Industry leaders are expecting continued strong demand for Queensland fossil fuels, driven by global megatrends, including the energy transition to renewables.
Speaking on a panel at the Queensland Resources Council (QRC) Annual Forum today (November 22), Bravus Head of Communications, Community, and ESG Kate Campbell said the company, which operates the Carmichael coal mine in central Queensland, expected ongoing demand for both thermal and metallurgical coal, used in steel making.
Ms Campbell said “unstoppable” megatrends emerging from Asia of urbanisation, population growth and a rising middle class would drive the ongoing global need for coal.
“In India, 30,000 people a day move from a village to a city.”
She said this population shift, coupled with general population growth in those centres, meant an increasing need for steel to build roads and rail and general construction.
“(And) those peoples are a young population. They want to live the way we live. They want air con, phones, fridges, consumer goods, all of which take metals and energy to be made.”
Ms Campbell said the transition to net zero emissions would also prop up demand for met coal, through another megatrend in electrification.
She said we will see electrification of energy systems for efficiency, pollution reduction and decarbonisation.
“All those will be driving met coal demand.”
Fellow panel member Origin Energy Executive General Manager Integrated Gas Andrew Thorton said gas, which is abundant in Queensland, would also play a pivotal role in the energy transition.
“It’s generally accepted now that more renewables will come into the system, but only coal and gas can firm up renewables right now and probably for quite a long period of time,” Mr Thorton said.
“From an energy transition perspective, gas is absolutely required under any scenario.
“Whether you want to do the energy transition, or not, you need more gas,” he said.
