Premium Essay

Cost Of Coal

Submitted By
Words 1745
Pages 7
Coal’s Cost on the Environment The environment is becoming one of the central issues in our world today. With effects such as global warming, we are not going to have much time left on this planet if we sit here and do nothing. The use and mining of coal is one of the largest environmental factors in the world. According to the World Health Organization, “coal particulates pollution are estimated to shorten approximately 1,000,000 lives annually worldwide, including nearly 24,000 lives a year in the United States”. You may think, why are we still using and mining this stuff if it is killing us? We really shouldn’t be, but the only problem is that harming the environment can be an offset of making a lot money. As it will be looked into …show more content…
The first known use was in China in 3490 B.C., with major production starting in the first Industrial Revolution in Britain. “One of the main reasons for this was the country being endowed with extensive cheap coal supplies which not only provided cheap energy and a lucrative export trade but also acted as a stimulus to innovation in a wide range of industries well before 1770” (Spear). At first, coal mining was seen as a monumental discovery. Although it was an amazing discovery that led to greater things in the world, we now know that coal isn’t as good as we thought it was. Coal is one of the worst if not the worst producer of greenhouse gasses. When burned, coal produces one third more carbon dioxide that gas, and double the carbon dioxide of natural gases. “Additionally, the mining and processing of coal typically leads to the emission of methane, which is trapped in natural deposits of coal and is a much more potent greenhouse gas than carbon dioxide” (Bell). So how many people are actually still using this even though there are better options? Probably more than you thought. Coal is still the predominant use of energy around the world at 40%. With future projections of coal produced greenhouse gases through the roof, coal is the greatest threat the world faces today. The process of mining coal has its own environmental effects also. According to Shannon Bell and Richard York, “the mining and processing …show more content…
Some counties depend on coal as a fuel to provide energy, and some countries depend on coal as a natural resource to make money for their country. The United States is a prime example of a country that depends on the use of coal as a source of energy. We are very lucky to be rich in natural resources like coal as well. Then there are countries like China, Poland, and India, which also have large reserves of the natural resource coal. Taking a closer look at China, which “as the primary source of energy in China, coal accounts for about 50 % of the non-recyclable energy consumption of the country” (Shi). China has around 4,025,376.53 thousand short tons of coal reserves (Coal). Around the world, China is typically thought of a developed country due to its large population and production of goods such as coal and manufactured products. However, when you look at the Human Development Index (HDI) for China, it might surprise you. The Human Development Index is a measure of the level of human development in a country. It includes GDP per capita, life expectancy, and education levels (Scott 278). The Human Development Index for China is 0.699, which is quite lower than countries like the United States at 0.937 and Canada at 0.911. For a country that uses and produces so much coal, how are they not as developed as other countries such as the United States? One way of explaining this is through the

Similar Documents

Premium Essay

Economic Analysis of Wesfarmers Coal

...Wesfarmers Coal division, with mining interests throughout Australia, is part of Wesfarmers Limited, a major diversified Australian public company. They only produce thermal (steam) coal and metallurgical (coking) coal, with the latter being exported (Figure A). As shown in Figure B coking coal is priced much higher than thermal coal. The firm’s coal interests include the Curragh mine in Queensland’s Bowen Basin, the Premier Coal mine at Collie in Western Australia’s south west, and a 40 per cent interest in the Bengalla mine in the Hunter Valley of New South Wales. Before analysing the challenges, it is beneficial to examine the market Wesfarmers operates in. The marketplace for coal is domestic, with the majority exported on the global market. The coal industry can be described by the classic perfect competition model via the following characteristics (Earl & Wakeley, 2005: 226-227): • Large number of potential buyers (global market) • Large number of potential competitors. World Coal Institute estimates that recoverable coal reserves are in more than 70 countries and supply will last approximately 155 years (World Coal Institute: 2007). • Large number of current competitors. Each competitor sells a perfect substitute for Wesfarmers coal. • There is no price regulation in the coal industry. According to Earl and Wakeley (2005: 227), these characteristics would make Wesfarmers a price-taking firm which has no control of the price it charges for coal. It has...

