Quantcast
Environmental News for a Healthier Planet and Life

Help Support EcoWatch

Drop in Demand From China Threatens Australian Coal Mining Projects

Energy

Major Australian coal projects risk losing value due to falling demand from China, where leaders are increasingly concerned about growing public anger over severe air pollution, a new analysis from Oxford University has found.

Australia's coal investments, like this open pit mine in Victoria, risk becoming stranded if China implements new energy policies. Photo credit: Marcus Wong Wongm /Creative Commons

Future coal mining projects are vulnerable to being "stranded" by a range of policy changes from the Chinese government, including environmental regulation, carbon pricing, investment in renewable energy and energy efficiency, the report said.

One expert told The Guardian that global investors are already questioning the prudence of financing new fossil fuel projects. Backers of a handful of upcoming Australian coal projects "should seek clarity" on the associated costs, the Oxford analysis warns. It also cautions that Australian state governments could suffer if projects are mothballed or abandoned.

"State and federal governments can also reduce the risk of their own investments becoming stranded assets by limiting the use of public funds and resources that support coal-related infrastructure, such as ports and railways," the report says.

Of particular concern are two mega-mines—both being supported by Australia's pro-coal Prime Minister Tony Abbott—that are slated for development in Queensland. Once up and running at full capacity, the two projects combined would produce enough coal to emit more than 70 millions tons of CO2 each year.

Visit EcoWatch’s COAL page for more related news on this topic.

EcoWatch Daily Newsletter

A scenic view of West Papua. Reza Fakhrudin / Pexels

By Arkilaus Kladit

My name is Arkilaus Kladit. I'm from the Knasaimos-Tehit tribe in South Sorong Regency, West Papua Province, Indonesia. For decades my tribe has been fighting to protect our forests from outsiders who want to log it or clear it for palm oil. For my people, the forest is our mother and our best friend. Everything we need to survive comes from the forest: food, medicines, building materials, and there are many sacred sites in the forest.

Read More Show Less
Everyone overthinks their lives or options every once in a while. Some people, however, can't stop the wheels and halt their train of thoughts. Peter Griffith / Getty Images

By Farah Aqel

Overthinkers are people who are buried in their own obsessive thoughts. Imagine being in a large maze where each turn leads into an even deeper and knottier tangle of catastrophic, distressing events — that is what it feels like to them when they think about the issues that confront them.

Read More Show Less
A newly developed catalyst would transform carbon dioxide from power plants and other sources into ethanol. DWalker44 / E+ / Getty Images

Researchers at the Department of Energy's Argonne National Laboratory have discovered a cheap, efficient way to convert carbon dioxide into liquid fuel, potentially reducing the amount of new carbon dioxide pumped into the atmosphere.

Read More Show Less
Eureka Sound on Ellesmere Island in the Canadian Arctic taken by NASA's Operation IceBridge in 2014. NASA / Michael Studinger / Flickr / CC by 2.0

A 4,000-year-old ice shelf in the Canadian Arctic has collapsed into the sea, leaving Canada without any fully intact ice shelves, Reuters reported. The Milne Ice Shelf lost more than 40 percent of its area in just two days at the end of July, said researchers who monitored its collapse.

Read More Show Less
Teachers and activists attend a protest hosted by Chicago Teachers Union in Chicago, Illinois on Aug. 3, 2020 to demand classroom safety measures as schools debate reopening. KAMIL KRZACZYNSKI / AFP via Getty Images

The coronavirus cases surging around the U.S. are often carried by kids, raising fears that the reopening of schools will be delayed and calling into question the wisdom of school districts that have reopened already.

Read More Show Less
Prime Minister Jacinda Ardern holds up COVID-19 alert levels during a press conference at Parliament on March 21, 2020 in Wellington, New Zealand. Hagen Hopkins / Getty Images

By Michael Baker, Amanda Kvalsvig and Nick Wilson

On Sunday, New Zealand marked 100 days without community transmission of COVID-19.

Read More Show Less

Trending

Medics with Austin-Travis County EMS transport a nursing home resident with coronavirus symptoms on Aug. 3, 2020 in Austin, Texas. John Moore / Getty Images

The U.S. passed five million coronavirus cases on Sunday, according to data from Johns Hopkins University, just 17 days after it hit the four-million case mark.

Read More Show Less