New way to effectively capture $CO_2$ in coal fired power plant is the combustion of coal using oxy-fuel technology. Combustion characteristics of Minco sub-bituminous coal at oxy-fuel conditions using TGA and drop tube furnace (DTF) were included activation energy about the char burnout, volatile yield and combustion efficiency of raw coal, the porosity of pyrolyzed char and fusion temperature of by-product ash. TGA result shows that the effect of $CO_2$ on combustion kinetics reduces activation energy by approximately 7 kJ/mol at air oxygen level(21% $O_2$) and decreases the burning time by approximately 16%. The results from DTF indicated similar combustion efficiency under $O_2/CO_2$ and $O_2/N_2$ atmospheres for equivalent $O_2$ concentration whereas high combustion efficiency under $O_2/N_2$ than $O_2/CO_2$ was obtained for high temperature of more than $1,100^{circ}C$. Overall coal burning rate under $O_2/CO_2$ is decreased due to the lower rate of oxygen diffusion into coal surface through the $CO_2$ rich boundary layer. By-product ash produced under $O_2/CO_2$ and $O_2/N_2$ was similar IDT in irrelevant to $O_2$ concentration and atmospheres gas during the coal combustion.