Words: 2279 - Pages: 10

Premium Essay

Cost Collection

...ESTIMATING THE COST OF COAL-FIRED GENERATION AN APPLICATION OF VISTATM April Anderson Fuels Consulting Project Manager Ken Nowling Project Manager Black & Veatch 11401 Lamar Avenue Overland Park, KS 66207 anderson-higgsaa@bv.com Coal characteristics affect nearly every operational facet of a power plant, including forced outage rate, maintenance costs, auxiliary power requirements, net plant heat rate, emissions, and the ability to meet full load. Therefore, it is difficult to predict the relative economics associated with significant changes in coal quality due to coal cleaning or coal blending. Recognizing the need to predict the total fuel-related cost of coal-fired generation, EPRI commissioned the development of the Coal Quality Impact Model (CQIMTM) a computer program to predict these performance and cost impacts of burning alternate coals at existing power generating facilities. First released in 1989, CQIM represented nearly a decade of effort by Black & Veatch (B&V) and EPRI. CQIM quickly became the industry standard for fuel-related performance and economic analyses. It has been obtained by over 100 EPRI member utilities and has been purchased by non-EPRI U.S. utilities, international utilities, and coal producers. The current version, VistaTM, was released as a commercial product in 2000. Vista represents continual technical improvements over CQIM which expand its applicability to power plants around the world. This paper will describe Vista and provide an example...

Words: 8408 - Pages: 34

Premium Essay

Luotang Power Case Study

...Introduction This case study Luotang Power: Variances Explained is mainly concerned with a study of variances that will show the changes in performance in the company and the external environment that is not within the power plant’s control. The Luotang Power Company (Luotang) is a 600 Mega Watt (MW) coal fired power plant located in the Hubei Province, China. Luotang first started in 1997, when the Provincial Planning Commission, working on behald of the Hubei Provincial Government, had solicited bids from international power developers to finance, design, build, and poerate a 600MW coal-fired power plant. The project was contracted on a Build Operate Transfer (BOT) Basis, that meant that the power plant would be given to the Hubei Provincial Government after 20 years of operation at no cost. Luotang was mainly rural in nature but development quickly increased when the power plant opened. Luotang is wholly owned by an American independent power producer. Luotang’s parent company is known as China Hua Tong Power (HT Power). It’s primary customer is the Hubei Provincial Power Company (HPPC) and their main coal supplier was the Pindingshan Coal Company (Pindingshan). Tan Min Yi has been the general manager of the Luotang Power Company since 2002. In this case study, it talks about how Tan has to make a presentation to the Board of Directors of Luotang’s parent company, that is HT Power about the results received in the 2011 Report of Operations. He is concerned about what...

Words: 3218 - Pages: 13

Premium Essay

Exapme;

...2013 Table of Contents 1.0 INTRODUCTION 4 2.0 MAIN ISSUE 5 3.0 FINDINGS 7 4.0 STANDARD COST 12 5.0 RECOMMENDATION 13 6.0 CONCLUSION 15 1.0 INTRODUCTION Tan Min Yi who was the general manager of Luotang Power, a coal-fired power plant located in central China. He should make a presentation to the Board of Directors of his parent company, China Hua Tong Power (HT Power). Tan knew that his company had performed well during that year, both plant availability and fuel economy improved over the previous year but it just didn’t show up in the financial report. Hubei Provincial Power Company (HPPC) was the primary customer of Luotang that had made a contract for a minimum annual purchase of total electricity of 3,000,000MWh every year. However, there had been limited opportunity to sell energy above the contractual minimum, either to HPPC or others. If the amount of sell would be reduced, the contract required that Luotang sell amounts in excess of minimum annual purchase at approximately 65% of regular price. Luotang also made a contract with coal supplier, Pingdingshan. The company had been successful at selling excess electricity to the power plant but over the past 12 months, demand has decreased. This happen because by falling revenues were concentrate by the high debt burden that the project carried, with approximately 80 percent of the initial construction cost being finance by debt. In this case of Luatong...

