The key issue for future expansion of coal in South Africa is - TopicsExpress

The key issue for future expansion of coal in South Africa is reflected in the following quotation from this recent article: "... Water constraints are also likely to restrict coal use and future coal demand, especially with competition for finite water resources increasing and physical climate change changing the distribution of water resources. Coal-fired power generation and coal washing both use very large amounts of fresh water and this poses risks to coal generators and miners. For example, in April 2010, Maharashtra State Power Generation shut down 90% of a 2.3GW coal-fired power station after low rainfall caused water levels to plummet. The other related risk to the economics of coal is water pricing, which is being introduced (albeit very slowly) to ensure water resources are better managed."

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