Article

Today, coal is one of the primary energy sources that support life, human activities, and the growth and development of the Indonesian economy. More than half of Indonesia's electricity supply comes from coal powered power plants. Coal is very affordable and efficient energy source for generators. But apart from that, coal is also very much needed to support various needs in the countries industrial sectors, such as the steel industry, cement processing, paper, and textiles industries.

As a source of heat, coal has great benefits for the sustainability of the steel industry. Coking coal is a type of coal that is used for the needs of this industry. Currently, many coal producers are exploring the coking coal business. Apart from the increasing demand from the steel industry, the selling price of coking coal is relatively higher than that of thermal coal.

In addition, coal is also useful as an energy source that supports the aluminum industry. Aluminum material can be obtained as a byproduct of the iron oxidation process in the activities in the steel industry. Gas and coking heat from coal can separate several steel products so that they can produce aluminum products which then can be used for a wide range of industries, namely agriculture, kitchen utensils, construction and other industries.

A new benefit of coal is as one of the main fuels in cement production. Although, coal is not the raw material, coal is used in the combustion process in cement production process. Through its generated heat, coal is the fuel in the processing of various raw materials used to make cement.

Apart from the cement, aluminum and steel industries, coal is also useful and used in the paper industry. The heat generated by coal is very stable in a fiber processing machine that is used for the paper raw material industry. Being able to produce a very high level of heat, has indeed makes coal widely used in a wide range of industrial sectors.

Not to mention, coal can also be used for gas products. Unmined coal produces natural gas, which is then can be obtained through mining process. Natural gas from pure coal is then used for industrial fuels, gas power plants, hydrogen products, and diesel.

Certainly, there are so many benefits of coal in supporting various industrial needs. Hence, the presence and availability of coal for this particular sector is immensely important. So, can we ever imagine how the steel, aluminum, cement processing, and paper industries can run without coal?

Writer: Corporate Communications PT ABM Investama Tbk.