Words: 2706 - Pages: 11

Premium Essay

Toxic Luxury

...our light switches, charge our cell phones, and turn on our TVs with no thought as to how we our able to enjoy this so called luxury of power. As with most luxuries in life, electricity bears a cost. Yes, monthly we are billed for our household usage by the kilowatt, but there are other costs we’ve neglected to consider. Duke Energy, the largest electrical power holding company in the United States, plead guilty to nine violations of the Federal Clean Water Act in a hearing held this past May, which culminated in a fine of $102 million. The violations resulted from a spill of about 39,000 tons of coal ash due to a collapsed pipe under a coal ash dump that coated 70 miles of the Dan River near Eden, North Carolina with sludge. Coal ash is the inorganic residue left behind when pulverized coal is burned to produce electricity. Coal ash is one of the largest types of industrial waste generated in the United States and in 2012 the nation’s coal plants generated nearly 10 1milloin tons of it. A little less than half of coal ash produced in the United States is recycled into products like concrete, pavement or wallboard. However, the rest is stored, in over 2,000 storage sites across the country, in landfills, quarries or ponds that, over time, accumulates to potentially millions of tons of coal ash that contains some of the world’s deadliest toxic metals: arsenic, cadmium, chromium, lead, mercury and selenium. These contaminants can pollute, groundwater, drinking water and the air....

Words: 1902 - Pages: 8

Premium Essay

Coal Quality Control

...coal qualiTy conTrol COAL QUALITY CONTROL Source: Aker Solutions Daniel Mahr, P of US baSeD .e energy aSSociateS, P gives us .c, an in depTh look aT The major issues relaTing To coal qualiTy from The perspecTive of Thermal power generaTion. service, and reduced impacts. Different energy conversion technologies have their applications, but no single option does it all. Wind, solar, and hydro options don’t use any fuel, so shouldn’t we just rely on these technologies? Wind power is best sited where the duration/velocity makes sense, away from migration pathways, and away from neighbours who would object to noise and fluttering shadows. It will likely require 100 per cent back-up or additional energy storage systems, and new longer transmission lines to load centres are often required. There are similar requirements for solar power, just substitute lumens for velocity. With hydro power, there are concerns for fish migration/ spawning, land use, geological concerns for T he power industry is confronting challenges with seemingly conflicting goals – affordable rates, dependable Industrial Fuels and Power l COAL QUALITY CONTROL ‘‘As power plants face a growing need to reduce costs and environmental impacts, coal quality is increasingly an issue of interest, as a means to do more with less..‘‘ supporting the weight of a new lake, stability concerns for newly saturated perimeter hills that can result in landslides, and the impact of a drought on production. Its the delivered...

Words: 3960 - Pages: 16

Premium Essay

Coal

...Definition of coal: • caustobiolitică a sedimentary rock that comes from vegetal incarbonizarea. • the transformation is slow in the absence of atmospheric oxygen at elevated pressures and temperatures that depend on the depth at which the plant is accumulation. Classification of coal: Coal (7000-9000 kcal / kg): anthracite, coal Quality coal (2600-5000 kcal / kg) brown coal, lignite, peat Historically the use of coal Late nineteenth century - coal had a role in the development of industry (coal century). Widely used as fuel for steam engine - James Watt (creator of the first motor efficiency). The widespread use of coal: Getting coke resulting from the high temperature carbonization process, the distillation of coal in the absence of oxygen. The coke used as fuel in the steel (for obtaining one ton of steel requires 600 kg coke). The material or by-product in the manufacture of iron, calcium carbide and other industrial thereof. Fuel for power generation and chemicals. construction materials fuel for power stations and cement factories (3/4 of the demand for coal) Chemical Industry Getting paints, plastics, synthetic fibers, fertilizers, etc.. Pharmaceutical industry. Domestic heating fuel Synthetic Fuel Coal Liquefaction Evaluation of coal resources: 1913 - International Geological Congress in Turin (7100 billion tons) - North America 68%                                                                                                                        -...

Words: 3184 - Pages: 13

Premium Essay

Advantages And Disadvantages Of Biogas

...sold tk .20 and existing water cost is 6tk/ton. Now in the following other things held constant the following energy cost will be required 3.5 Other alternative options of this Biogas at Savar Area- There are two more options available for brick manufacturers at Savar area such as – Compensate Natural gas with biogas and use biogas to the traditional brick field. Costing and other issues will be varied based on the alternative approaches. Benefit will also be varied. Now in the following different approach and cost-benefit will be presented....

