Budget and energy agencies differ on coal

The International Energy Agency's July graph on expected spot prices for thermal coal shows prices staying above $US200 for another two years at least. Tuesday's Budget uses a 2023 price of $US60. Port of Newcastle picture by Simone De Peak

TUESDAY'S federal budget was framed on commodity price assumptions that included a fall in thermal coal from $US438 a tonne to just $US60 a tonne by July this year.

This is at odds with its own Department of Industry, which last month forecast elevated coal prices for another two years, and with a host of other forecasters, including the International Energy Agency (IEA)