Global Energy Review: Coal Uses

In News

  • A recent analysis from the International Energy Agency (IEA) has stated that India used more coal power in 2021 than 2020, which could delay its climate goals.

Key Findings: India

  • Rising Trend: 
    • India used 13 percent more coal to generate electricity in 2021 than the previous year, given the COVID-19 pandemic. 
    • This figure is going to increase in the future, given the current global scenario and will delay India’s efforts to reach its climate goals.
  • Carbon dioxide Emissions:
    • India’s carbon dioxide (CO2) emissions in 2021 soared to 80 megatonnes (Mt) above pre-pandemic levels in 2019. 
  • Renewable Energy Slowed: 
    • Growth in the renewable energy sector slowed to a third of its average rate of the previous five years. 
  • High Commodity Prices:
    • This has increased the cost of producing solar photovoltaic modules, wind turbines and biofuels.

Global Scenario

  • Record High Carbon Dioxide Emissions: 
    • CO2 emissions rose six percent to 36.3 billion tonnes last year. 33 percent of these can be traced back to China.
    • CO2 emissions from energy combustion and industrial processes accounted for close to 89 percent of energy sector greenhouse gas emissions in 2021. 
    • Gas flaring accounted for another 0.7 percent of CO2 emissions.
    • Advanced countries kept their CO2 emissions under check even as their battered economies returned to the pre-pandemic state.
  • Post and pre -COVID:
    • CO2 emissions worldwide dropped in the early days of the COVID-19 pandemic as countries announced strict lockdowns to control the spread of the SARS-CoV-2 virus. 
    • Emissions globally dropped to 5.4 percent in 2020, compared to the previous year.
  • Rise in Renewables:
    • Despite the rebound in coal use, renewable energy sources and nuclear power provided a higher share of global electricity generation than coal in 2021. 
    • Renewables-based generation reached an all-time high, exceeding 8 000 TWh in 2021.
  • Methane levels: 
    • Global methane levels went up five percent in 2021, but were still lower than pre-pandemic levels. 
  • GHG emissions: 
    • The overall greenhouse gas emissions reached 40.8 gigatonnes of CO2 equivalent in 2021, above the previous all-time high in 2019.
    • The world has not heeded the call for a sustainable recovery from the Covid-19 crisis.
  • Emissions from the world’s power plants reached their highest ever level. 
  • Reason for Shift to Coal:
    • The United States and many European countries switched to coal from gas, adding roughly 250 Mt of CO2 in 2021. 
    • The costs of operating existing coal plants were considerably cheaper than that of gas-fired power plants for most of 2021.

Coal Consumption in India

  • India: 2nd largest importer, consumer and producer of coal, & has world’s 5th-largest reserves.
  • Majorly imports: Indonesia, Australia and South Africa
  • Highest Coal reserves: Jharkhand, Odisha, Chhattisgarh
  • Coal accounts for over 70% of India’s electricity output, and utilities account for about 75% of India’s coal consumption.

Recent Coal Sector Reforms 

  • 1973: Nationalisation of Coal mining was done.
    • Pvt. Sector only use it for captive (own) purpose.
  • 2014: SC cancelled Coal blocks.
  • 2015: Coal Mines (Special provisions) (CMSP) Act introduced (Pvt Sector involved through auctioning)
  • 2020: Mineral Laws (Amendment) Act (Removal of restriction on end-use of coal)
    • Right to exploit coal bed methane (CBM) and minor minerals have been provided
  • Others: Prakash Portal for coordination, Infra under AtmaNirbhar Policy.
    • Online single-window clearance system.

Coal in India

  • About: 
    • Coal is a readily combustible, black or brownish-black sedimentary rock, predominantly made of carbon. 
  • Major uses of coal:
    • Power generation in Thermal Power Plants.
    • Steel production with the help of coking coal.
    • Synthetic fuel by gasification and coal liquefaction.
    • In alumina refineries, paper manufacturing, and chemical and pharmaceutical industries.
  • Types of coal found in India
    • Anthracite: It is the highest grade of coal containing a high percentage of fixed carbon. It is hard, brittle, black and lustrous. It is found in smaller quantities in regions of Jammu and Kashmir.
    • Bituminous: It is a medium grade of coal having high heating capacity. It is the most commonly used type of coal for electricity generation in India. Most bituminous coal is found in Jharkhand, Odisha, West Bengal, Chhattisgarh, and Madhya Pradesh.
    • Bituminous: It is black in colour, dull (not shiny) and has a higher heating value than lignite.
    • Lignite: It is the lowest grade coal with the least carbon content. It is found in the regions of Rajasthan, Tamil Nadu, and Jammu & Kashmir.

About International Energy Agency (IEA)

  • Origin: In 1974 to ensure the security of oil supplies.
  • Objectives: The IEA was established as the main international forum for energy co-operation on a variety of issues such as security of supply, long-term policy, information transparency, energy efficiency, sustainability, research and development, technology collaboration and international energy relations.
  • Working: 
    • The IEA is an autonomous inter-governmental organisation within the OECD framework.
    • The IEA works with governments and industry to shape a secure and sustainable energy future for all.
  • Areas of Work:
    • Promoting energy efficiency
    • Energy security
    • Programmes and partnerships
    • International collaborations
    • Promoting digital demand-driven electricity networks
    • Data and statistics
    • Training
    • Technology collaboration
    • Global engagement
    • Industry engagement
  • Members: 
    • It is made up of 30 member countries, 8 association countries, and 3 accession countries. 
    • A candidate country to the IEA must be a member country of the OECD.
    • IEA member countries are required to maintain total oil stock levels equivalent to at least 90 days of the previous year’s net imports. 
    • India became an Associate Member of IEA in 2017.
  • Important Reports:
    • World Energy Outlook
    • Energy Technology Perspectives
    • World Energy Balances
    • World Energy Statistics
    • Net Zero by 2050

Source: DTE 

 

About International Energy Agency (IEA)

  • Origin: In 1974 to ensure the security of oil supplies.
  • Objectives: The IEA was established as the main international forum for energy co-operation on a variety of issues such as security of supply, long-term policy, information transparency, energy efficiency, sustainability, research and development, technology collaboration and international energy relations.
  • Working: 
    • The IEA is an autonomous inter-governmental organisation within the OECD framework.
    • The IEA works with governments and industry to shape a secure and sustainable energy future for all.
  • Areas of Work:
    • Promoting energy efficiency
    • Energy security
    • Programmes and partnerships
    • International collaborations
    • Promoting digital demand-driven electricity networks
    • Data and statistics
    • Training
    • Technology collaboration
    • Global engagement
    • Industry engagement
  • Members: 
    • It is made up of 30 member countries, 8 association countries, and 3 accession countries. 
    • A candidate country to the IEA must be a member country of the OECD.
    • IEA member countries are required to maintain total oil stock levels equivalent to at least 90 days of the previous year’s net imports. 
    • India became an Associate Member of IEA in 2017.
  • Important Reports:
    • World Energy Outlook
    • Energy Technology Perspectives
    • World Energy Balances
    • World Energy Statistics
    • Net Zero by 2050

Source: DTE

 

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