Words: 763 - Pages: 4

Premium Essay

Thar - the Energy Pill for Pakistan

...Maida Siddiqui Moiz Tapal Ayesha Sarfaraz Usman Thar Coal Reserves C oal -the black gold is found in all the four provinces of Pakistan. Country has huge coal resources, about 185 billion tons (making Pakistan stand 18th in the world), out of which 3.3 billion tons are in proven/measured category and about 11 billion are indicated reserves, the bulk of it is found in Sindh province. The current total mine-able reserves of coal are estimated at 2 billion tones (60% of the measured reserves). The largest coalfield of Pakistan, Thar, is a resource potential of about 175 billion tones sufficient to meet country’s fuel requirements for centuries. The rank of Thar coal ranges from lignite-B to sub-bituminous-A with high moisture and low sulfur content. The average chemical analyses of the coal samples from the entire Thar coalfield are: Moisture | 46.77% | Volatile Matter | 23.42% | Fixed Carbon | 16.66% | Ash | 6.24% | Sulfur | 1.16% | Heating Value (Dry) | 10,898 Btu/lb | It is one of the world’s largest lignite deposits discovered by the Sindh Arid Zone Development Authority. In 1991, enormous coal deposits were conferred by the Geological Survey of Pakistan and the United States Agency for International Development, spread over more than 9, 000 sq. km. Estimated lignite deposits in Sindh, suitable for electric power generation and other applications are around 218 billion tons- about 98% of coal deposits of the country. If all the oil reserves of Saudi...

Words: 3764 - Pages: 16

Premium Essay

Coal in West Virgina

...Logan Walls Dr. Cohenour 9/24/2012 The Cost of Mother Nature West Virginia has a number of different natural energy resources that can be utilized. There is coal, which is a nonrenewable energy resource because there is a limited amount of supply. Then there is wind and hydropower, which are considered renewable energy resources; because there is an infinite amount of supply. The city council may want to take into consideration these two renewable energy sources for the many different advantages each source has to offer. West Virginia has an abundance of natural energy resources such as coal, wind, and hydropower; all of these energy resources could generate electricity and stabilize the community’s economy in various ways, including the different types of facilities, cost, and production output. West Virginia coalmines are amongst the top in the country for coal production. A 2009 study showed that five states in America produced close to three quarters of all the coal in the entire country, and West Virginia was number two on the list. Coal is used to generate electricity, heat, and for industrial uses. In the 2009 study, over ninety percent of the coal was used to generate electricity, a little over six percent was used in the industry, and less than one percent was used to generate heat (“Coal” 18). West Virginia mines a large portion of the countries coal every year and in order to keep up the high demand, most of the state workforce is employed by the coalmines...

Words: 1735 - Pages: 7

Premium Essay

Luotang Power

...9-913-533 JANUARY 29, 2013 ROBERT SIMONS CRAIG CHAPMAN Luotang Power: Variances Explained Introduction As soon as Tan Min Yi received the 2011 Report of Operations for the Luotang Power Company, he called company Controller Fiona Zhu and Sales Manager Ricky Wang into his office to discuss the results. Tan was general manager of the Luotang Power Company, a 600 Mega Watt (“MW”)1 coalfired power plant, located in Hubei Province, China. He was scheduled to make a presentation to the Board of Directors of his parent company, China Hua Tong Power (“HT Power”), the following week about the most recent results and was concerned about their reaction to the disappointing results.2 Tan knew his company had performed well during the year. Both plant availability3 and fuel economy had improved over the previous year. Additionally the plant’s primary customer, the Hubei Provincial Power Company (“HPPC”), had met its contractual electricity purchase obligations for the year. However, there had been limited opportunity to sell energy above the contractual minimum, either to HPPC or others. Still, Tan felt that these factors were outside his control. His team had performed well—it just didn’t show up in the financial results. The scheduled presentation to the Board was important for two reasons. First, HT Power was considering a 2,000 MW expansion at Luotang. However, on a more personal note for Tan, he had been general manager of Luotang since 2002, and he hoped it would...

Words: 3675 - Pages: 15

Premium Essay

Coconut Charcoal

...brittle, lightweight, black, material resembles coal. It has been used since the earliest times for a range of purposes including art and medicine, but by far its most important use has been as a metallurgical fuel. Prior to the industrial revolution charcoal was occasionally used as a cooking fuel. Philippines is the Top 1 among the coconut producing countries. For coconut is abundant in our country, it is popular for its culinary purposes, commercial, industrial, and household uses, and medical applications. Coconut shells with husks are used to buff wooden floors, making it clean and shiny (free from dusts). Here in the Philippines, it is known as “bunot”. The husk and shells can be used for fuel and are a source of charcoal. Coconut shells/husks are usually left around and are considered wastes besides making them into husks. To get benefits from them, by a primitive process, they can be produced to charcoal which can be an alternative fuel especially for cooking. B. Statement of the Problem The study aims to produce charcoal using coconut (Cocos nucifera) fibers. Specifically, it seeks to find answers for the following questions: 1. How much charcoal can be produced from the coconut fibers? 2. How long is the coal ember of the Coconut Fibers Charcoal? 3. Is there a significant difference between the Coconut Fibers Charcoal and the commercially made charcoal in terms of the duration of coal ember and cost analysis? C. Significance of the Study ...

