Fortunately, remedies are available that will allow the world to rapidly reduce the use of coal and accelerate the transition to cleaner energy sources. Among the keys to cutting coal reliance are blocking mining and power projects through community activism, closing legislative loopholes, and reorienting coal-centric bilateral, multilateral, and multinational investment flows. Without them, the market will continue to deceive us into thinking coal is cheap, abundant, and irreplaceable, just when countries like China are beginning to realize how costly, limited, and unnecessary dependence on this fuel is. Simply put, removing subsidies cuts coal consumption. Belgium, France, Japan, Spain, and the United Kingdom have collectively halved coal use since slashing or ending supports over the last fifteen years.
Opportunities exist for further reductions.
The experience of Germany highlights the opportunities for and obstacles to taxing coal. A European Commission study shows that inter- nalizing the external costs of coal from a German power plant would raise the price of power by 50 percent. Yet the government s 1998 ecological tax reform excluded coal due to industry opposition. This is a decision that only they can make and outsiders should respect their feelings. But their leverage for a negotiated outcome will never be higher than it is right now.