COALspot.com keeps you connected across the coal world

Submit Your Articles
We welcome article submissions from experts in the areas of coal, mining, shipping, etc.

To Submit your article please click here.

International Energy Events


Search News
Latest CoalNews Headlines
Sunday, 20 June 10
OUR COAL: ITS DEVELOPMENT AND CONTROVERSIAL ISSUES


Indonesia’s production of coal has been growing amazingly. In the mid 1980s, national coal production was less than 1 million tons per annum, whereas energy planners (in the fourth Five Year Development Plan: 1989-1994) pointed at 10 million tons as the national production target. 

The current production has jumped dramatically, recorded as 237 million tons in 2008 (predicted to achieve 270 million tons this year), making Indonesia a world class producer and the largest exporter of coal around the globe. The skyrocketing growth of our coal production has also incited many controversial issues.

Coal is considered as the dirtiest among fossil fuels, making environmentalists oppose their wide use
as fuel. 

However, the proposal for ceasing use of coal — power generation, for instance — would be challenged by power utilities demanding low cost fuel that coal may offer and by the government, which has the responsibility to provide electricity as well as have revenue from exploiting its energy resources.

Despite the world’s rising anxiety of global warming, IEA (International Energy Agency: World Energy Outlook 2009) statistics shows that the world consumption for coal, for the last decade, is still growing the fastest among primary energy sources.

The environmental problem associated with coal in Indonesia is not limited to green houses gases (GHG), but also damage and pollution since its exploitation, transportation and uses to post mining. 

It is easy to find where many coal fields are not mined appropriately according to “good mining and environmental practices”, coal transportation is not considering safety standards and is damaging rivers, (public) roads and seashores. 

The coal mining has polluted the land, water and air of especially Kalimantan, where more than 90 percent of Indonesia’s coal mining operations take place.

It is sad that many of the previous mining areas have been abandoned without being properly reclaimed, whereas thousands of hectares of the island’s tropical forests have been converted into desert.  

The soaring exploitation, including its negative impact on the environment, has a strong correlation with the number of licensing/permits awarded. 

The introduction of the 1999 Regional Autonomy Law, subsequently followed by the 1999 Fiscal Balancing Law between the Central and Regional Governments have — to some degree  —  impacted on the coal licensing regime, where larger authorities had been given to regional/local governments. 

Under the new licensing regime by local governments, requirements for coal permits tend to be relaxed whereas monitoring has not been done properly.

As a result, the number of permits (Mining Authorization/KP) has been growing considerably (currently 462, of which 169 are producing), coal production increases, but also environmental problems and the issues of illegal mining exist.

The question of who really owns the KP licenses exists, which was defined as that it can be owned by Indonesian national/companies only.  

While the largest part of coal in Indonesia are being produced by large companies (the holders of Coal Contract of Work/PKP2B), some coal is mined by small scale and illegal miners.

It is believed that a significant amount of coal has been produced by illegal miners (some 5 million tons annually) and part has gone to meet export demand.

Wherever in the world, illegal miners lack interest in responsible mining and mine rehabilitation practices. Illegal mining is a problem for potential investors, the environment and government revenues.

The government has introduced measures to crack down on problems, including arresting illegal miners.

However, it cannot be the only solution since illegal mining is actually rooted in underemployment, local poverty and weak law enforcement, while the number of people involved in these activities is quite significant.    

An alternative to confrontation to illegal miners by the central government (who awards the large scale PKP2B mining license) should be a cooperative and more comprehensive approach.

 “Despite the world’s anxiety of global warming, IEA statistics shows that the world consumption for coal is still growing the fastest among primary energy sources.”

Work together with local/rural governments and communities to reduce poverty, educate/assist the illegal miners to increase their awareness on good mining practices (including mine rehabilitation), provide transition period fiscal incentives to encourage illegal mining toward the regulated mining sector, among others.

It needs to maintain an appropriate balance between the soaring exports of coal (about three quarters of production on average) and the domestic growing demand for the same fuel.

Push for exports is still coming largely from the traditional East Asians (Japan is the largest), while the coal-hungry India and China are also increasing their demand for our coal.

The exports will be competed with by the Blue Print for Energy Management 2005-2025 pointing out that one third of Indonesia’s energy primary energy mix in 2025 is to be supplied by coal, (the current share is about 15 percent).

