In Russian energy plan, coal is a question mark

…So even if Gazprom embarked on a major investment program instead of investing in newspapers, ski resorts and other unrelated expensive energy projects, there would still be a time lag before the natural gas reaches the transmission pipelines. That may explain why, in his quest for more energy resources, Putin is now seriously considering raising coal production. The plan, still under intense discussion, entails using coal increasingly for domestic consumption as well as exports so as to relieve the pressure on the demand for natural gas both inside Russia and outside it.

It is risky but fascinating option. At a time when Europe is beginning to take climate change seriously, several countries, including Britain, Germany and Russia, are relying ever more heavily on coal as an energy source. According to the International Energy Agency’s World Energy Outlook, coal is the fastest-growing fossil fuel, with global consumption rising by 4.5 percent a year. It now accounts for more than 50 percent of the growth in global consumption.


If Putin is serious about diversifying into coal, this could provide the Kremlin with a unique opportunity to modernize the industrial sector.

Monaghan argues that Russian coal is particularly attractive to European consumers because of its low sulfur content. This means that it can be used in European plants that lack desulfurization units.

IHT