Coal has met the energy needs of humans for centuries. The decline of this fuel resource started in the mid 20th century when large reservoirs of oil and gas were discovered. Despite the environmental degradation by coal combustion most large economies of the world are dependent on its use. Countries like the US, China, India, Malaysia, Russia and Germany produce power by the burning of coal. The Kyoto Protocol has put a lid on the direct use of this fossil fuel. The entire civilised world, including Pakistan but excluding the US, are signatories to this agreement.As the US meets around 56 percent of its energy needs by the direct combustion of coal, it refused to be dictated to by the Kyoto Protocol. Instead, the Obama administration launched a programme called Futuregen to control emissions from coal-fired plants. Oxygen is introduced at the top of the combustion chamber to convert carbon monoxide (CO) to carbon dioxide (CO2), which is then collected and stored in underground silos to be disposed off later. There is negligible emission of gases that cause the green house effect. In the US, no new plant based on direct combustion of coal has been built in the 21st century. In other words, the environment has become important for the world and even the lone superpower has to respect it. The mistakes of the past cannot be repeated. Pakistan is moving in the direction of large-scale use of coal. The Thar deposit in Sindh is one of the largest in the world (175 billion tonnes). Punjab has around 600 million tonnes of coal that can be used as an energy resource. After the passage of the 18th Amendment, provinces can generate their own power and exploit their own energy resources. In other words, the provincial governments are empowered and exercise control over their own natural resources. From an energy standpoint, Punjab is seriously handicapped as it lags behind in oil, gas and hydel energy resources when compared to other provinces. There are three main energy options for the province: solar, biogas and coal in the near future. Being an agrarian area, biofuels like jatropha and castor also have potential for the future.The Salt Range alone has about 500 million tonnes of coal that can be exploited. Unfortunately, the linkages for its exploitation do not exist. Mining practices are outdated and inadequate. There are no stockpiles or coal supply chains. As a result, imported coal is being used both for burning and gasification. Recently, a process has been developed in Germany for the up-gradation of Kalabagh iron ore using indigenous coal at Makarwal. Due to the lack of a supply chain the process is now being shifted to imported coal.After availability comes processing/usage. Engro Energy was the first company to initiate two 600 MW plants based on direct combustion of Thar coal. To ensure supply of the coal the company formed a joint venture with the Sindh government called the Sindh Coal Mining Company (SCMC). The groundbreaking was planned for June 2012. It was an ambitious project costing four billion dollars. Unfortunately, funding could not be arranged and the deposits in Thar remain unexplored. In the 21st century the exploitation of coal requires better planning and utilisation. As a country we must develop a workable coal strategy. In the 19th century, it was acceptable to dig and then burn all varieties of coal (lignite, semi-bituminous, bituminous, coking etc.). The practice continued unabated till the 20th century. Global warming and environmental issues came to the forefront. While energy resources are becoming scarce, the environment has also become critical. Coal may be a cheap source of energy but it cannot be burned directly in the 21st century; it has to be processed.Above ground gasification (not underground) after mining is being done under the Integrated Gasification Combined Cycle (IGCC). It is called clean coal technology. Once gasified the Synthetic Natural Gas (SNG) can be used for multiple purposes (diesel, fertiliser, power generation etc.). Being a relatively specialised technology the cost of licensing is high but can be negotiated and managed.Ad-hocism in this sector of vital national importance will be disastrous. In case of oil and gas sectors there are complete chains of exploitation extending from exploration all the way to the pump. Coal continues to be a dirty business followed by primitive processing. This has to change in the 21st century. From mining to clean fuel, the linkages have to be established and this is not a small undertaking. This sector has to be moved from the 19th to the 21st century, which is a big jump. All experts in the field agree that the linkages are non-existent. This issue has been raised in several international coal conferences but remains unresolved. As coal is the future energy resource of Pakistan, we must take the lead and develop a unified plan to mine and then convert this natural resource into a clean fuel worthy of being used in the 21st century. The writer is ex-chairman of the Pakistan Science Foundation. He can be contacted at fmaliks@hotmail.com