Coal carves a place in the future of global energy

The worldwide demand for oil has its own set of environmental consequences — drilling in pristine areas where it previously was uneconomical and continued emission of greenhouse gases. But environmentalists warn that renewed reliance on coal takes the threat to another level.

“Growing coal use threatens nothing less than the end of civilization as we know it,” said Henry Henderson, the Chicago-based Midwest director of the Natural Resources Defense Council.
Low in acid-rain-causing sulfur and cheap to produce, Colombia’s coal has always been coveted. These days, El Cerrejon and half a dozen other major mines in the region are booming. Energy & Mines Minister Hernan Martinez says Colombia’s shipments will rise to 80 million tons this year, 10% more than last year and double the amount just five years ago.

The value of Colombia’s coal exports in 2008 will surpass $5 billion, up 40% from last year and 10 times what it was six years ago, a reflection of the increased price. Coal has more than doubled in price to $100 a ton in a year.

China added more coal-burning power plants in 2007 than Britain has built in its history, said Gerard McCloskey, a coal market specialist with Cambridge Energy Research Associates in London. A few years ago, China was exporting the equivalent of Colombia’s current annual exports. But by next year, the U.S. Department of Energy forecasts, it will become a net importer.

Similarly, Russia and Poland are keeping much of the coal they once exported. Prices have also been driven up by flooded mines in Australia and a hike in global shipping rates.

Still, generating energy from coal costs a third as much as from natural gas in Japan, and half to two-thirds as much in Britain, McCloskey said.

Los Angeles Times