Uses of Coal

Throughout the history of mankind, the principal use of coal has been to produce heat through combustion. The heat is used in many ways: to warm air space for our comfort; to provide heat or energy to power industrial processes, such as cement and steel production ; and to produce electricity. Because it is our nation's most abundant fossil energy fuel, coal in the late 20th century is on the threshold of becoming a significant source for synthetic liquids and gas energy fuels for this country. This is made possible by conversion processes which can change solid coal into various synthetic gases and liquids. These coal-derived fuels are nearly identical to the processed fuels and chemicals provided by natural gas and crude oils, which presently provide almost all the petrochemical feedstocks and energy fuels needed for the residential, light commercial, and transportation markets. A revolution is beginning to take place, not only in the United States, but in many other countries with a return to a coal-based energy economy. Also, new combustion and conversion technologies which are compatible with national health and environmental goals are rapidly emerging. These technologies will allow coal's use to be expanded not only in its traditional markets, but also to supply markets held by natural gas and crude oil. With the worldwide decline in natural gas and crude oil reserves, coal is being looked upon to meet the energy demand. Because of these new coal conversion technologies, coal will no longer be only a combustion fuel, but a valuable raw material for production of a variety of clean fuels and chemicals. MARKETS FOR COAL: PAST AND FUTURE A simplified diagram of the marketing network for coal is shown in Fig. 1. As shown in this figure, coal is transported to its traditional