Climate policy ruins investments in coal sector
Higher demand for coal led to higher prices, which did not increase the amount of investments in this sector. The part of revenue was used to purchase existing assets, and in a limited number of cases to develop current operations.
However, investments in new mines didn’t progressed due to the risk related to the climate policy implemented in the world. Banks, insurance companies, hedge funds, private and public companies in developed economies came from the coal industry which resulted in the loss of jobs and the need to re-arrange other branches of economies.