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INTERNATIONAL
EIA raises 2010 US coal consumption
and production outlook
Chandrika Bose
The Energy Information Administration
(EIA) has increased its estimate of
coal consumption as well as that of
production in the US in 2010.
The agency, which is an independent
statistical organisation within the US
Department of Energy, said in its October
report that US coal consumption in 2010 is
likely to increase to 1068.8 million short tons
(million s.t) compared with its September
forecast of 1062.6 million s.t. The country’s coal
production, it said, is likely to go up to 1083.0
million s.t, which is higher than the September
projection of 1069.8 million s.t.
Coal production for the first six months
of 2010 fell by 3 percent despite a 5 percent
increase in US coal consumption. Projected
coal production increased in the second half
of 2010, with annual growth projected at 1
percent.
Projected 2011 coal production has also
gone up to 1094.4 million s.t in October against 1089.5 million
s.t forecast in September. Again, coal consumption for 2011
has been revised upward to 1061.8 million s.t from 1056.2
million s.t projected a month ago.
The October report projects that coal consumption in the
electric power sector in 2010 will go up to 998.8 million s.t,
US Coal Consumption Growth
(change from previous year)
US Annual Coal Production
Source: Short-Term Energy Outlook, October 2010
which is higher than the level projected in the previous month
at 994.2 million s.t,. For 2011, coal consumption in this sector
has been revised to 992.3 million s.t from 985.8 million s.t.
EIA forecasts that electric power sector coal consumption
will continue to be higher for the remainder of the year, with
the total annual increase projected at nearly 7 percent.
According to the October report, coal
consumption by other sectors such as retail
and industrial sectors would be 49.3 million
s.t. and 46.2 million s.t., respectively. These
were higher than the September projections of
47.5 million s.t for retail and 44.3 million s.t.
for the industrial sector.
Consumption by coke plants as well as for
the residential and commercial sectors in this
month’s report, was forecasted at 20.6 million
s.t and 3.0 million s.t respectively, which were
almost similar to projections in September.
Drawdowns in inventories are forecasted
to meet the majority of the increased coal
consumption in 2010.
Source: Short-Term Energy Outlook, October 2010
Electricity demand
EIA now estimates that total consumption
of electricity across all sectors is expected to
grow during 2010 to 10.76 billion kWh per
day. This is slightly more than last month’s
COAL INSIGHTS 53 October 2010