wca164 coalmatters mediapack aw...33% oil 30% coal 24% natural gas 7% hydro 4% nuclear 2% renewable...
TRANSCRIPT
Introduction • Coalhasprovidedhalfoftheincrementalenergydemandgloballysincethe
beginningofthe21stcentury.
• Ithasbeenthefastestgrowingfueleveryyearsince2000–13yearsinarowofuninterruptedgrowth.
• Newenergythiscenturyfromcoalhasbeenequivalenttoallnewenergyfromnuclear+oil+gas+renewablescombined.
Coal in the energy mix• Coalisavitallyimportantfuelintheglobalenergymix,providing30%of
primaryenergy.
• Powergenerationisthekeydriverofgrowingcoaldemand.
• Coalisusedtogenerate41%ofglobalelectricity.
• Coalisusedtoproduce68%oftheworld’ssteel.Itisalsoakeysourceofenergyinenergy-intensiveindustriessuchasaluminiumandcement.
Globalprimaryenergyconsumptionin2012byfuel
33% Oil30% Coal24% Natural Gas7% Hydro4% Nuclear2% Renewable Energy Sources
Source: BP Statistical Review of World Energy 2013
Future coal• Coalisexpectedtoovertakeoilasmainsourceofenergyby2020.
• Coalisexpectedtostillprovide25%ofprimaryenergyin2035–thesamelevelasitwasin1980andasithasbeenformostofthepast30years.
• Inmanyregionsoftheworld,thisrolewillbeevengreater.InSoutheastAsia,forexample,by2035electricitygenerationisexpectedtohaveincreasedbymorethanthecurrentpoweroutputofIndia.Coalaccountsfor58%ofthisgrowth.
41%COALISUSEDTO
GENERATE41%OFTHEWORLD’SELECTRICITY
COAL MATTERSCoal’s role in fuelling the future
68%COALISUSEDTO
PRODUCE68%OFTHEWORLD’SSTEELOUTPUT
100%GLOBALDEMANDFORELECTRICITYISLIKELYTODOUBLEOVERTHENEXTTHREEDECADES
COAL MATTERS / Coal’s role in fuelling the future
Page 2 Page 3
SoutheastAsiaincrementalelectricitygenerationbyfuel,2011-2035
Source: IEA World Energy Outlook Special Report 2013: Southeast Asia Energy Outlook
Coal reserves, trade and consumption• Thereareover860billiontonnesofprovencoalreservesworldwide.
• Thismeansthatthereisenoughcoaltolastusaround109yearsatcurrentratesofproduction.Incomparisontothis,provenoilandgasreservesareequivalenttoaround53and56yearsatcurrentproductionlevels.
FossilFuelsReservestoProductionRatiosattheendof2012(Years)
30
60
90
120
0
Year
s
Coal Oil Natural Gas
Source: BP Statistical Review of World Energy 2013
• Coalreservesareavailableinalmosteverycountryworldwide,withrecoverablereservesin75countries.
• ThebiggestreservesareintheUSA,Russia,China,AustraliaandIndia.
• Coalisactivelyminedinmorethan70countries.
• Bycontrast,Russia,IranandQatarcontrol49%oftheworld’sgasreservesandover48%oftheworld’soilreservesarelocatedintheMiddleEast.
• Mostcoalisconsumeddomesticallyandonly15%istradedinternationally.
Widely available and traded by many countries
Locationoftheworld’smainfossilfuelreserves(billiontonnesofoilequivalent)
CoalOilNatural Gas
North America
South & CentralAmerica
Europe
Former Soviet Union
Africa
Asia Pacific
China
India
Middle East
Source: BP Statistical Review of World Energy 2013
TopCoalExporters(MillionTonnes),2012estimates
Total Steam Coking
Indonesia 383 380 3
Australia 301 159 142
Russia 134 116 18
USA 114 51 63
Colombia 82 82 0
SouthAfrica 74 74 0
Canada 35 4 31
Source: IEA Coal Information 2013
Coal and electricity generation
• Coalisthelargestsourceofelectricityintheworld.
• Coalaccountsfor41%oftheworld’selectricitygeneration.
• Itisthekeyfuelforgeneratingelectricityonalmostallcontinents,withalmostalldevelopedanddevelopingcountriesrelyingoncoalforthestableandsecuresupplyofelectricity.
COAL MATTERS / Coal’s role in fuelling the future
Page 4 Page 5
Worldelectricitygenerationbysourcein2011
41% Coal 5% Oil22% Gas 12% Nuclear16% Hydro4% Other Renewables
Source: IEA World Energy Outlook 2013
Coal use in modern infrastructure• Economicdevelopmentinvolvestheincreaseduseofhighlyenergyintensive
materials,suchassteel,cement,glassandaluminium.
• Thesematerialsarenecessaryfortheconstructionanddevelopmentoftransport,energy,housingandwatermanagementinfrastructure.Coalisthemostwidelyusedsourceofenergyinenergy-intensiveindustriesandisimportantinthedevelopmentofmoderninfrastructureingrowingeconomies.
• Coalisalsoanimportantcomponentofglobalsteelproduction,whichiscriticalintheconstructionofmoderninfrastructuresuchastransport,residentialhousingandcommercialbuildings.
Howcoalisusedinmoderninfrastructure
Energy poverty• Globaldemandforelectricityislikelytodoubleoverthenextthreedecades.
