The ABC's for Understanding Coal in Alaska
The ABC's for Understanding Coal in Alaska is intended as an introduction to Alaska's coal resources for all stakeholders involved in Alaska's energy future. The ABC's examines the state's coal reserves and potential for production, the costs and benefits of coal mining and combustion, and the viability of new coal technologies such as coal-to-liquids. It is intended to help stakeholders weigh the pros and cons of coal mining and combustion in Alaska and make an informed decision about our state's energy future. Independent review through the University of Alaska, Fairbanks was retained to ensure the educational value of this document.
Alaska possesses substantial deposits of coal and with rising oil and natural gas prices, increasing energy demands and rapidly growing Asian markets, there is renewed interest in Alaska coal as a domestic energy source and as an export commodity. Interest in coal is also generated by price. Coal remains one of the most affordable energy sources, with a current 2008 price of $65 per ton, or about $2.00 per MMBtu, or about 2.5 cents per kilo-watt-hour of electricity generated. However, this renewed interest is mitigated by a number of factors, including Wall Street's uncertainty about future carbon taxes, environmental standards and concerns over escalating capital costs of coal projects. Nonetheless, Alaska stands at a vital energy crossroads, and several energy options are on the table, including coal.
The ABC's for Understanding Coal in Alaska is intended as an introduction to Alaska's coal resources for all stakeholders involved in Alaska's energy future. The ABC's examines the state's coal reserves and potential for production, the costs and benefits of coal mining and combustion, and the viability of new coal technologies such as coal-to-liquids. It is intended to help stakeholders weigh the pros and cons of coal mining and combustion in Alaska and make an informed decision about our state's energy future. Independent review through the University of Alaska, Fairbanks was retained to ensure the educational value of this document.
