Posted by Tim Profeta
Domestic coal, which has suffered in recent years due to the abundance of natural gas and tighter regulations, just may get a boost from China. According to the U.S. Energy Information Administration, China is using nearly as much coal to support its economic and population growth as the rest of the world combined. With its demand already accounting for 47 percent of global consumption, the country is expected to dominate the coal market in 2013 as it continues to rely on the fossil fuel for 70 percent of its energy generation.
“[There are] enhanced opportunities for exports of American coal to China to feed some of that demand,” said Heath Knakmuhs, senior director of policy at the U.S. Chamber’s Energy Institute. “While China does have significant internal coal resources, they’re often far away from load centers. It does provide an opportunity for American coal suppliers—especially those located in the western U.S. to export enhanced amounts to China.”
Indeed, U.S. coal shipments to China have increased significantly in recent years—showing a 107 percent jump from 2011 to 2012. Proposed coal-export terminals in Washington and Oregon—through which coal from the Powder River Basin in Wyoming and Montana would be shipped to China—are shaping up to be “one of the biggest climate fights of 2013,” according to Mother Jones. Opponents of the terminals cite local concerns such as the congestion and coal dust associated with the mile-long trains as well as higher coal consumption—and increased greenhouse gas emissions—in Asia. But some argue that China will burn coal whether or not they get it from the U.S., and that higher coal prices will reduce coal consumption in the U.S. and Europe. “Perhaps counterintuitively, the United States selling coal to China, and Asia generally, likely will reduce greenhouse gas emissions globally,” said Stanford University’s Frank Wolak.
Read the full article on National Geographic's website.