Global report: South Africa’s coal industry at a cross road

The recent changes in South Africa’s energy sector have placed the future of coal at a “crossroads”. However, demand is expected to be stable for the next five years, supported by the Chinese market, which accounts for around half of global consumption according to the 2019 Coal Report.

 

The 2019 Coal Report by the International Energy Agency (IEA) said although the government’s Integrated Resource Plan, released earlier this year, had brought “broad clarity” for the future country’s energy sector, there were still uncertainties over the coal industry.

 

These include the financial difficulties of electricity utility Eskom, changes in coal mine ownership, and the shift away from Mpumalanga, the county’s coal-mining heartland, to other areas.