Column: Buoyant coal industry seeks ways to stay in the long-term energy mix

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Buoyant coal industry seeks ways to stay in the long-term energy mix.

There’s no doubt that the global coal industry has been a major beneficiary of Russia’s invasion of Ukraine and the subsequent energy crisis.

Representatives of coal miners in Indonesia and Australia, the world’s two largest exporters of thermal coal, were ebullient at the Coaltrans event but also cautions that the current windfall is unlikely to last beyond 2023 or 2024. In theory, both of these solutions do offer some hope for coal miners, but then the main problem comes in. Who pays?

Why would a utility invest heavily in CCS if it can implement cheaper alternatives to reduce carbon, such as renewables and battery storage, pumped hydro, or even importing hydrogen or ammonia from countries with an excess of renewable power, such as Australia is planning on becoming? But it will also be vitally important for the carbon offsets to have credibility and be viewed as genuinely taking carbon out of the atmosphere, rather than the more dubious practice of some offsets of avoided emissions, such as paying landowners to keep existing trees rather than log them.

 

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