Russia plans to move the centre of coal mining from Kuzbass to the east of the country.

Russia plans to move the centre of coal mining from Kuzbass to the east of the country.

The important adjustments to long-term program of development of coal industry till 2030 were made at the regular meeting of the Russian government. It is about shifting the centre of the coal mining from Kuzbass to the eastern regions of the country.

The first reason for this decision – is geographic. The Kemerovo region, where two-thirds of the Russian coal is mined is far from the main markets. The distance of four to five thousand kilometers from the export ports, the high railroad rates and the limited capacity of the railway make Kuzbass’ coal uncompetitive on the world market. With the significant decrease in prices the region is becoming increasingly difficult to export their goods and compete with the suppliers from Australia and Indonesia, which benefit from the coal mines close to the ports.