Latest News

The US opens up millions of acres of federal land for coal leasing

The U.S. Department of the Interior announced Monday that it will open up 13.1 million acres (53,013.8 square kilometers), of federal land to the public.

The Trump administration is trying to reverse the decline in coal use. In April, President Donald Trump issued executive orders to increase coal production. This was one of many actions he took that ran counter to the global effort to reduce carbon emissions.

According to the Energy Information Administration (EIA), coal-burning power plants will generate about 15% of U.S. electricty in 2024. This is down from 50% in 2000. Fracking and other drilling techniques have increased natural gas production. The growth of solar and wind power has also reduced coal consumption.

About 40,000 coal workers are left from the 70,000 that existed a decade earlier.

The announcement will be made by Secretary of Interior Doug Burgum at a coal event at the Interior Department, along with Environmental Protection Agency Administrator Lee Zeldin (and an Energy Department official) on Monday.

Burgum stated in a press release that the initiative will strengthen the U.S. economic system and create jobs. Chris Wright, U.S. Energy Secretary, said last week that he expected most coal-fired plants in the country to delay retirement so they can provide electricity to fuel artificial intelligent. Wright extended an emergency order last month to keep Michigan's coal plant operating, despite the fact that its operator was planning to close permanently due to economic reasons.

Tom Pyle of the American Energy Alliance predicted that, on Trump's orders or out of their own volition, 38 coal plants set to close by 2028 will remain open.

Analysts are sceptical about the long-term use of coal in the United States, as economics has shifted to a less carbon-intensive fuel.

Frank Holmes, CEO of U.S. Global Investors and Chief Investment Officer, said that coal could see a temporary increase in demand from the regulatory relief. Some investors might profit on a short-term basis. Global Investors wrote after Trump’s orders. "But I think that in the end, the writing will be on the wall." (Reporting and editing by Barbara Lewis, Marguerita Choy and Timothy Gardner)

(source: Reuters)