The bleak future of coal in Australia and around the world has been highlighted in a new report that also points out why it is so hard for many countries to give up.

The latest United Nation’s Emissions Gap Report 2017, already reported on here in general, sets out the importance of preventing further investment in coal if global temperatures are to be kept below the target of two degrees Celsius.

Greenhouse gas emissions are already on track to be about 30 per cent above levels needed to keep global warming below the target.

If this is not addressed, global temperatures are likely to rise by up to 3.2°C by 2100.

While Australia is likely to meet its 2020 emissions target, it’s not on track to achieve its 2030 target, which aims to reduce 2005 emissions by 26-28 per cent.

The report noted that Australia was one of the countries likely to need further action in order the meet the 2030 target.

The transition away from coal has been controversial in Australia as seen in the opposition to Indian conglomerate Adani’s Carmichael mine in Queensland.

Many, including the state Labor government and the conservative federal Liberal-National government, support for the jobs it is expected to bring.

However, others oppose the potential use of taxpayer funds to support a mine that may be financially unviable and bad for climate change.

The Northern Australia Infrastructure Facility is currently considering whether to grant Adani a $1 billion taxpayer-funded loan to build a railway line for its mine.

The Australian Conservation Foundation is also concerned Australia’s export credit agency Export Finance and Insurance Corporation (EFIC) may guarantee loans for the mine that could see taxpayer money used to pay foreign banks if the mine failed.

However, the UN report said subsidies for coal should be phased out to encourage a faster transition away from the resource.

Even Pacific Islanders are now calling on Australia not to fund Adani’s mine.

“We talk about the Adani coalmine,” Eri Aram, a 28-year-old father of three from Kiribati, told The Guardian newspaper. “I think it’s not a good idea, it makes the world worse for all of us. It is inconsiderate of other humans on this planet.

“We didn’t think of Australia as a country that would do that. We looked at it as our bigger brother.

“Proceeding with that new mine is a sad move. We live together in the environment but it’s like they are ignoring us.”

The UN earlier this week said the amount of carbon dioxide in the atmosphere grew at record rate in 2016, to a level not seen for millions of years and will potentially fuel a 20 metre rise in sea levels.

To keep temperatures under 2.0°C the UN report noted it was important that no new coal-fired power plants be built.

It has also suggested about 80-90 per cent of coal reserves remain in the ground.

Contributor to the UN report, Professor Frank Jotzo of the Australian National University’s Crawford School, said it described a precarious outlook for new coal investments.

“Whoever is faced with the decision of sinking major money into fixed infrastructure for coal mining or transport, will need to think very hard about whether it is a profitable proposition,” Professor Jotzo told news.com.au.

Professor Jotzo said he did not think the investment was a good idea.

“As a matter of principle there is no justification for subsidies for any fossil fuel project.”

The UN said phasing out coal consumption in the power sector would be necessary to meet international targets if carbon capture technology is not implemented.

Yet coal-fired power stations continue to be built around the world.

Coal remains an attractive investment because it is a cheap source of energy and provides energy security.

In early 2017, an extra 273GW of coal-fired capacity was being built and 570GW was in pre-construction.

The new projects are mainly focused in 10 countries, which are building about 85 per cent of the extra capacity.

They include China, India, Turkey, Indonesia, Vietnam, Japan, Egypt, Bangladesh, Pakistan and the Republic of Korea.

Others that have announced new investments include Indonesia, Japan, Egypt, Bangladesh and Pakistan.

At the same time it is not all bad news.

China and India have both shelved or cancelled new projects in 2016 that will see a reduction in extra capacity of 54 per cent and 52 per cent respectively, compared to 2015.

The slowdown of China and India is significant because together the two countries accounted for 86 per cent of all new capacity between 2006 and 2016.

Both countries also expect domestic demand for new coal power to slow because of overcapacity in China and a downturn in solar prices in India.

While there are currently no plans for new coal-fired power stations in Australia, there have been growing suggestions this should be considered.

Professor Jotzo said if Australia wanted to meet its 2030 targets, it needed to change where it got its electricity from.

“The electricity sector is really the key for Australia’s emissions reduction,” he said.

“The outlook is a very positive one because renewable energy is becoming so easily available and so cheap.”

However, he said the industry needed clear direction from the government about its policy, ideally supported by the opposition, so there was confidence that things would not fundamentally shift if there was a change in government.

In order to achieve a faster transition away from coal, the report suggested phasing out subsidies and pricing in the negative side effects of coal.

Transition away from coal often leaves workers and communities to bear the brunt of job losses and these impacts need to be addressed.