Even though it is often mentioned that our coal reserves are quite large (current proven reserves of 5.5 billion tons; estimated resources of 105 tones) and that our reserves for coal are much larger than that of oil and gas, we should watch their fast rate of exploitation cautiously.

It needs to recalculate the benefit of exploiting them, taking into account their damage to the environment and what is left post mining. Where have all the revenues from exploiting that coal gone? Is the escalating export not jeopardizing the domestic energy security in the near future? 

We have ample experiences, for instance in exploiting the resources-rich Kalimantan. The forests, oil and gas reserves have been exploited for about four to five decades, but it seems that the island has not enjoyed the fruits of the excessive exploitation: the current regional economy remains weak, infrastructure is poor and energy supplies for local uses have not been secured. 

It needs to promote the terms “resources balance, depletion, sustainability”, start internalizing the costs of environmental impact and enforce those concepts into workable policies for our coal mining development.

The writer is the senior energy planner and an economist with the National Development Planning Agency. The opinions expressed are his own.

Source: The Jakarta Post ( Hanan Nugroho)



If you believe an article violates your rights or the rights of others, please contact us.

Recent News

Thursday, 10 October 13
SEVERAL PANAMAX FIXTURES FOR 1 YEAR TC HAVE BEEN REPORTED AROUND $13.5K/DAY - FEARNRESEARCH
Handy The market is not much fancy as several holidays in the Far East last week. Tonnage side seems tight in SE Asia but there are many of them in ...


Wednesday, 09 October 13
PANAMAX: FIRM ; FIXING ACTIVITY INCREASED IN BOTH BASINS - INTERMODAL
This was another week of gains for the Dry Bulk market, albeit very modest ones compared to the previous ones. Charterers and owners struggled for t ...


Tuesday, 08 October 13
CHINA: INTENSE COMPETITION AMONG DOMESTIC COAL MINERS AS 2013 IMPORT DEMAND REMAINS STRONG - WOOD MACKENZIE
Prices will not fall under RMB500/t or risk supply availability to the coastal market Despite China's lower economic growth, Wood Mackenzie says ...


Monday, 07 October 13
RICHARD BAY COAL TERMINAL SHIPPED 49.94 MMT OF COAL YTD
COALspot.com - Richards Bay Coal Terminal (RBCT), the world's single largest coal terminal has shipped 49,946,509 mt of coals YTD, according to por ...


Monday, 07 October 13
SOUTH AFRICA'S RBCT SHIPPED 7.94% MORE COAL IN SEPT' 13
COALspot.com - Richards Bay Coal Terminal (RBCT), the single largest coal export terminal in South Africa as well as in the world has shipped 7.94 p ...


   814 815 816 817 818   
Showing 4076 to 4080 news of total 6871
News by Category
Popular News
 
Total Members : 28,700
Member
Panelist
User ID
Password
Remember Me
By logging on you accept our TERMS OF USE.
Free
Register
Forgot Password
 
Our Members Are From ...

