Coal and thermal power are expected to be the primary source of fuel especially in Asia over the next few years, says Rajiv, pointing to abundance of coal in Indonesia, India, Australia and Africa.
With big players like India and China acquiring stakes in coal mines, the question turns to smaller players like Malaysia and what it is doing to ensure future supplies.
Last year about 80% of the coal used in the power sector came from Indonesia. Coal used to cost only US$30 per tonne, but now it is US$120 per tonne.
“There may come a day when even if we want to pay for it, we may not get it,” says the industry observer, adding that it is therefore important to plan for the security of supply.
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