COAL21 Fund

A $1 billion+ commitment to safe, sustainable energy technologies

The Australian coal industry has made the development and demonstration of low-emissions coal technologies the central focus of its response to the global challenge of climate change.

In 2003 the industry established the COAL21 initiative, bringing together the coal and electric power industries, unions, federal and state governments, and research organisations. The COAL21 National Action Plan adopted in 2004 provided a blueprint for demonstrating the technologies that would allow Australians to continue to use affordable coal-fired electricity but with significantly lower greenhouse gas emissions.

In 2006, the Australian Coal Association member companies established the COAL21 Fund, a voluntary company levy based on production volume. This levy is separate from and additional to existing levies such as the Australian Coal Association Research Program levy. The aim of the COAL21 Fund is to demonstrate the technical and economic viability of low-emissions coal technology, leading to commercial deployment by 2015.

COAL21 commitments are funding Australian CCS research right now

To date, the COAL21 Fund has made major commitments to the following active and in-development carbon capture and storage research projects:

• up to $300 million for a Queensland Integrated Gasification Combined Cycle (IGCC) project, including $26 million for a feasibility study for the ZeroGen Project
• $68 million to the Callide Oxyfuel Project in Queensland
• $50 million for a post combustion capture project in New South Wales, starting with the Munmorah PCC Project project
• $20 million for Queensland geosequestration initiatives

The COAL21 Fund has also given in-principle funding of $75 million to the research and development program of the National Low Emissions Coal Council, matching the $75 million commitment of the Commonwealth government.