Coal Finance in Mozambique: The Economics of Coal
The Economics of coal Justiça Ambiental launched a report on coal finance in Mozambique last week, at the climate justice conference in Maputo. Despite much talk, the anticipated coal mining boom in Mozambique has never taken off. Just three mines are operating, probably exporting just over 4 million tonnes of coal in 2015 compared to claims of 30 million of export just a few years ago.
Internally there have been difficulties in transporting coal from Tete province to the coast, and coal produced has been of a lower quality than expected. Externally the price of coal has been falling over recent years and collapse in 2015 as China construction boom ended and major economies have begun to turn away from coal given its high local and global pollution cost. Today, all the existing coal mines operating in Mozambique are running at a loos, and there can be little expectations of further development based on a current global coal prices.
Download full report here.