Business daily apr 15th 2015

Page 9

Wednesday April 15, 2015 | BUSINESS DAILY

9

IDEAS & DEBATE OPINIONS I REVIEWS I ANALYSIS

To achieve indust≥ialisation goals, Kenya needs to p≥io≥itise development of coal ENERGY The State should come up with a coal development and commercialisation master plan backed by proper funding

T

he other day I was talking to a professional colleague from Tanzania, and the subject was about coal development in the region. We felt that in this region coal never commands the same excitement and prioritisation as oil and gas. This is despite huge potential for coal as an indigenous energy resource. The latest estimates put Tanzania coal deposits at 5 billion tonnes, mostly in the southern parts of the country. The initial commercialisation plans for Tanzania coal are for power generation. There are also deposits of iron ore which may require coal for smelting to produce steel. The proposed Dangote Cement in Tanzania is also understood to be targeting coal for cement manufacture. In respect of other fossil energy resources, Tanzania has confirmed about 53 trillion cubic feet of recoverable natural gas reserves. While most of the gas will be exported as Liquefied Natural Gas (LNG), some of it will be used locally for power generation, industrial heating, and petrochemical value addition. The combination of natural gas and coal resources gives Tanzania a strong base for low cost locally produced energy, very important for the country’s economic development. In Kenya plans are underway to develop some one billion barrels of oil reserves (in place) in Turkana county. There is every likelihood that the oil shall be exported for cash, as there are no immediate indications of local refining. Further, Kenya is yet to

Hillary Clinton US presidential aspirant

Deborah Orr (Guardian) Hillary Clinton will be the youngest woman ever to be president of the United States if she makes it to the Oval Office. She’ll be less tainted by the scandals and mistakes of previous administrations than any woman ever has been. She’ll be the first American president who has experienced childbirth, or even admitted to wearing a bra. She’ll be the first spouse to have followed her partner into office. She’ll be the first president to have prompted the need for an answer to the question: who is that guy then, if he isn’t the first lady? And that’s a question that needs answering. A coal-burning power station located on the outskirts of Beijing. The mineral is seen as a low cost energy source that can power Kenya’s industrial engine. However, there has been little empasis on its development . FILE

BY GEORGE WACHIRA

Other Voices

requires to be sorted out. The ministeconfirm any commercial discoveries rial responsibility for coal development of natural gas. The only fossil energy that is immediately ready for commeris ambiguous. We currently have two cial exploitation is the coal in Kitui. It is draft bills (Mining Bill and Energy Bill) also understood that the government each listing coal as a component of its is planning to embark on a coal explojurisdiction. Coal is definitely a minration programme in a number of coal eral to be mined, and it is also a fossil prospective counties at the Coast. fuel that provides energy. Whereas Kenya has correctly foI see coal more as a mineral under cused on coal as inputs for power the mining jurisdiction because of its generation, we now need to see coal cross-cutting similarities with other minerals. Exploration, mining, licensas a low cost energy source to drive ing and regulation for coal follow the industrialisation. Until we confirm same framework detailed in the Minsufficient amounts of natural gas, ing Bill. The ministries of energy and coal is currently the only local fossil energy potentially available for heavy industrialisation are both key users industries. of coal and as such they should have Industries use electric energy for shared interest on coal with the mining ministry. driving machinery and equipment, Whether for power or industrial but require many calories of heating use, coal is usually unfairly criticised energy. Industries like cement, soda by environmentalists for its environash, food industries, tea processmental, health and cliing among others have mate change impacts. for many years relied Yes we need to make In respect of pollution on expensive imported heavy fuel oil for heating. there are mitigating coal explo≥ation Lately a number of these clean coal technoloand development a industries have turned to gies which can be denational p≥io≥ity to cheaper imported coal signed into coal burnp≥omote low cost ing projects to reduce and local biomass (firemanufactu≥ing wood and agricultural pollutants (sulfur/ waste). nitrogen oxides, and A national indusparticulate matters) to globally acceptable trial energy plan should safe minimums. therefore focus on both These are the pollution mitigating the electric energy and heating enfeatures and standards that the Nationergy. The 5,000 mega watts power al Environement Management Authorgeneration plan mostly addresses ity (NEMA) and also global financiers electric energy, leaving heating energy inadequately provided for. Local check before they grant permission for coal should therefore be equitably alcoal project development and fundlocated between power generation and ing. For environmental activists, they heavy industries. need to check and interrogate these But I see an urgent problem that technologies to allow them to objec-

tively comment on coal projects from an informed view point. In respect of climate change, carbon emissions are a part of a wider and often controversial global debate. Compared with natural gas, and liquid oil, coal is higher on the carbon footprint scale. In the absence of binding international agreements, global warming mitigation remains a shared international responsibility. Each country needs to demonstrate that it is playing its part in reducing carbon emissions. The choice of a country’s energy mix should therefore correctly reflect this shared responsibility. Specifically for Kenya we can demonstrate that directionally our future energy mix will on average progressively produce lower carbon emissions. This is because of increased use of lower carbon renewable energy (geothermal, wind, solar, and imported hydro from Ethiopia). These renewable energies plus the ongoing energy efficiency programmes should easily offset any increase in emissions from coal usage. Further, planting more trees will increase absorption of incremental carbon dioxide from coal. Yes we need to make coal exploration and development a national priority to promote low cost manufacturing. For this we need to prepare a comprehensive coal development and commercialisation master plan. Allocation of sufficient budgetary funding is also important. This way we shall develop a flourishing coal sector contributing to the national GDP. Mr Wachira is the director, Petroleum Focus Consultants Wachira@petroleumfocus.com

Hassan Rouhani Iranian President

Peter Beinart (The Atlantic) Iran’s policy in Iraq isn’t revolutionary either. In 2003, the country that brought revolution to Iraq was the United States. The Bush administration toppled Saddam Hussein and oversaw elections that brought Iraq’s Shiite majority to power. Since then, the US has tried to keep the Shiites in power (since that’s what democracy requires) without letting them to alienate Iraq’s Sunnis and Kurds that Iraq falls apart.

Jacob Zuma South African President

Editorial (Citizen) The scourge of xenophobia is back again in the continent’s southernmost country, South Africa, the land Nelson Mandela, one of the world’s icons of freedom and justice and equality fought for. Yes, mobs of local youths have lately been attacking immigrants, mainly Africans. On Sunday, death occurred to one of the several Ethiopian brothers who suffered burns when their shops were razed by thugs in antiforeigners violence in Durban. Thousands are now living in a temporary camp.


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