Energy Department Announces $100 Million In Funding To Refurbish US Coal Plants

The Department of Energy on Friday announced a $100 million funding package to revamp the nation’s existing coal-fired power plants, in a bid to support the US coal industry. 

The DOE said in a statement that it had issued a notice of funding opportunity for “practical, high-impact projects” aimed at modernization and refurbishment - including projects designed to enhance efficiency, extend operational lifespan, and improve the performance of coal and natural gas facilities.

Energy Secretary Chris Wright announced that the initiative is designed to keep US coal plants running and ensure access to affordable energy (as data center energy demands are shoving working class families in the financial hurt locker). 

“For years, the Biden and Obama administrations relentlessly targeted America’s coal industry and workers, resulting in the closure of reliable power plants and higher electricity costs,” Wright said in a statement. 

“Thankfully, President [Donald] Trump has ended the war on American coal and is restoring common sense energy policies that put Americans first.”

As the Epoch Times notes further, the initiative follows the DOE’s announcement in September that it would invest $625 million in funding to expand and reinvigorate the U.S. coal industry in an effort to increase energy output.

The Trump administration is seeking to reverse the decline of coal use in the country. In April, Trump signed an executive order directing federal agencies to “identify coal resources on federal lands, lift barriers to coal mining, and prioritize coal leasing on those lands.”

The president also directed federal agencies to “rescind any agency policies that seek to transition the Nation away from coal production or otherwise establish preferences against coal as a generation resource,” according to a White House fact sheet.

Following the order, the DOE unveiled initiatives to boost domestic coal production, including facilitating new investments in coal-powered electricity generation, commercializing coal ash conversion technologies, and designating steelmaking coal as a critical material and mineral.

The Energy Information Administration (EIA) stated on July 14 that coal consumption in the U.S. power sector has decreased since the 2000s due to rising competition from natural gas and renewable energy sources, as well as stricter emissions regulations on coal-fired power plants.

The EIA projected that the total operating capacity of U.S. coal-fired power plants will drop to 145 gigawatts (GW) by the end of 2028, a decline of more than 15 percent from the 172 GW in operation as of May.

The Midwest region has 10 coal plants scheduled to retire by 2028, followed by five in the Mid-Atlantic, four in Tennessee, and three in the Northwest.

The agency noted that on a regional basis, 58 percent of the planned coal capacity retirements are in the Midwest and Mid-Atlantic regions.

Naveen Athrappully contributed to this report.