Coal in the Developing World

The latest forecasts suggest that world population will grow from 6 billion at the end of the 20^th Century to around 8 billion by 2020.  It is estimated 90 per cent of that projected increase will take place in the developing world.

In 1990, some 75 per cent of the world’s population – those living in the developing countries and newly industrialised countries – were responsible for only 33 per cent of the total global energy consumption. By the year 2020, about 85% of the global population is forecast to live in these countries and be responsible for approximately 55 per cent of the world’s energy consumption.  This increased energy demand means that the main energy issues will have a truly global dimension.

Over the last two decades, Asian energy demand has increased on average by 4.5 per cent per annum compared with 1 per cent growth in North America and Europe.  The increase in the consumption of coal in Asia has been even more rapid, averaging in excess of 5 per cent per annum over the past 10 years. 

Pictured: Mai-Liao power-plant, Formosa Plastics Corporation - Taiwan.

Coal is the most readily available indigenous fossil fuel in the region.  There is no practicable alternative to coal for the generation of the additional electricity required by most developing countries for economic growth and an increased standard of living, in the foreseeable future.

Coal moved ahead of oil as the largest source of energy in the Asia Pacific region during 2001, supplying just over 40% of primary energy in the region. (Source: BP Review of World Energy 2002)

Current estimates suggest that around one-third of the world’s population do not have access to electricity – some 2 billon people are still dependent on open fires for cooking their food.  As standards of living rise, and firewood becomes scarcer, it is inevitable that these developing economies will turn to electricity, gas and other fuels for cooking, refrigeration and heating.  Projected figures for energy consumption in the developing world, and particularly Asia, indicate a massive increase in electricity utilisation.

Electricity demand in Asia grew seven-fold during the period 1971 to 1995; over the period 1995 to 2010 it is expected to more than double.  The continuing importance of coal in powering economic growth is highlighted by the eight-fold increase in coal consumption for electricity generation in the Asian region from 1971 to 1995.  Coal is forecast to maintain its share of electricity generation in the region of over 60 per cent in the period to 2020.

Pictured: Beilungang coal-fired power plant in Zhejiang Province, PR China. Courtesy World Coal Institute.

Asian coal-fired generating capacity is forecast to more than double between 1998 and 2010 – a growth rate equivalent to over 20,000 MW per annum during this period.  This growth could be limited by the availability of sufficient capital to fund the construction of the power stations, transmission and distribution facilities required.

It is widely recognised that the ready availability of electricity is a basic element in an improved quality of life. Coal fuels this development.  For sustainable development to occur, technology transfer is vital to facilitate the efficient management of resources and to ensure access to the clean coal technologies now available for environmental protection.

(Extract from Coal – Power for Progress, courtesy of the World Coal Institute)