Coal Issues

Coal Issues

Coal Access

Federal lands, which comprise nearly 700 million acres of this country’s mineral estate, play a significant role in supplying present and future mineral resource needs. Access to federal lands for mineral exploration and development is critical to maintaining a strong domestic mining industry.

Most federal lands are located in 12 western states, which are the source of much of our nation’s coal endowment. As a result, national policy affecting the availability and use of federal lands for resource development has significant implications for whether or not these important resources are available to meet the nation’s energy needs.

The Department of the Interior's Bureau of Land Management (BLM) is responsible for coal leases on estate owned by the Federal Government.

Coal Use

Coal generates nearly half the nation’s electricity—the largest share of any energy resource—and will remain the dominant rule for electricity generation through 2035, according to the U.S. Energy Information Administration (EIA).

Advances in clean coal technologies and more efficient combustion systems have enabled U.S. power plants to reduce their regulated emissions by more than 60 percent since 1970, while increasing electric power output over the same period by 140 percent.  Today’s new coal-fueled power plant emits 90 percent fewer emissions than the typical plant it replaces built in the 1970s.  Further emissions reductions are expected as new technology is developed and commercially deployed.

The use of coal for electricity generation involves regulation from the federal, state and local level, primarily through the Clean Air Act.  A few examples are:

National Ambient Air Quality Standards (NAAQS) are national levels for certain air pollutants set by the U.S. Environmental Protection Agency (EPA) in order to protect public welfare. EPA sets each NAAQS, and then designates whether or not a state or local area meets each standard. The NAAQS are the backbone of the Clean Air Act, and it is up to each state to determine how it meets the NAAQS. This “cooperative federalism” approach has let states choose which approaches work best for them.

The Utility Maximum Achievable Control Technology Rule (UMACT) is a rule that was finalized in February 2012, and targets emissions of mercury and other air pollutants from power plants. The rule imposes new numerical emission limits for mercury, particulate matter and hydrochloric acid at electric generating units that use coal or oil. According to the EPA and the Office of Management and Budget, the UMACT rule is projected to be the most expensive power plant regulation in history. EPA estimates the annual compliance costs to be $11 billion, but independent estimates project that the costs may be almost $18 billion a year. The UMACT will increase electricity prices for homes and businesses in the range of 12 to 24 percent and cost the American economy more than 1.4 million jobs. Within weeks of the release of the UMACT, utilities announced plans to retire more than 25,000 megawatts of coal-based capacity as a result of the rule. Independent projections forecast a potential closure of more than 60,000 megawatts of capacity.

Greenhouse Gas Regulation New Source Performance Standards (NSPS) for ‘fossil fuel-fired’ power plants were proposed by EPA in April 2012.  The emission levels mandated in this NSPS  cannot be met by new highly efficient coal technologies. NMA strongly opposes EPA’s proposal, and urged EPA to set a practical and achievable standard for coal fueled units that is in step with a true “All of the Above” energy strategy. This can be accomplished by:

  • Enabling new advanced coal generation that pays both economic and environmental dividends by replacing old coal units with more efficient, supercritical coal plants;
  • Acknowledging the economic benefits of a stable and diverse electric generation mix;
  • Abandoning the proposed NSPS that will impair the diversity of our electricity generation mix and crush more American jobs.

 

Coal Permitting

While no countries can rival the U.S. when it comes to an abundance of coal resources, the current permitting process discourages investment and jobs creation and makes U.S. energy less affordable and less secure.

Actions by the U.S Environmental Protection Agency (EPA) in 2009-12 to retroactively revoke permits approved by the states and the Army Corps of Engineers under a flawed interpretation of Section 404 of the Clean Water Act added uncertainty and limited opportunities for job creation.

NMA successfully challenged EPA's obstruction of coal mining permitting. EPA has appealed the court's ruling. You will find all the documentation of the case here NMA v. Jackson Documents.

The Office of Surface Mining and Reclamation Enforcement (OSM) at the Department of the Interior has proposed a "stream protection rule" that represents a sweeping change to coal mining regulations under the Surface Mining Control and Reclamation Act. You will find all the documentation on the proposed rule here Stream Protection Rule.

Carbon Capture & Storage

Carbon Capture & Storage

Did you know?

  • The U.S. produces about 1 billion tons of coal annually.
  • The U.S. has nearly 261 billion tons of recoverable coal reserves, according to the EIA - that's a 235-year supply at current rates of use.
  • Nearly half of U.S. electricity is generated from coal.
  • Each person in the U.S. uses 3.4 tons of coal annually.