The >30% decline in prices of Australia's fossil fuel exports over 2019 has undermined volume growth, smashing profit margins and promising profitless-prosperity. Time for 🇦🇺 to plan for this technology driven transition to decarbonise.
theguardian.com/environment/20… by @adamlmorton
theguardian.com/environment/20… by @adamlmorton
Thermal coal prices have fallen >30% to US$66/t in over 2019, from over US$100/t. This is a clear reflection of the unexpected 300TWh or 3% global decline in coal-fired power generation over CY2019, an unprecedented rate of decline not forecast by any, particularly the @IEA. 
Our @IEEFA_AsiaPac analysis of the technological and deflationary headwinds building against thermal coal, co-authored with @laurimyllyvirta of @CREACleanAir
& Dave Jones of @sandbagorg
carbonbrief.org/analysis-globa…
& Dave Jones of @sandbagorg
carbonbrief.org/analysis-globa…
Expanding export capacity into a slowly declining global market is a recipe for massive wealth destruction. Whitehaven Coal Ltd has destroyed 38% of shareholder value in just one year, in an overall market up 23%. Maybe the financial markets are telling us something?
The unexpected & brutal collapse #coal-fired power generation in 🇮🇳 over CY2019 gives witness of the technology driven disruption hitting global electricity markets. Deflationary #RenewableEnergy with zero marginal costs, combined with energy efficiency gains & reducing demand.
Meanwhile, now #116 globally significant banks and insurers have introduced coal lending, investment and insurance policy exclusions, a real capital flight in the face of rising stranded asset risks. Momentum is building with 13 announcements in 2 months! ieefa.org/finance-exitin…
And while 🇦🇺 reached world leadership in LNG export volumes in 2019, this is temporary given the massive buildout of 🇺🇸& 🇨🇦 LNG export capacity, leveraging Henry Hub gas prices at a decade low of just US$2.50/mmbtu. Meanwhile, LNG prices brutally collapsed 50% in 2019.
@barobertson111 Thankfully coking #coal for steel is different, right?! Oh dear, the EU ETS hitting a record high, averaging ~€24/t (+400% in just 2-3 years) has made @hybrit_project green hydrogen steel with zero coking coal a very existential threat. Coking coal prices down 35% over CY2019!
