Jakarta, CNBC Indonesia – Finally, the price of coal fell as well. What can I say, the price of the black stone has indeed gone up tremendously.
Yesterday, the price of coal on the ICE Newcastle (Australia) market was recorded at US$ 236/ton. A fall of 15.71% compared to the previous day.
Please understand, the price of coal has gone up for 10 consecutive days. During those 10 days, the increase reached 57.04%. Wow…
Although today fell, but in the last week the price of coal still recorded an increase of 37.95% point-to-point. During the past month, the increase reached 32.32%.
Since the end of 2020 (year-to-date), the price of this commodity skyrocketed 188.68%. It seems that no other commodity has experienced a razor-sharp price increase, eh coal.
The increase in natural gas prices is the main factor in the surge in coal prices. As natural gas becomes more expensive, the incentive to turn to alternative primary energy sources increases. One of them is coal.
In the past week, natural gas prices at Henry Hub (Oklahoma, United States) rose 5.19%. During the past month, the increase reached 26.12% and year-to-date skyrocketed 126.9%.
In Europe, the cost of generating electricity with natural gas is EUR 89.4/MWh on 5 October 2021. With coal, the price is only EUR 58.06/MWh. This makes coal become the prima donna again, even in Europe, which upholds the issue of being environmentally friendly.
“Looking at the situation in Europe, natural gas can no longer compete with coal. As a result, the use of coal is increasing,” said the study by ELS Analysis, an energy consultancy based in Sweden, as quoted by Reuters.
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