Thar coal deposits could meet country’s energy needs: SCA
By Sajid Chaudhry
ISLAMABAD: The Sindh Coal Authority has claimed that Thar coal deposits are sufficient to meet fuel requirements of the country for centuries and could generate about 100,000 MW of electricity. Only 200 million tones Thar coal (lignite) can produce 1000 MW electricity power up to 40 years in the country.
To develop these coal reserves the authority has pointed out that investors interested in undertaking coal power projects are reluctant due to inappropriate tariff. To achieve the objective of development of indigenous resources the government should determine upfront tariff for coal based power projects to be based on previous studies conducted by international organizations.
The authority has also proposed the government to form a consortium of public and private sector organization to develop a coal mine of required capacity, meanwhile to convince the investors for power generation on Thar coal. According to a research paper on “meeting the energy needs of the country” prepared by the authority and available with Daily Times reveals that in Pakistan, share of coal in energy mix during decades declined from 68% to 35% and 5% in 2002. It happened due to the reasons that natural gas and cheaper oil was available for industrial use and power generation in the country.
Presently the scenario has changed, gas reserves of the country are depleting and continue to deplete and it has other important uses, such as fertilizer and other. Oil reserves of the country are limited with high cost of production, which is increasing day by day and would continue to increase in foreign exchange with uncertain conditions.
Thar coalfield is spread over an area of 9000 sq kilometer, which consists over 175 billion tones with proved coal reserves over 12 billion tones of six delineated blocks over an area of 500 kilo meters.
Necessary infrastructure to support accessibility and availability of coal (lignite) is available, which includes road, transport, communication, water and energy utilities. Indigenous resources are free from uncertainties of fuel supply and associated danger of dictation of oil prices by oil suppliers. Coal drive much of current global economic development and providing 23% of global primary energy needs and generates about 39% of the world energy.
Global primary coal consumption would rise at an average annual rate of 1.4% up to 2030. In all regions, coal use would become increasingly concentrated in power generation, which would account for almost 90% of the increase in demand during 2000 to 2030, according to World Energy Outlook 2002. Coal can play an integral role in the economic development of many countries and in addressing sustainable development in the filed of economic, social and environment. Pakistan coals are mostly lignite and Thar coal (lignite) with proved reserves of 12 billion tones has over burden ratio 5 to 7, which can be economically mined. Clean coal technology is available, which has made possible to use lignite with zero emission.
Thar Coalfield: Geological Survey of Pakistan (GSP), discovered huge deposits of coals in 1992 at Thar during the research program assisted by United States Geological Survey (USGS). Spread over an area of more than 9000 square kilometers with dimensions of 140 kilometer north-south and 65 kilometer in the east-west possess 175.506 billion tones of coal. Coal mining cost suggested by coal feasibility studies conducted in 1994 at Thar by John T. Boyd of United States revealed that in case annual production comes to 2.5 million tones estimated realization cost would be $88 per ton. Incase the annual production comes to 3.5 million tones the estimated realization cost to be $68.50 per ton and if the production level comes to 7 million tones annually the estimated cost would come down to $40.60 per tone.
Another study done by RWE of Germany in the year 2003 highlighted that 6 million tones annual production with shovel trucks the estimated realization cost to be $36.50 per ton and electricity generation value to be 6.9 cents per KW/h. Same production level is achieved with bucket wheal excavator the estimated realization cost to be $42.50 per ton with specific value US Cents 7.18 KW/h.
My God, this is an energy gold mine for Pakistan, why isn’t anyone doing anything about it?