Words: 2054 - Pages: 9

Premium Essay

Luotang Power: Variances Explained

...9-913-533 JANUARY 29, 2013 ROBERT SIMONS CRAIG CHAPMAN Luotang Power: Variances Explained Introduction As soon as Tan Min Yi received the 2011 Report of Operations for the Luotang Power Company, he called company Controller Fiona Zhu and Sales Manager Ricky Wang into his office to discuss the results. Tan was general manager of the Luotang Power Company, a 600 Mega Watt (“MW”)1 coalfired power plant, located in Hubei Province, China. He was scheduled to make a presentation to the Board of Directors of his parent company, China Hua Tong Power (“HT Power”), the following week about the most recent results and was concerned about their reaction to the disappointing results.2 Tan knew his company had performed well during the year. Both plant availability3 and fuel economy had improved over the previous year. Additionally the plant’s primary customer, the Hubei Provincial Power Company (“HPPC”), had met its contractual electricity purchase obligations for the year. However, there had been limited opportunity to sell energy above the contractual minimum, either to HPPC or others. Still, Tan felt that these factors were outside his control. His team had performed well—it just didn’t show up in the financial results. The scheduled presentation to the Board was important for two reasons. First, HT Power was considering a 2,000 MW expansion at Luotang. However, on a more personal note for Tan, he had been general manager of Luotang since 2002, and he hoped it would be time for...

Words: 3495 - Pages: 14

Premium Essay

No More Consumption of Coal

...April 22, 2014 No More Consumption of Coal After the industrial revolution, energy is urgently needed for both daily life and industries. For hundreds of years, human beings have relied on the consumption of energy. People not only cannot live without them but also have to increase the amount for their better living methods and better life quality. Problems come along with increasing energy, especially when the major part of the energy comes from burning coal. Pollution caused by excess burning of coal and trade problems caused by coal prices and coal reserves are so apparent that need to be addressed. However, the advantages of burning coal for energies are so clear for its cheaper price compared to other energies. The balance between benefit and cost is hard to maintain. The choice between continuing current coal consumption and a healthy future is hard to make. For a sustainable society and to improve the quality of the environment and reform the economy, the global consumption of coal needs to be restricted. The balance between economy and environment is hard to maintain. Burning coal for energy has lots of advantages and disadvantages. There are two opposite opinions towards dealing with excess consumption of coal. According to objective global circumstance, it is impossible to ban coal directly. So a debate about whether to restrict coal makes more sense here. The consumption of coal is a fact and there must be a substitute for coal if people want to restrict it. Renewable...

Words: 3139 - Pages: 13

Premium Essay

Rampal Power Plant

...Rampal Coal-Fired Power Plant Who gains, who loses? Moshahida Sultana Ritu WHO does not know that Bangladesh needs more electricity for its economy to grow? Who does not know that every economic opportunity comes with an environmental cost, be it high or low, visible or less visible? But does this knowledge really leave us with no choice when Bangladesh signs three agreements with India to establish a 1320 megawatt coal- fired power plant in Rampal? No. Without answering the question “who pays the cost of environmental degradation and who are the ultimate beneficiaries from building the power plant?” we cannot justify building Rampal power plant. First, setting up Rampal power plant is not going to ensure our energy security; rather it may aggravate our existing problems. The newly formed joint venture company named Bangladesh India Friendship Power Company (BIFPC), with equal ownership of Bangladesh’s BPDB and India’s NTPC, will be a full-fledged commercial venture. A commercial venture with an objective of cost recovery and profit maximization is not a problem that may lead to project failure. Rather, the problem will be visible elsewhere. The source of finance and ownership will matter the most in this type of project’s sustainability. Initially Bangladesh and India will equally share up to 30 percent equity of this mega project. The remaining equity, which may be equivalent to $ 1.2 billion, will be taken as bank loan with help from the NTPC. Repaying the loan...

Words: 1204 - Pages: 5