"Reach out and convince someone.."

Sunday, November 27, 2011

Malaysia's Options for Power (Part 2)


Coal

Issues
  • Over reliance on coal (40% of country's energy source)
  • Supply risks (availability and politically)
  • Price risks including FOREX
  • Scarcity of suitable sites for future coal plants
  • Environmental & climate change regulation
Possible Solutions
  • Continuous strategic coal procurement
  • Diversification to other sources of generation
  • Strategic investment in coal mines
  • Use of advanced technology to optimize and increase efficiency
Truth is, we don't have much coal. Yes, we have coal mines but the supply can't keep up with the demands. Thus we have to import from outside (Indonesia 72%, Australia 15%, Africa 13%). The price for coal is not the same every year. It fluctuates and of course it won't go down. That is if we are not troubled by politics or currency crisis. In 2010, our import is doubled from 9-11 million tonne to 19.9 million tonne. 

Burning coal is already bad for environment and yet we are burning money to charge our gadgets.

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