• Energypovertyisaffecting1.3billionpeople.
• 2.7billionpeopledonothaveaccesstocleancookingfacilities.
• Thesefiguresareexpectedtoremainlargelyunchangedforthenext20years.
• 50%oftheadditionalon-gridelectricitygenerationneededtomeettheIEA’s‘EnergyforAll’targetwillcomefromcoal
Globalenergypoverty
Source: International Energy Agency, World Energy Outlook, 2011
MeetingIEA’s‘EnergyAccessforAll’target
Additionalon-gridelectricitygenerationbyfuelintheEnergyforAllCasecomparedwiththeNewPoliciesScenario,2030
Source: World Energy Outlook, 2011
60%GLOBALSTEELDEMAND
ISESTIMATEDTOINCREASEBY60%THROUGHTO2035
COAL MATTERS / Coal’s role in fuelling the future
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CO2reductionpotentialofcoal-fi redpowerplantsbyincreasedeffi ciency
CO2 e
mis
sion
s pe
r kW
h
Time2010
1) Average data for hard coal-fired power plants
2020
Average worldwide
30%1,116g CO2/kWh480g Coal/kWh
-21%
CO2 r
educ
tion
-33%
-40%
-90%
EU
About 38%881g CO2/kWh379g Coal/kWh
State-of-the-arttechnology
45%743g CO2/kWh320g Coal/kWh
Steam power plant700˚C technology
CCS technologyBut:
Efficiency loss7-12% points
About 50%669g CO2/kWh288g Coal/kWh
Efficiency CO2 emissionsFuel consumption
Source: VGB PowerTech, 2010
• Higheffi ciencylowemissionscoalcombustiontechnologiesarealsoanecessarymilestonetowardsthefuturedeploymentofcarboncaptureuseandstoragetechnologies(CCUS).
• By2050,CCUSissettocontribute17%oftotalemissionreductionsrequiredtokeepglobaltemperaturesbelow2degrees.
• Mitigationcostsby2050wouldbemorethan70%higherperyearwithoutCCUS.
• Realsolutionstoclimatechangewillonlycomethroughtechnologicalchangeandactiononalllowcarbonoptions.
Carboncaptureuseandstoragetechnologies
C02 C02
ONSHORE OFFSHORE
Depleted Oil & Gas Reservoirs
Deep saline formations
Unmineable coal seams
Energy subsidies• Existingcoal-fi redpowerplantsgenerateelectricityataverycompetitivecostin
comparisontootherfuelsandtechnologies.
• Comparedtomanyotherenergysources,whichareheavilysubsidised,subsidiesforcoalextractionarealmostnon-existent.
• Subsidiestocoalrepresentjust1.25%ofpre-taxfossilfuelsubsidiesglobally.
Pre-taxEnergySubsidiesbyRegion,2011
EnergysubsidiesareconcentratedmostlyinMiddleEast/NorthAfrica,Central/EasternEurope,andEmergingandDevelopingAsia
Sub-Saharan Africa
Petroleum products $212 billion Electricity
$150 billion Natural gas$112 billion
Coal $6 billionMENA
CEE-CIS
E.D. Asia
LAC
Adv.
Source: International Monetary Fund, Energy Subsidy Reform: Lessons and Implications, 2013
The role of technology
• Coalisheretostayandthisispreciselywhycleancoaltechnologiesarecrucial.
• Averageeffi ciencyofcoal-fi redpowerplantsaroundtheworldiscurrently33%.Thisiswellbelowthestateof-the-artrateof45%.ThismeansthatsubstantialCO2savingscanbemadebyrenovatingoldplantsorreplacingthemwithmoreeffi cientones.
• Ifallnewcoal-fi redpowerstationswerebroughtuptomoderneffi ciencystandardsof45%,thiswouldcutglobalCO2emissionsby2.4Gigatonnesannually.
• ThisismorethanthetotalannualCO2emissionsofIndia–thethirdlargestCO2emitterintheworld.
Initiatives needed to cut 2 Gigatonnes of CO2 emissions
RuntheEUEmissionsTradingSchemefor53years
RuntheKyotoProtocolthreetimes
Multiplytheworld’scurrentsolarpowercapacityby195
Increasetheeffi ciencyofallcoalpowerplantsfrom33%toonly40%
2-3%INCREASINGTHE
EFFICIENCYOFCOAL-FIREDPOWER
PLANTSBY1%REDUCESCO2EMISSIONSBY
BETWEEN2-3%.
1.25%SUBSIDIESTOCOALAREONLY1.25%OFGLOBALFOSSILFUELSUBSIDIES
COAL MATTERS / Coal’s role in fuelling the future
The World Coal Association is a non-profi t, non-governmental association
TheWorldCoalAssociationisaglobalindustryassociationformedofmajorinternationalcoalproducersandstakeholders.WCAworkstodemonstrateandgainacceptanceforthefundamentalrolecoalplaysinachievingasustainableandlowercarbonenergyfuture.Membershipisopentocompaniesandnot-for-profi torganisationswithastakeinthefutureofcoalfromanywhereintheworld,withmembercompaniesrepresentedatChiefExecutivelevel.
WorldCoalAssociation5thFloor,HeddonHouse149-151RegentStreetLondonW1B4JD,UK
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worldcoal.org/extract
FirstpublishedintheUKinNovember2013.
Copyright©2013WorldCoalAssociation