Trump Vows to Authorize Coal-Fired Power to Counter China
President Donald Trump said he would look to counter China’s economic advantage from coal-based electricity by authorizing his administration to ramp up production of power from the fossil fuel.
“I am authorizing my Administration to immediately begin producing Energy with BEAUTIFUL, CLEAN COAL,” Trump wrote in a social media post.
It’s not clear what Trump was referring to or how his social media decree would affect US policy. Trump already signed an executive order declaring a national energy emergency and directed the Environmental Protection Agency to boost fossil fuel production and distribution.
Coal accounts for about 15% of power generation in the US, down from more than 50% in 2000, according to the US Energy Information Administration.
The decline of coal-based power in the US has been stoked by competition from renewable alternatives and cheap natural gas, in addition to federal regulations that have raised its operational costs.
Still, Trump could tap emergency powers to revitalize coal-fired electricity, repeating maneuvers from his first term, when officials drew up plans to order grid operators to buy electricity from struggling coal and nuclear plants in an effort to extend their life.
Last week, Interior Secretary Doug Burgum told Bloomberg Television the administration was considering using emergency powers to bring back coal-fired plants that have closed and stop others from shutting. Separately, Energy Secretary Chris Wright said earlier this month the administration was working on a “market-based” plan to stem the closing of US coal-fired power plants.
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U.S. Interior Department Approves Spring Creek Coal Mine Expansion
The U.S. Interior Department on March 13 announced the approval of a federal mining plan modification by the Office of Surface Mining Reclamation and Enforcement (OSMRE) for the Spring Creek Mine in Big Horn County, Montana. The approval extends the mine’s operational capability by 16 years and allows the production of around 39.9 million tons of federal coal, whilst supporting 280 full time employment opportunities.
The Spring Creek Mine supplies coal in the U.S. to Washington, Arizona, Michigan and Minnesota, and serves South Korea and Japan internationally. The extension’s approval is in sync with the U.S. President Donald Trump’s agenda to diminish regulatory complexities and encourage energy production. On Jan.31, 2025, President Trump issued the executive order titled “Unleashing Prosperity Through Deregulation,” which, among other things, established a policy for the executive branch to be judicious and financially accountable in the spending of funds, from both public and private sources, and to alleviate unnecessary regulatory burdens placed on the citizens of the U.S. To accomplish this policy, the executive order necessitates agencies to identify at least 10 existing regulations to be eliminated for every new regulation enacted.
The approval of the Spring Creek Mine expansion marks a significant development in the U.S. coal industry, which has faced increasing pressure from regulatory changes and ever changing energy policies. As one of the largest surface coal mines in the U.S., Spring Creek has played a key role in supporting America’s energy needs while providing long-term employment in Montana’s mining sector.
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Legislation Pushes Economic Development Agency to Promote Coal in Steelmaking
The Senate Energy Committee advanced a bill intended to push state economic development officials to bolster coke production and steelmaking in West Virginia.
Coke, which is produced by heating coal in the absence of air, is a crucial fuel and reducing agent in the steelmaking process.
Chris Hamilton
“We believe we have a once in a lifetime opportunity right now to do things with our coal industry, our coal fired electric generation, our coking industry that we’ve never had before,” West Virginia Coal Association President Chris Hamilton told members of the committee.
Rupie Phillips
Senator Rupie Phillips, R-Logan, agreed.
“To me, I think it’s a no brainer. This is a great deal. It’s a big economic development beyond and all the spin offs could be unreal,” Phillips said.
Senate Bill 678 establishes the Affordable Electricity and Economic Growth Act of 2025, directing the Department of Economic Development to identify and designate suitable sites for both coal electric generation and coke production facilities.
The bill sets specific criteria for site selection, focusing on proximity to resources, infrastructure and environmental considerations.
Finally, it mandates the Department of Economic Development to meet specific timelines for identifying these sites and outlines potential financial repercussions for non-compliance.
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Peabody, US Coal Stocks Jump as Trump Authorizes More Coal Production
Peabody Energy led aftermarket gains in U.S. coal stocks on Monday after President Donald Trump said he was authorizing his administration to begin producing increased amounts of coal.
Peabody Energy Corp (NYSE:BTU) rose nearly 5%, while peers including Warrior Met Coal Inc (NYSE:HCC), SunCoke Energy Inc (NYSE:SXC), and Core Natural Resources Inc (NYSE:CEIX) added as much as 2%.
Trump said in a social media post that he had authorized his administration to “immediately begin producing energy with beautiful, clean coal.”
Trump claimed that the coal industry had been “held captive by environmental extremists, lunatics, radicals, and thugs,” which allowed other countries to pull ahead of the U.S. by opening more coal power plants. But Trump did not specify just what his administration will do to increase coal use.
Trump’s post reflects the 47th President’s agenda of reducing environmental regulations and increasing U.S. energy production. He had in January signed a sweeping executive order aimed at increasing U.S. energy dominance, and has also flagged plans to heavily deregulate the oil industry.
Trump’s Environmental Protection Agency had last week signaled that it will revise soot standards and greenhouse gas limits imposed by former President Joe Biden on America’s coal producers.
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West Virginia Senate Adopts Coal Renaissance Act
The West Virginia Senate adopted Senate Concurrent Resolution 18 on Monday.
The resolution, which now goes to the West Virginia House of Delegates, is the start of a state effort to protect and support the coal industry.
The West Virginia Coal Renaissance Act directs the West Virginia Department of Commerce, West Virginia Coalfield Development, West Virginia Public Energy Authority and West Virginia Office of Energy to work together to develop strategies to “fully develop coal production and in-state coal consumption”.
"The war on coal has went on for decades, but it was done under a lie," said Sen. Chris Rose, R-Monongalia, chair of the Senate Energy, Industry and Mining Committee. "The energy that the federal government has tried to subsidize to put coal and gas out of business has been based on a lie."
Sen. Chris Rose
Other electricity generation methods are "unreliable, unaffordable" and aren't economically viable without federal subsidies, Rose said.
"But you know what does stand on its own merit? Coal- fired generation," he said. "It's what has kept the lights on; it's what has kept the bills paid; and it's created tens of thousands of good-paying jobs here in the Mountain State."
SCR 18 is a "way to get back to what works," Rose said.
"Merit-based energy," he said. "The coal underneath their feet will help these communities be revitalized, these coal plants running 100% and creating good-paying jobs all around the Mountain State."
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