Big Coal To America: 'New US Power Plants Not So Important.'
by John Laumer, Philadelphia on 11. 7.07
Plans for several of the hundreds of planned coal-fired power plant additions announced last year are being scaled back. For example, a planned Kansas coal-fired power plant was recently denied a State operating permit mainly because of climate change concerns (see Lloyd's post of today). That example, however, is the exception to the rule of what underlies most of the turnabout. There are two key factors slowing plans for new coal plant construction in the US. One is that the price of building new power plants is skyrocketing due to material shortages; and, the other key factor is that US coal mining and distribution companies now find that more money can be made by selling coal overseas. No need to lobby for more plants (which impacts campaign donations hopefully).
Only an international treaty with carbon tax or cap agreements can curtail the C02 emissions growth still underway. Hence, the important of US Presidential candidate platforms on international climate treaties.
Now that the price of coal is at a historic low relative to oil, there is no stopping consumers and producers alike from embracing Al Gore's nightmare.A ton of U.S. coal is so inexpensive, at about $47, that European utilities will pay $50 to ship it across the Atlantic, according to Galbraith's, a 263-year-old London ship broker.
Peabody Energy, Consol Energy and Arch Coal, the three biggest U.S. coal companies, forecast the largest increase in exports in 20 years, despite the call for a moratorium on coal plants by Gore, the former U.S. vice president and 2007 Nobel Peace Prize winner.
Coal use worldwide has grown 27 percent since 2002, three times as fast as the use of crude, according to BP.
"Coal is by far the cheapest fuel because there's no price on how much damage it causes," said John Holdren, a Harvard University professor of environmental science and director of the Woods Hole Research Center in Falmouth, Massachusetts. "Unless you get policies to put a price on carbon dioxide and other emissions, no other plants can compete."
With prices like these, expect plenty more mining disasters and mountain top removals.
Via::International Herald Tribune, "Europe pays to ship U.S. coal as price sinks" Image credit::Desert Dawg, Utah Rainbow Mine
With the US dollar declining relative to the Euro, it is more favorable for Europe to buy US exports so this trend will probably continue for quite some time.
"Unless you get policies to put a price on carbon dioxide..."
Right, and how about a price on the loss of habitat and water quality. Have you flown over the moonscape of southern West Virginia lately? It seems we've decided to relegate one of our most bio-diverse ecozones to a fate that we wouldn't even inflict on an enemy country in war!
As an interesting side note, the picture you have here is of the Rainbow Mine in Utah. It is on private land and was taken by a guy riding an ATV. The mine has nothing to do with coal and was mined for Uintaite or commonly know as Gilsonite which is a natural resin or a natrual type asphault. It is a natural resin that is non-carcinogenic, non-toxic, and non-mutagenic. It is used for acid proofing, and insulating plastics. At one time it was a very popular substance for waterproofing wood, and making insulation for electrical wire.
=== author's response ===
That is very interesting. Was the vein exhausted? Is there more Gilsonite around to extract? Sounds like this may have a more modern biotic origin and would have further utility in green products.
I took the picture in 2001 while on vacation in Utah. This was a silver mine. The area was big in gold and silver mining, especially the nearby Bullion Canyon, starting in the late 1860's. It boomed in the latter part of the 1800's, and some mines are still being operated, though only one is commercially owned that I know of. The property owner I talked to indicated that this mine was functional into the 1950's, and the only thing that stopped it was the price of silver dropped. The cost of restarting the mine and running it to meet current environmental laws still make it prohibitive to operate. But if the cost of silver rises significantly, it could easily be reopened and operated.