  • Tata Power - India
  • The State Trading Corporation of India Ltd
  • SUEK AG - Indonesia
  • TGV SRAAC LIMITED, India
  • Directorate Of Revenue Intelligence - India
  • Tata Chemicals Ltd - India
  • Platts
  • Platou - Singapore
  • GHCL Limited - India
  • European Bulk Services B.V. - Netherlands
  • Electricity Generating Authority of Thailand
  • Jatenergy - Australia
  • Meenaskhi Energy Private Limited - India
  • Malco - India
  • Britmindo - Indonesia
  • Reliance Power - India
  • SMG Consultants - Indonesia
  • AsiaOL BioFuels Corp., Philippines
  • Arch Coal - USA
  • Sinarmas Energy and Mining - Indonesia
  • Australian Commodity Traders Exchange
  • Qatrana Cement - Jordan
  • Indorama - Singapore
  • Sarangani Energy Corporation, Philippines
  • Planning Commission, India
  • Latin American Coal - Colombia
  • Interocean Group of Companies - India
  • Timah Investasi Mineral - Indoneisa
  • Infraline Energy - India
  • Kaltim Prima Coal - Indonesia
  • Asia Cement - Taiwan
  • Maheswari Brothers Coal Limited - India
  • Petron Corporation, Philippines
  • Global Business Power Corporation, Philippines
  • Intertek Mineral Services - Indonesia
  • Ernst & Young Pvt. Ltd.
  • Bank of China, Malaysia
  • Global Green Power PLC Corporation, Philippines
  • Bayan Resources Tbk. - Indonesia
  • Cemex - Philippines
  • Binh Thuan Hamico - Vietnam
  • J M Baxi & Co - India
  • Mercuria Energy - Indonesia
  • White Energy Company Limited
  • Karaikal Port Pvt Ltd - India
  • Billiton Holdings Pty Ltd - Australia
  • Noble Europe Ltd - UK
  • Videocon Industries ltd - India
  • Orica Mining Services - Indonesia
  • Gujarat Sidhee Cement - India
  • SN Aboitiz Power Inc, Philippines
  • Cigading International Bulk Terminal - Indonesia
  • Indian Energy Exchange, India
  • Fearnleys - India
  • GNFC Limited - India
  • SGS (Thailand) Limited
  • Thomson Reuters GRC
  • Australian Coal Association
  • Miang Besar Coal Terminal - Indonesia
  • KPCL - India
  • Thai Mozambique Logistica
  • Indo Tambangraya Megah - Indonesia
  • Parry Sugars Refinery, India
  • Simpson Spence & Young - Indonesia
  • Peabody Energy - USA
  • Kobe Steel Ltd - Japan
  • Port Waratah Coal Services - Australia
  • Xstrata Coal
  • Semirara Mining and Power Corporation, Philippines
  • ASAPP Information Group - India
  • Bangkok Bank PCL
  • Deloitte Consulting - India
  • Credit Suisse - India
  • Madhucon Powers Ltd - India
  • JPower - Japan
  • Jorong Barutama Greston.PT - Indonesia
  • U S Energy Resources
  • Edison Trading Spa - Italy
  • Gujarat Electricity Regulatory Commission - India
  • OPG Power Generation Pvt Ltd - India
  • Manunggal Multi Energi - Indonesia
  • Sucofindo - Indonesia
  • PLN Batubara - Indonesia
  • KPMG - USA
  • Sindya Power Generating Company Private Ltd
  • Uttam Galva Steels Limited - India
  • Romanian Commodities Exchange
  • Indian School of Mines
  • Bukit Asam (Persero) Tbk - Indonesia
  • Attock Cement Pakistan Limited
  • Sical Logistics Limited - India
  • Rudhra Energy - India
  • Jindal Steel & Power Ltd - India
  • Therma Luzon, Inc, Philippines
  • Bank of Tokyo Mitsubishi UFJ Ltd
  • Vizag Seaport Private Limited - India
  • Dalmia Cement Bharat India
  • Inspectorate - India
  • EMO - The Netherlands
  • Georgia Ports Authority, United States
  • San Jose City I Power Corp, Philippines
  • CCIC - Indonesia
  • Globalindo Alam Lestari - Indonesia
  • Kobexindo Tractors - Indoneisa
  • Coal and Oil Company - UAE
  • Bangladesh Power Developement Board
  • ETA - Dubai
  • Chamber of Mines of South Africa
  • UBS Singapore
  • Petrochimia International Co. Ltd.- Taiwan
  • ICICI Bank Limited - India
  • PNOC Exploration Corporation - Philippines
  • Pipit Mutiara Jaya. PT, Indonesia
  • Chettinad Cement Corporation Ltd - India
