Wednesday, October 05, 2005

Coal rich India, US, China needn't depend on oil for energy

Coal rich India, US, China needn't depend on oil for energy

India, China and the United States are among very few countries in the world which can easily attain energy independence by substituting synthetic fuel obtained from petroleum with coal, an expert has said. India, the US and China are rich in coal deposits and can easily attain energy independence by producing synthetic fuel or Synfuel from coal, Governor of Montana and soil scientist Brian Schweitzer said. The former soil scientist said the high-performing fuel would cost only $35 a barrel. The Synfuel process, which is nothing like conventional coal use, removes greenhouse gases as well as toxins like sulfur, mercury and arsenic. A Synfuel plant can generate electric power, make synthetic natural gas, and produce hydrogen that many, including President George W Bush, believe is the energy source of the future. Schweitzer also says, "Most people are surprised to learn that we can produce gasoline, diesel, jet fuel and other petroleum products out of coal. Indeed, the process was used in America as early as 1928. In World War II, 92 per cent of Germany's aviation fuel and half its total petroleum came from synthetic fuel plants. South Africa has used a similar technology for 50 years, and now makes 200,000 barrels per day of synthetic gasoline and diesel, he said.

India woos West for nuclear energy

The US Congress may still be undecided on whether to ratify the recent India-US agreement between President George W Bush and Prime Minister Manmohan Singh for enabling transfer of nuclear technology and fuel to India, but Delhi seems to be already moving ahead to entice foreign investors to invest in the country's ambitious nuclear-power plans. The Indian government is working on a policy to allow foreign direct investment (FDI) in the country's nuclear-power sector, which if finalized, would be a new area for FDI. As with the much-debated retail sector, nuclear power too is currently out of bounds for foreign investors. In a controversial policy shift, the US president entered into an agreement on July 18 with the Indian prime minister, which, subject to congressional approval, promised to change US laws so that nuclear-armed India gets from US - and willing other countries - help and cooperation for developing its civilian nuclear-power program.


At October 05, 2005 10:51 PM, Blogger tcobb said...

The big problem here concerns the world price of oil. Unless the price stabilizes at a level which is above the minimum price that synthetic fuel can be produced, no one is going to be stupid enough to invest billions of dollars in factories which would do this. So long as the market dynamics for the long term keep the price of oil below that level, it isn't going to happen. Exxon had plans to build a plant to produce gasoline from coal in the US during the troubles in the 1970's, but promptly dropped them when the OPEC strategy fell apart and the price of oil plummeted.

At October 06, 2005 7:56 AM, Blogger ik said...

India has also gone very big on biodiesel.

Europe Adopts Biodiesel


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