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It's only cheaper in the very short term. In the long term Pakistan's society will pay more for healthcare and energy as coal becomes unable to compete with sol
by 3pt14159 9y ago
It's only cheaper in the very short term. In the long term Pakistan's society will pay more for healthcare and energy as coal becomes unable to compete with solar and other sources.
Building a powerplant that is supposed to operational for 50 years when it may only be economically viable for 5 or 10 leads to a warping of the per-unit economics, even before taking into consideration public health and environmental damage.
Pakistan should ask the west for a zero interest after inflation loan to install green alternatives.
- TheSpiceIsLife 9y agoWhile I agree with you regarding zero interest loans for green(er) alternatives... What makes you think coal only has a 5 to 10 year viable economic life span? If the world starts moving toward green(er) alternatives won't coal become cheaper?
- te_chris 9y agoInvestment will descrease which will decrease supply making what is still dug up more expensive.
- Stanleyc23 9y agoThe less important coal becomes on a global scale, the less infrastructure and expertise that will be maintained for extraction and processing. This type of lack of supply should drive up prices as well. Consider the ease of buying and maintaining a horse vs a car.
- gozur88 9y agoIt probably will become cheaper, since as volume goes down mines that are only marginally profitable now will close, leaving only the most efficient.
- 3pt14159 9y agoThere is a absolute limit on the cost of coal: What it costs to get it out of the ground and into the powerplant. Even if the price of coal per unit weight goes down to 0 it will still have a cost to transport it. I think that in the medium term that is what coal is up against; a solar alternative that is cheaper in the long run.