Federal Regulators Deal Huge Blow To The Coal Industry

11 Jan 2018   Coal, USA

The Federal Energy Regulatory Commission (FERC), which regulates the U.S. electricity market, shot down a proposal from the Department of Energy that would have essentially subsidized aging coal and nuclear power plants. The effort, pushed by Secretary of Energy Rick Perry , was billed as move to shore up the electric grid and improve “resilience” by rewarding power plants that held a 90-day supply of fuel on site. Only coal and nuclear met that definition. The idea was that coal and nuclear provide the backbone for the nation’s electricity supply, so the market should subsidize them to keep them from going out of business. FERC unanimously rejected the proposal , despite President Trump having appointed four of the five members on the commission. The panel concluded that under the proposal, coal and nuclear plants would be compensated “regardless of need or cost to the system,” an idea that would […]

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