Gas and solar have brighter future than coal: broker

GOLDMAN Sachs has forecast the end of thermal coal's reign at the top of the energy ladder, citing tax, production costs and environmental regulations as the reason.

News Ltd reports the broking house said the prospect of weaker demand growth would see seaborne trade in thermal coal peak in 2020.

The news will be a blow to the huge coal projects in Queensland, including the $6 billion Wandoan project, owned by Glencore-Xstrata, and the mega mines in the Galilee Basin owned by Indian companies GVK and Adani, as well as Clive Palmer's Waratah Coal.

Goldman Sachs said companies were already moving their capital away from energy coal, and cited talks it held with equipment manufacturer Alstom to suggest the downside risk of future regulation could offset any cost advantage coal had to alternative sources.

Despite the poor outlook, Goldman Sachs is not suggesting the end of coal and pointed to the demand for the commodity in China and India.

But it said the energy sources with the most upside were gas and solar power.

Read the full story here.



Thousands of rev heads show up to day one of Leyburn Sprints

premium_icon Thousands of rev heads show up to day one of Leyburn Sprints

Biggest Saturday turn out ever for the motor event.

Family returns home to find 20 cars engulfed in flames

premium_icon Family returns home to find 20 cars engulfed in flames

More than 20 cars consumed by fire at Leyburn property

REMEMBRANCE DAY:We are built on a nation of dreamers

premium_icon REMEMBRANCE DAY:We are built on a nation of dreamers

Warwick honours the Australian lives lost in Vietnam.

Local Partners