  • Commonwealth Bank - Australia
  • Carbofer General Trading SA - India
  • Aditya Birla Group - India
  • Economic Council, Georgia
  • India Bulls Power Limited - India
  • Straits Asia Resources Limited - Singapore
  • Kohat Cement Company Ltd. - Pakistan
  • TRAFIGURA, South Korea
  • Mechel - Russia
  • Bulk Trading Sa - Switzerland
  • Vedanta Resources Plc - India
  • Borneo Indobara - Indonesia
  • Bukit Makmur.PT - Indonesia
  • Mitsubishi Corporation
  • Directorate General of MIneral and Coal - Indonesia
  • IBC Asia (S) Pte Ltd
  • Russian Coal LLC
  • IHS Mccloskey Coal Group - USA
  • Indonesia Power. PT
  • APGENCO India
  • RBS Sempra - UK
  • The University of Queensland
  • IMC Shipping - Singapore
  • Kartika Selabumi Mining - Indonesia
  • Ministry of Finance - Indonesia
  • Renaissance Capital - South Africa
  • Trasteel International SA, Italy
  • Gupta Coal India Ltd
  • Asmin Koalindo Tuhup - Indonesia
  • Tanito Harum - Indonesia
  • Anglo American - United Kingdom
  • HSBC - Hong Kong
  • Berau Coal - Indonesia
  • Shree Cement - India
  • Cement Manufacturers Association - India
  • Medco Energi Mining Internasional
  • TNPL - India
  • Vitol - Bahrain
  • South Luzon Thermal Energy Corporation
  • SMC Global Power, Philippines
  • Runge Indonesia
  • BNP Paribas - Singapore
  • Banpu Public Company Limited - Thailand
  • Bhoruka Overseas - Indonesia
  • Argus Media - Singapore
  • Salva Resources Pvt Ltd - India
  • BRS Brokers - Singapore
  • Idemitsu - Japan
  • Baramulti Group, Indonesia
  • WorleyParsons
  • PLN - Indonesia
  • Mjunction Services Limited - India
  • Thermax Limited - India
  • Deutsche Bank - India
  • Coalindo Energy - Indonesia
  • PetroVietnam Power Coal Import and Supply Company
  • CoalTek, United States
  • Altura Mining Limited, Indonesia
  • Merrill Lynch Commodities Europe
  • Ind-Barath Power Infra Limited - India
  • World Bank
  • Lafarge - France
  • Global Coal Blending Company Limited - Australia
  • Kideco Jaya Agung - Indonesia
  • bp singapore
  • Iligan Light & Power Inc, Philippines
  • Tamil Nadu electricity Board
  • TANGEDCO India
  • Savvy Resources Ltd - HongKong
  • Humpuss - Indonesia
  • Bahari Cakrawala Sebuku - Indonesia
  • VISA Power Limited - India
  • TNB Fuel Sdn Bhd - Malaysia
  • Xindia Steels Limited - India
  • Filglen & Citicon Mining (HK) Ltd - Hong Kong
  • Karbindo Abesyapradhi - Indoneisa
  • Samtan Co., Ltd - South Korea
  • Pinang Coal Indonesia
  • Maharashtra Electricity Regulatory Commission - India
  • Singapore Mercantile Exchange
  • Ambuja Cements Ltd - India
  • Kumho Petrochemical, South Korea
  • Barclays Capital - USA
  • Permata Bank - Indonesia
  • Coastal Gujarat Power Limited - India
  • LBH Netherlands Bv - Netherlands
  • Freeport Indonesia
  • Ministry of Transport, Egypt
  • Thailand Anthracite
  • Meralco Power Generation, Philippines
  • Kalimantan Lumbung Energi - Indonesia
  • Total Coal South Africa
  • Electricity Authority, New Zealand
  • Arutmin Indonesia
  • New Zealand Coal & Carbon
  • Maersk Broker
  • Rashtriya Ispat Nigam Limited - India
  • Aboitiz Power Corporation - Philippines
  • Truba Alam Manunggal Engineering.Tbk - Indonesia
  • Asia Pacific Energy Resources Ventures Inc, Philippines
  • MS Steel International - UAE
  • Coeclerici Indonesia
  • GVK Power & Infra Limited - India
  • GMR Energy Limited - India
  • Energy Development Corp, Philippines
  • Adani Power Ltd - India
  • CNBM International Corporation - China
  • SRK Consulting
  • Thiess Contractors Indonesia
  • Thriveni
  • Standard Chartered Bank - UAE
  • Cargill India Pvt Ltd
  • Central Java Power - Indonesia
  • Krishnapatnam Port Company Ltd. - India
  • Adaro Indonesia
  • UOB Asia (HK) Ltd
  • Asian Development Bank
  • Formosa Plastics Group - Taiwan
  • KEPCO - South Korea
