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Utilization of coalbed methane

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  • John B Gustavson

Abstract

Substantial progress has been made in capturing coalbed methane (CBM gas), which constitutes a valuable source of clean burning energy. It is of utmost importance to recognize and study the various potential uses of coalbed methane and to understand the various technologies required, as well as their economics and any institutional constraints. In industrialized countries, the uses of coalbed methane are almost solely dependent on microeconomics; coalbed methane must compete for a market against natural gas and other energy sources – and frequently, coalbed methane is not competitive with other energy sources. In developing countries, on the other hand, particularly in countries where other sources of energy are in scarce supply, coalbed methane economics yields predictably positive results. Here, constraints to development of CBM utilization are mainly lack of technology and investment capital. Sociological aspects such as attitude and cultural habits, may also have a strong negative influence. This paper will outline the economics of coalbed methane utilization, particularly its competition with natural gas, and touch upon the many different uses to which coalbed methane may be applied. It is recommended that all potential uses of CBM gas must be carefully investigated for positive application, each on its own or in combination.

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  • John B Gustavson, 1996. "Utilization of coalbed methane," Natural Resources Forum, Blackwell Publishing, vol. 20(1), pages 59-68, February.
    • Handle: RePEc:wly:natres:v:20:y:1996:i:1:p:59-68
    DOI: 10.1111/j.1477-8947.1996.tb00634.x
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    1. van Groenendaal, Willem J. H., 1995. "Assessing demand when introducing a new fuel : Natural gas on Java," Energy Economics, Elsevier, vol. 17(2), pages 147-161, April.
    2. Homer, J., 1993. "Natural Gas in Developing Countries; Evaluating the Benefits to the Environment," World Bank - Discussion Papers 190, World Bank.
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