Abstract
The debate about the decline in petroleum reserves, the worries over peak oil, the Middle East tension and oil price speculation challenges has made it important to focus on sustainable management and utilization of alternative fuels. The use of alternative fuels to supply the energy needs of the world is not a new concept. This paper reviews coal as a recoverable hydrocarbon-rich resource found in abundant quantities in South Africa (SA). This study review shows that coal will continue to provide a key for the unlocking many of the future global requirements for high-quality energy and chemical building blocks. The historical premise that coal is a dirty fuel is being countered with the continued development and operation of technology to significantly reduce the environmental footprint of coal-sourced energy is investigated. Conclusions are drawn. Firstly, the study brings to our attention that technology is available and is continually being improved to turn coal into synthetic natural gas, transportation fuels, chemicals, chemical intermediates and hydrogen in a way that reduces GHG emissions. Secondly, the study shows that there is a viable coal-to-liquids (CTL) industry in South Africa supplying high-quality middle distillates, in particular diesel fuel, jet kerosene and middle distillate blend stocks. The CTL economics, the potential role of the government and how large-scale development of this industry might impact the environment is analysed on sustainable management.