M.Phil. / Coal is today providing more than seventy-five percent of South Africa's energy requirements and will, to a large extent, remain so in the future. It is thus important to evaluate the adequacy of the country's available coal resources against expected future demand. The main objective of this study, which was done under the supervision of Prof. D. J. Kotze, was therefore to analyse the specific consumption of coal in the various consumption sectors in order to establish historical trends. The specific comsumption of coal is defined as the amount of coal used to produce a unit of final product. The factors attributing to these observed trends were determined and their future role evaluated in order to establish whether it was possible to extrapolate historical trends into the future. By means of curve fitting to the observed data and extrapolation it was possible to obtain future values of specific coal consumption for each of the sectors. These values, together with the production output forecasts for the various sectors were then used to calculate the total coal requirements for three reference years, namely, 1990, 1995 and 2000. The role of coal prices in explaining trends in specific coal consumption of various sectors was also analised separately. Information to conduct the study was obtained mainly from the various coal producers' associations as well as from individual producers and other organizations such as Escom, Sasol and Iscor, the Department of Hineral and Energy Affairs and the Hinerals Bureau. In some instances private firms and producers' associations were also consulted as well as a wide variety of literature on the subject. The principal finding of the study was that coal was substituted or was still being substituted by electricity in most final applications because of the convenience of use. Coal, however, still plays and probably will continue to play an important role in future in basic industries such as the metallurgical industry. Coal prices have not up to now played a very important role in the overall specific consumption of coal which can probably be attributed to the relatively low prices of coal on the inland market. It was also found that it was not desirable to do away with the present system of price control entirely as a certain measure of control was still necessary to safeguard the usuage of coal in certain applications for which there were no other substitutes. It was further concluded that South Africa does not have the vast quantities of coal commonly thought and that measures have to be taken in order to ensure that the country's coal resources are conserved and that optimum use is made of available resources.