Coal utilization must continue despite rollback on oil prices
The major strategies and conclusions of a task force study set in motion by the Coal Industry Advisory Board (CIAB) are described. The objective of the study was to examine the potential for bringing about a reduction in the use of oil in OECD industries through increased use of coal. It should be realized that twice as much oil is used in OECD industry as in power generation. This fact leads to the following conclusion - although the potential now for converting from oil to coal is greater in industry than in electricity generation, the diversity of industrial activity, convenience, and cash resources often delay decisions to convert. Coal can, in many instances, substitute directly for oil. This is particularly true in energy-intensive industries that require bulk heat or a combination of heat and power. As a result, coal conversion is favored in the cement industry, where ash and sulfur become part of the product, and at certain paper mills where wood burning boilers can be made suitable for coal. Coal can be used as a direct substitution or through end-use substitution. In the latter case, coal would first be converted to electricity or to gas. Coal would thus be indirectly substituted for natural petroleum products. One of the major problems associated with conversion are boilers and furnaces that are committed to oil and gas. In regard to boiler and furnace conversion, there are three common situations in industry that are usually encountered in conversion considerations: (1) conversion to coal is easy, e.g. cement kilns and wood burner boilers at paper mills; (2) conversion requires substantial capital expenditure; and (3) coal is not suitable for direct use and requires conversion to meet the industrial need (through liquefaction gasification, etc.). The Task Force study concluded that one of the best investment criteria for conversion is payback period.
- OSTI ID:
- 5015187
- Journal Information:
- World Coal; (United States), Vol. 8:3
- Country of Publication:
- United States
- Language:
- English
Similar Records
Coal conversion of a multiple burner lime kiln
Coal and wood gasification--technical and economic perspectives
Related Subjects
BOILERS
FUEL SUBSTITUTION
COAL
FUEL CONSUMPTION
PRICES
PRODUCTION
COAL INDUSTRY
MEETINGS
FINANCIAL INCENTIVES
INVESTMENT
INDUSTRIAL PLANTS
FUEL SUPPLIES
PETROLEUM
CEMENT INDUSTRY
CHEMICAL INDUSTRY
COMMON MARKET
ECONOMIC ANALYSIS
ELECTRIC UTILITIES
FEDERAL REPUBLIC OF GERMANY
LEGISLATION
CARBONACEOUS MATERIALS
ECONOMICS
ENERGY CONSUMPTION
ENERGY SOURCES
ENERGY SUPPLIES
EUROPE
EUROPEAN COMMUNITIES
FOSSIL FUELS
FUELS
INDUSTRY
INTERNATIONAL ORGANIZATIONS
MATERIALS
PUBLIC UTILITIES
WESTERN EUROPE
012000* - Coal
Lignite
& Peat- Mining