Indonesia eases ban on thermal coal shipmentsCOAL CONUNDRUM: To ensure the state power utility does not run low on fuel again, the government is mulling new policies, including a levy system for minersReuters, JAKARTAChinese thermal coal futures fell yesterday after Indonesia, the world’s biggest thermal coal exporter, eased a ban on overseas shipments that surprised buyers at the start of the year, alleviating concerns about supply disruptions. The ban, which came into force on Jan. 1, triggered a rally in Australian and Chinese coal prices last week, but Chinese thermal coal futures yesterday fell more than 3 percent to 685 yuan (US$107.50) in reaction to the relaxation. “There is still demand for Indonesian coal from Chinese power plants,” one China-based trader said, adding that some might turn to Russian coal as an alternative. Shares of top Indonesian coal miners PT Bumi Resources Tbk, PT Adaro Energy Tbk and PT Indika Energy Tbk rose in early trading yesterday before paring gains. The document puts the potential levy at US$3.87 a tonne, which could provide an estimated US$2.5 billion a year to help PLN procure coal.

Source: Taipei Times January 11, 2022 18:59 UTC