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August 11, 2026 - Britain’s increasing reliance on imported coal is raising questions about the future of its domestic mining industry, particularly at a time when the country possesses enormous coal reserves of its own. With more than 45 billion tonnes of coal reserves — theoretically enough to meet roughly 300 years of demand at then-current consumption rates — Britain appeared well positioned to rely heavily on domestic production. Yet major industrial and electricity consumers were moving in the opposite direction, increasing purchases of cheaper foreign coal.
The shift was particularly concerning for the National Coal Board (NCB) and mineworkers, who feared that growing imports could undermine demand for British coal and threaten mining communities across the country.
The National Union of Mineworkers, the Trades Union Congress and the NCB had all pressed the government to address the issue, arguing that domestic coal production should play a central role in Britain's long-term energy security.
Steel Industry Cuts Demand for British Coal
One of the biggest challenges came from the British Steel Corporation (BSC).
The company had consumed approximately 8.5 million tonnes of NCB coking coal during the previous year. However, it planned to increase imported coal purchases to around 4 million tonnes while simultaneously reducing its overall coking coal requirements.
BSC's total demand was expected to decline from roughly 10.5 million tonnes to 9 million tonnes, potentially leaving the NCB with a domestic steel market of only about 5 million tonnes.
The outlook could deteriorate further if Britain's steel industry reduced production capacity following the steel strike or if BSC failed to consume the anticipated 9 million tonnes during 1980.
Unless existing import contracts were reduced or cancelled, domestic coal producers faced the possibility of losing an even larger portion of one of their most important markets.
Price was a major factor behind BSC's interest in foreign supplies.
The steel producer had indicated that it wanted the ability to purchase coal and coke at prevailing international prices. Earlier in the year, BSC had considered commitments covering an additional 1.3 million tonnes of imported coal at an estimated cost of £22 million.
The plan was avoided after reductions were offered against NCB list prices, but the arrangement covered only the current year.
That provided the coal industry with limited time to find alternative customers for mines that traditionally supplied Britain's steel sector, including operations in South Wales, northeast England, Scotland, Kent and Staffordshire.
Power Sector Also Turns to Imports
Britain's electricity industry was creating another challenge for domestic coal producers.
The Central Electricity Generating Board (CEGB) was expected to approximately double its coal imports to 4 million tonnes, with purchases potentially increasing to 5 million tonnes in 1981.
Those imports largely resulted from contracts negotiated earlier, when electricity officials were concerned that the NCB might be unable to fulfill its commitment to supply around 75 million tonnes of coal.
Conditions subsequently changed.
Domestic coal production improved substantially, while power stations maintained large inventories even as coal consumption reached historically high levels.
The scale of those inventories became significant enough that the government announced a £300 million increase in the CEGB's cash limit to help cover the expense of holding additional coal stocks.
Despite stronger domestic production and adequate inventories, the CEGB still intended to accept coal covered by its existing overseas contracts rather than attempt to resell those supplies through the international market at Rotterdam.
Imports Could Become a Permanent Feature
Perhaps more significant for the industry's long-term future was the possibility of new infrastructure specifically designed to accommodate imported coal.
The CEGB was considering the development of deepwater port facilities capable of handling large shipments from overseas suppliers.
Such infrastructure could fundamentally change Britain's coal market.
If constructed, the facilities could make annual power-station imports of at least 10 million tonnes a regular feature of the country's energy system beginning in the mid-1980s.
That prospect worried supporters of Britain's mining industry because the increased interest in foreign coal was not being driven by a lack of domestic supply.
In fact, the National Coal Board was preparing to report its first meaningful increase in production in more than a decade when its 1979–80 results were released.
Instead, the primary attraction of imported coal was economic.
Foreign producers could offer supplies at prices attractive to large industrial customers such as BSC and the CEGB. That created a difficult choice for policymakers: allow major energy consumers to take advantage of cheaper international coal or protect a domestic mining industry that remained strategically important to Britain's energy supply.
The debate highlighted a tension that would increasingly shape Britain's energy policy — balancing short-term fuel costs against the long-term security and viability of domestic energy production.
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