  • Lanco Infratech Ltd - India
  • Pendopo Energi Batubara - Indonesia
  • Gresik Semen - Indonesia
  • Makarim & Taira - Indonesia
  • Toyota Tsusho Corporation, Japan
  • Ministry of Mines - Canada
  • CIMB Investment Bank - Malaysia
  • Minerals Council of Australia
  • Kapuas Tunggal Persada - Indonesia
  • Coal India Limited
  • Metalloyd Limited - United Kingdom
  • Mercator Lines Limited - India
  • Inco-Indonesia
  • Offshore Bulk Terminal Pte Ltd, Singapore
  • Vijayanagar Sugar Pvt Ltd - India
  • Barasentosa Lestari - Indonesia
  • JPMorgan - India
  • Mitra SK Pvt Ltd - India
  • Panama Canal Authority
  • Coal Orbis AG
  • Larsen & Toubro Limited - India
  • Posco Energy - South Korea
  • Siam City Cement - Thailand
  • The Treasury - Australian Government
  • Power Finance Corporation Ltd., India
  • Mintek Dendrill Indonesia
  • Maybank - Singapore
  • ACC Limited - India
  • Indonesian Coal Mining Association
  • Leighton Contractors Pty Ltd - Australia
  • Indian Oil Corporation Limited
  • Indogreen Group - Indonesia
  • Marubeni Corporation - India
  • Gujarat Mineral Development Corp Ltd - India
  • GN Power Mariveles Coal Plant, Philippines
  • Shenhua Group - China
  • Sojitz Corporation - Japan
  • SASOL - South Africa
  • Central Electricity Authority - India
  • Oldendorff Carriers - Singapore
  • Orica Australia Pty. Ltd.
  • Indika Energy - Indonesia
  • ANZ Bank - Australia
  • Energy Link Ltd, New Zealand
  • Kepco SPC Power Corporation, Philippines
  • Enel Italy
  • Independent Power Producers Association of India
  • Ince & co LLP
  • World Coal - UK
  • Bhatia International Limited - India
  • Cebu Energy, Philippines
  • DBS Bank - Singapore
  • IEA Clean Coal Centre - UK
  • Africa Commodities Group - South Africa
  • TeaM Sual Corporation - Philippines
  • Bharathi Cement Corporation - India
  • Siam City Cement PLC, Thailand
  • Bukit Baiduri Energy - Indonesia
  • Riau Bara Harum - Indonesia
  • Merrill Lynch Bank
  • MEC Coal - Indonesia
  • Parliament of New Zealand
  • Dong Bac Coal Mineral Investment Coporation - Vietnam
  • KOWEPO - South Korea
  • Alfred C Toepfer International GmbH - Germany
  • Star Paper Mills Limited - India
  • CESC Limited - India
  • NTPC Limited - India
  • Sakthi Sugars Limited - India
  • Bank of America
  • NALCO India
  • Holcim Trading Pte Ltd - Singapore
  • Goldman Sachs - Singapore
  • Core Mineral Indonesia
  • PetroVietnam
  • International Coal Ventures Pvt Ltd - India
  • OCBC - Singapore
  • Glencore India Pvt. Ltd
  • Grasim Industreis Ltd - India
  • Essar Steel Hazira Ltd - India
  • Ceylon Electricity Board - Sri Lanka
  • PowerSource Philippines DevCo
  • IOL Indonesia
  • Eastern Coal Council - USA
  • Price Waterhouse Coopers - Russia
  • Semirara Mining Corp, Philippines
  • Cosco
  • Neyveli Lignite Corporation Ltd, - India
  • Wilmar Investment Holdings
  • ING Bank NV - Singapore
  • Geoservices-GeoAssay Lab
  • Petrosea - Indonesia
  • Maruti Cements - India
  • McConnell Dowell - Australia
  • Heidelberg Cement - Germany
  • Antam Resourcindo - Indonesia
  • Japan Coal Energy Center
  • Vale Mozambique
  • Clarksons - UK
  • Sree Jayajothi Cements Limited - India
  • GAC Shipping (India) Pvt Ltd
  • GB Group - China
  • Mitsui
  • Coaltrans Conferences
  • Wood Mackenzie - Singapore
  • McKinsey & Co - India
  • PTC India Limited - India
  • Rio Tinto Coal - Australia
  • The India Cements Ltd
  • London Commodity Brokers - England
  • globalCOAL - UK
  • Bhushan Steel Limited - India
  • EIA - United States
  • Eastern Energy - Thailand
  • Dr Ramakrishna Prasad Power Pvt Ltd - India
  • Moodys - Singapore
  • Cardiff University - UK
  • Jaiprakash Power Ventures ltd
  • Samsung - South Korea
  • Agrawal Coal Company - India
  • Surastha Cement
  • Malabar Cements Ltd - India