President Donald Trump has praised coal, a dependable but polluting energy source that has been declining for a long time, as part of his pledge to embrace fossil fuels fully.
Trump said this week that coal can help provide the large data centers required for artificial intelligence and industry, driving up electricity consumption.
Coal cannot be destroyed by anything. “Not a bomb, not the weather,” Trump said via video hookup Thursday at the World Economic Forum in Davos, Switzerland. “We also have more coal than anyone else.”
However, energy analysts predict that any boost for coal under Trump would only last a short while because natural gas is more affordable and renewable energy has a steady market regardless of who is in the White House.
According to Rob Godby, an economics professor at the University of Wyoming,
“It’s kind of been demonstrated over the last three administrations even the president of the United States can’t change markets, the trend for coal.” “It could result in a reprieve.”
The prospect for coal under Trump’s second term is as follows:
More electricity will be needed for AI.
The United States’ power demand has been stagnant for the past 15 years due to efficiency advancements, but this is beginning to change.
The system will be pressured by increased manufacturing, more electric cars, and energy-intensive computer facilities required for artificial intelligence.
According to Chris Seiple of the analysis firm Wood Mackenzie, the demand for electricity for data centers alone would rise by 10–20% year through 2030, and the production of batteries, solar cells, and semiconductors will need more gigawatts of new power during the next four years.
Electric utilities are not accustomed to producing new products to satisfy shifting consumer demands, whereas the tech sector is. Planning for transmission lines and power plants frequently takes decades.
“The Trump administration lasts for four years. Making investment decisions within four-year timeframes is extremely challenging for utilities, according to Godby.
AN OVERVIEW OF OLD COAL PLANTS
This week, Trump signed executive orders urging the priority of energy development, including removing regulations that obstruct the use of natural fuels.
President Joe Biden’s power plant pollution rules may be repealed, and certain renewable energy-supporting initiatives may be discontinued.
Miners embrace the transformation, but environmentalists shudder at the climate change implications—the EPA estimates that energy generation is responsible for 25% of U.S. carbon emissions.
Coal-fired electricity can run continuously with only occasional maintenance outages, unlike solar and wind power, which depend on the whims of the weather and sunshine unless combined with battery storage.
Proponents claim that coal’s continuous power supply satisfies the demands of technological facilities.
According to Godby, IT companies seeking off-grid power may choose to invest in “dirt cheap” coal-fired power plants, but these facilities require time to start up.
They aren’t particularly effective for the kind of emergency power that Trump mentioned during his speech at the Davos summit.
Plans to retire coal-fired power plants are anticipated to be delayed due to the surge in demand. Illinois, Indiana, and Maryland facilities have already experienced that.
S&P Global analyst Dan Thompson said that despite previous efforts to reduce carbon dioxide emissions and increase renewable energy, Trump’s remarks gave utilities “a blank check to do whatever you want” in the short term.
Nonetheless, Thompson pointed out that Google, Amazon, and Microsoft—three businesses propelling the data center boom—are the largest corporate renewable energy buyers and have pledged to become carbon neutral.
That implies a reprieve for coal, not a return.
Seiple stated, “Natural gas will gain the most from increased electricity generation.” “The cost of coal plants makes it highly unlikely that we will see new ones.”
IS IT POSSIBLE FOR TRUMP TO USE PUBLIC COAL RESERVES?
According to the Energy Information Administration, the United States contains some of the world’s greatest coal deposits, which, at present mining rates, would last more than 400 years.
In the West, especially in the Powder River Basin of Wyoming and Montana, the business largely depends on reserves on public lands.
Political controversy has long surrounded the sale of certain reserves. An embargo on government coal sales put in place by former President Barack Obama was lifted during Trump’s first term.
In his last days, the Biden administration also attempted to outlaw new coal sales.
According to projections, the move would cause mines to exhaust their federal coal supplies as early as 2035, decades earlier than if leasing had persisted.
Doug Burgum, Trump’s candidate for interior secretary, said he would “absolutely” work with the Wyoming Republican to lift the ban when Sen. Jon Barrasso questioned him about it during his confirmation hearing.
Additionally, Burgum promised to collaborate with Republican Senator Steve Daines of Montana to move forward with unfinished coal mine expansion licenses in the lawmaker’s home state.
We are experiencing a scarcity of electricity, particularly in the area of base load.
“We are aware that we possess the technology necessary to supply clean coal,” Burgum stated.
He mentioned initiatives to trap and sequester carbon dioxide that would otherwise overheat the world at a coal-to-gas facility in North Dakota, where he served as governor.
Laptops 1000According to research, carbon capture is both practical and beneficial for increasing the productivity of aged oil fields.
Scientists have questioned the viability of permanently sequestering carbon dioxide from burning coal and other fossil fuels on a commercial scale.
Increase in US Coal Exports
The International Energy Agency predicted that last year’s global coal production would reach a record high of over 10 billion tons (9 billion metric tons).
Asia has the highest demand, with nations like China continuing to construct new coal-fired power plants as their economies grow.
American coal companies have increased their coal exports to exploit this expansion. However, the West Coast’s lack of port access has hampered them.
“There is a strong global appetite for coal, and U.S. producers are ready to answer that need,” said Rich Nolan, president of the National Mining Association.
Overall U.S. coal production is forecast to continue declining. “The long-term trend is hard to get out of,” Godby said.
During Trump’s first term, Republicans discussed but never implemented a plan to use West Coast military bases or other federal properties as fossil fuel export sites to circumvent opposition to new ports.
U.S. exports were expected to surpass 100 million tons last year for the second consecutive year, with India, China, Brazil, Japan, and the Netherlands among the top destinations.
