The Importance of Coal in South Africa

Coal is one of the most used fossil fuels, especially in South Africa. It contributes more to the economy than gold, as the country depends heavily on it as a source of economic value, employment and energy. Therefore, coal trading companies in South Africa are under pressure to ensure that coal is distributed evenly across the entire country. (Information source:

Coal has a variety of important uses around the world. If not for coal trading companies in South Africa, the country would not function, as the coal industry is a vital part of the economy. There are a number of reasons why coal, and coal trading companies, is important for the country, namely:

1. Most Affordable Energy Source:

Coal is by far the most affordable source of energy when compared to other options sold by coal trading companies. While hydro may be slightly cheaper than coal, more problems arise when using said option. Thus, coal would be the most viable and affordable option overall. Coal trading companies have realised this and, as a result, decided to choose coal as their main product offering.

2. Provides the Country with a Stable Energy Source:

It is important that there is a surplus of coal trading companies in South Africa, as it is a third-world country and, as such, does not have a stable source of energy. Coal is a vital energy source in South Africa. If not for coal, or coal trading companies, there would be even lower access to power and electricity. Therefore, coal is important as it provides a stable source of energy.

3. Contributes to Employment:

Coal trading companies may not even realise it, but the coal industry is one of the top three employment providers in the country. South Africa has struggled with a high unemployment rate for a number of years, if not for the coal industry, or coal trading companies, that number would be even higher. The removal, transportation, preparation and disposal of coal requires many workers and, as such, contributes to employment.

4. Mined in South Africa:

Since South Africa is one of the largest coal-producing countries in the world, the resource doesn’t have to be imported into the country. Instead, more than a quarter is actually exported to other countries. Therefore, coal trading companies need not worry about having to pay extra taxes on the coal, as it doesn’t have to be imported.

5. Little Environmental Impact:

Many coal trading companies will tell you that burning, and mining coal can have little impact on the environment. Don’t believe them? Well, the way coal is burnt and mined is actually what may have a negative effect on the environment. There have been immense improvements in the environmental responsibility of burning and mining coal. While it may not be the most environmentally friendly option, coal trading companies agree that it is the most viable option in terms of practicality and environmental responsibility.

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