewable energy technologies, grid expansion and storage needs.
As the world's largest producer of solar panels and batteries, China is also expected to benefit from more demand for renewable energy projects. According to data compiled by the Green Finance and Development Center, 26 per cent of China's overseas energy investment last year went into renewables such as solar, wind and hydropower, up from 15 per cent in 2021.
At least one country is unhappy with the Chinese government's withdrawal from the ranks of local supporters of coal power. Laos, a landlocked country in Southeast Asia, has sought to develop hydropower as a way out of poverty, in part by exporting electricity to neighboring countries.
Laos says it needs some coal power to ensure a stable supply during the dry season, when it finds itself plagued by blackouts and needs to import power from Thailand at twice the price.
However, after China pledged not to build new coal projects overseas, heavily indebted Laos is struggling to find investors to replace Chinese backers to complete the construction of two coal-fired power plants due to be built in the southern province of Sekong to help export electricity to neighbouring Cambodia.
"We want to grow. We need energy. But it's hard to do that without fossil fuels and funding, "said Akhomdeth Vongsay, a senior official at Laos' Ministry of Energy and Mines.