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
Tuesday, 06 September 11
INDONESIAS PROPOSED COAL EXPORT BAN MAY HAVE IMPACT ON THE INDIAN POWER SECTOR - DIPESH DIPU


COALspot.com - This is a special interview about Indonesian proposed coal export ban by 2014, with Mr. Dipesh Dipu, Director of Deloitte Touche Tohmatsu, India.

The Indonesian government is currently in the process of drafting a new regulation that could ban the export of low-grade coal by January 12, 2014. This is likely to apply to coal below 5700 kcal/kg on air dried basis in value.

As of now Indonesia is producing around 150 million tons of coal with calorific value below 5700 GAD (according to chairman of Indonesian coal mining association). However by 2014, there are possibilities the total production of below 5700 GAD coal may reach  more than 200 million per annum.

Will Indonesian coal  export ban impact on the Indian fuel requirements?
The earlier grade of coal that was being considered for proposed ban has GCV of 5100 kcal/kg of less (adb), which can be comparable to 3800-4200 kcal/kg (arb) domestic coal available in India. This grade of coal has found favor in India primarily due to likely price advantage but economics of power generation based on such grade of imported coal may be a suspect. This considering that such grades of coal from Indonesia typically have high moisture content, which makes transportation cost per unit of energy generated higher. The quantum of the low grade of coal (<5100 kcal/kg adb) procured from Indonesia is likely to remain relatively low.

However, if the new definition of low grade coal is applied (<5700 kcal/kg adb), it may be reasonable to believe that such a ban may have impact on the Indian power sector as volumes in this grade of coal are expected to rise in the proportion of coal exports to India. Several of the acquisitions made by Indian power generation companies in Indonesia have been in coal blocks that will produce coal of this grade, and a blanket ban on the exports can jeopardize power plant development in India.

On the other hand, the domestic Indonesian market may not be prepared to consume all the coal mined of this grade in view of the power generation capacity addition plans in Indonesia. In such a case, the coal mine development is likely to be deferred. The Indonesian law makers may need to reconsider domestic market demand, investment climate in coal sector and impact of the legislation on the export revenues. 

What is the alternative source for Indian power industry if the proposed coal export ban come into effect by 2014?
Indian power generation companies have been forced to look out for coal assets abroad due to the investment and regulatory environment within the country. India boasts of more than 110 billion tonnes of coal reserves, which largely fall within a 300 meters of depth. If the regulatory and investment environment is amended to allow greater participation of private sector Indian dependence on imports will be reduced.

However, for imports, India will continue to look at Indonesia, South Africa, Australia and newer destinations like Mozambique and Columbia. But these sources also have constraints, domestic demands in South Africa is likely to restrict quantum jump in exports out of South Africa. Indonesia has also proposed domestic market obligations. Mozambique may have infrastructure constraints for large volumes of coal being transported from Tete province to ports of Maputo, Ncala or Beira. Australian coal is of high quality but may have higher costs of mining and transport.

What would be the additional cost if Indian consumers switch their sourcing origin from Indonesia?
Indonesia has competitive advantage due to its geographical closeness. However, on a per tonne basis, assuming comparable quality, costs of transport may make marginal difference when compared with South Africa and Mozambique.

When compared to Australian coal, due to the high quality, cost of energy may well be comparable even though shipping costs are higher. Between Indonesian coal (5500 kcal/kg adb priced at USD 90 per tonne) and Australian coal (6500 kcal/kg adb priced at USD 120 per tonne), indicative variable cost difference of power generation may be about Indian Rupees 0.20 to 0.30 per kWh (electricity unit) in favor of Indonesian coal.

Will it affect Indian economy growth or this coal export ban is ignorable as India can easily identify alternative sources of fuel?
The magnitude of growth in power generation in India will necessarily mean that coal will remain the mainstay. Natural gas has had issues of availability. Nuclear plant development is facing socio-political challenge in view of the risks of technology failure. Development of hydel power has also faced issues of land acquisition, rehabilitation & resettlement apart from the technical issues of hydro-geological features. Renewable sources such as solar and wind generation are still projected to constitute a small portion of India power generation mix. Identifying an alternative source that can match coal in its accessibility, availability and affordability in the context of scale of capacity addition required in India is a challenge.

What is the Indian government's role on this issue, whether government has to come out with the solution such as easing Indian mining and environment law, open up mining for foreigners,  G2G arrangement, etc…?
There is a need to look at domestic sources with pro-active and constructive approach and make all necessary legal and statutory amendments that make the resources available and mineable. Easing the regulations may not be one of such measures but making those regulations work in sync with each other in a time bound and predictable manner must certainly be.

There is certainly a case for opening the domestic coal sector for private participation, including independent miners, and for foreign participation so that newer technology and enhanced scale of operations are implemented in India. The regulation also needs to permit risk capital to come in for prospecting and exploration.

For imports the G2G relations can be leveraged to secure coal assets. India has good relationship with Indonesia and has also signed a tax treaty with Mozambique in 2010 which will facilitate investments. Government may also engage with these countries to ease exports to India and extend fiscal support to coal mining companies investing in mining and associated infrastructure development. 

About Dipesh Dipu
Dipesh Dipu works as Director with Deloitte Touche Tohmatsu India Pvt. Ltd in the Energy and Resources consulting practice of the firm and anchors the Firm’s initiative in the mining and metals sectors.

He is a mining engineering graduate from Indian School of Mines and is a Chartered Financial Analyst (CFA). He has also done executive program in business management from Indian Institute of Management Calcutta. Dipesh has recently been awarded the Abheraj Baldota Gold Medal for the Young Mining Engineer of the Year 2007 by the Mining Engineers’ Association of India in recognition of his contributions in the improvement of mining industry in India.



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

Recent News

Friday, 04 October 13
US COAL PRODUCTION UP 2.1% WEEK ON WEEK - EIA
COALspot.com – United States the world’s second largest coal producer produced approximately 19.70 million short tons (mmst) of coal in ...


Thursday, 03 October 13
INDONESIA AUGUST COAL EXPORTS FALL 12.90 % FROM JULY TO 30.71 MIL MT
COALspot.com:  Indonesia, the 15th largest economy in world, 4th largest coal producer in world and world's largest multi grade coal exporter ...


Thursday, 03 October 13
TOP FOUR U.S. COAL COMPANIES SUPPLIED MORE THAN HALF OF U.S. COAL PRODUCTION IN 2011 - EIA
In the past two years, more than half of U.S. coal production was attributable to the top four coal producers, the result of changes in regional pro ...


Thursday, 03 October 13
HANDY: PERIOD MARKET STAND IN GOOD POSITION - FEARNRESEARCH
Handy Nickel ore and Bauxite was active last week but slowed down now due to Chinese holidays. Ships opened in North China fixed at US$ 11-13k leve ...


Wednesday, 02 October 13
DRY BULK MARKET IS STILL MAINTAINING ITS UPWARD DIRECTION
Chartering (Wet: Stable- / Dry: Firm+) Despite the fact that rates for Capes didn't continue their crazy ride this past week, the Dry Bulk market ...


   816 817 818 819 820   
Showing 4086 to 4090 news of total 6871
News by Category
Popular News
 
Total Members : 28,691
Member
Panelist
User ID
Password
Remember Me
By logging on you accept our TERMS OF USE.
Free
Register
Forgot Password
 
Our Members Are From ...

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