MPs' figures on coal challenged
Your support helps us to tell the story
From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.
At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.
The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.
Your support makes all the difference.THE TRADE and Industry Select Committee's proposals for coal could increase British Coal's market by no more than 8 million tonnes - or possibly not at all - according to Neil Clarke, the company's chairman. Industry sources say that at 8 million tonnes, only five or six of the 31 pits at risk are likely to be saved.
The committee's report envisaged expanding the market for British Coal by up to 19 million tonnes (16 million of which would be sold to the electricity industry). The main route to extra sales would be replacing coal imports with subsidised UK coal.
British Coal disagrees with key assumptions underlying the committee's solution, in particular the expected levels of coal imports. Its surprise announcement is also effectively an attack on the Government's plans for the market, which are understood to rely heavily on replacing coal imports.
The committee assumed that within a few years, the UK would be importing 24 million tonnes of coal, much of which could be replaced by subsidised UK coal, but British Coal believes imports will be only 8 million tonnes. The company also said the committee has underestimated the amount of gas-fired plant to come onstream over the next few years, displacing coal. Furthermore, British Coal doubts whether imports of electricity from France can be stopped and is more pessimistic than the committee about the overall growth in electricity demand.
Mr Clarke said: 'The consequences for us could be very serious indeed. This is especially the case if rival fuels are allowed to command an ever larger market while efforts to replace coal are limited largely to displacing imports.' He warned that if the issues of gas and nuclear power are not addressed by the Government 'we will be much closer to the base tonnages which were so much in our minds in October'.
NUM members at Ellington colliery in Northumberland, the only pit in the North-east not threatened by closure, are poised to go on 24-hour strikes over British Coal's plan to contract out more development work. In a ballot, 556 workers voted for strike action, with 356 against.
Join our commenting forum
Join thought-provoking conversations, follow other Independent readers and see their replies
Comments