Trudeau Promises Canada to Terminate All Thermal Coal Exports by 2030
- November 3, 2021
- Posted by: Quatro Strategies
- Category: Mining
Canadian Prime Minister Justin Trudeau said his country would stop exporting thermal coal by 2030. Trudeau’s announcement has come as the latest step for Canada to phase out fossil fuels in favor of cleaner alternatives. Canada targets a transition from coal powered electricity production to a gas and renewables powered one. The country also aims to make an investment of $185 million to support coal workers and communities.
Trudeau said at COP26 Climate Summit in Glasgow that Canada has been committed to fight climate change since 2015. The Prime Minister added that they would build a cleaner, carbon neutral future.
Trudeau’s promise will certainly be challenging as Canada’s thermal coal exports have been increasing in the last few years although the country burns most of the coal it produces domestically. The export volume could still be climbing as new plants have been opening in Asia.
International Energy Agency (IEA) says Canada currently produces 1% of thermal coal in the world; but it will drop to 0.7% in 2025 though demand from Asia will grow. According to IEA, global coal consumption has already peaked in 2013, and will keep declining as countries move to renewables in a more rapid fashion.
However, as the global gas prices have been soaring, the demand for coal has increased. Power generators around the world started burning cheaper coal instead of natural gas.
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