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‘War On Coal Is Finally Over’: Energy Experts Say Trump Admin’s Deregulation Agenda Could Fuel Coal’s ‘Revival’

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From the Daily Caller News Foundation

By Audrey Streb

Within the first months of his second administration, President Donald Trump has prioritized “unleashing” American energy and has already axed several of what he considers to be burdensome regulations on the coal industry, promising it’s “reinvigoration.”

Trump signed an executive order on April 8 to revive the coal industry, and shortly after moved to exempt several coal plants from Biden-era regulations. Though it has become a primary target of many climate activists, coal has been historically regarded as readily available and affordable, and several energy policy experts who spoke with Daily Caller News Foundation believe Trump has the cards necessary to strengthen the industry.

“When utility bills are skyrocketing or blackouts are happening in winter, people are going to want reliable power back,” Amy Cooke, co-founder and president of Always on Energy Research and the director of the Energy and Environmental Policy Center told the DCNF. “The beauty of coal is that it allows for affordable, reliable power, which is absolutely crucial to economic prosperity, and in particular, innovation.”

“I think the number one, most significant threat to humanity is no power,” Cooke said, adding that coal is a vital contributor to the nation’s “baseload power.”

Following his executive order, Trump in early April granted a two-year exemption for nearly 70 coal plants from a Biden-era rule on air pollution that required them to reduce certain air pollutants. The Environmental Protection Agency (EPA) said that the move would “bolster coal-fired electricity generation, ensuring that our nation’s grid is reliable, that electricity is affordable for the American people, and that EPA is helping to promote our nation’s energy security.”

Shortly after, skepticism swirled surrounding whether or not the coal industry would be able to experience a revival, and whether it would be economically savvy to pursue one.

Energy generated from burning coal only powers roughly 16% of the U.S., though 40 states are dependent on coal, according to data from America’s Power. Energy generation through coal reached a record low in 2023, a Rhodium Group study reported. In 2021, however, coal was the primary source of energy for 15 states, according to the U.S. Energy Information Administration.

“We can lead the world in innovation,” Cook told the DCNF, referencing developments in natural gas and nuclear power as beneficial. “But you have to have coal. It has to be part of the mix.”

“It’s insane that we would shut down any base load power right now, when the demand for power is so high,” Cooke added. She further referenced the North American Electric Reliability Corporation’s 2024 report and research from Always on Energy Research that have projected rolling blackouts to begin across the U.S. by 2028.

As American energy demand continues to climb, the odds of impending blackouts would increase if the supply fails to grow at the same rate. The push toward renewable energy sources, in addition to stringent environmental regulations approved under former President Joe Biden, may have contributed to the slower growth of energy supply currently being experienced in the U.S.

Immediately after returning to the White House, Trump declared a national energy emergency, stating that “the integrity and expansion of our Nation’s energy infrastructure” is “an immediate and pressing priority for the protection of the United States’ national and economic security.”

“We looked at it and predict that there will be periods of blackouts of 24 hours or more,” Cook told the DCNF.

She further noted that “the cheapest power is the power you’ve already paid for,” arguing for the continuation of existing coal plants and the reopening of ones that have been closed.

“The only people who think coal is bad are those who view it through the lens of carbon emissions only, and that is no way to do energy policy,” Cooke said, arguing that it is necessary to adopt a “holistic” approach to energy generation, given the nation’s projected energy crisis.

 

“The American people need more energy, and the Department of Energy is helping to meet this demand by unleashing supply of affordable, reliable, secure energy sources – including coal,” Department of Energy Secretary Chris Wright said in an April 9 statement. “Coal is essential for generating 24/7 electricity,” he added, “but misguided policies from previous administrations have stifled this critical American industry. With President Trump’s leadership, we are cutting the red tape and bringing back common sense.”

The president has also said that he envisions greater job opportunities for coal miners with the industry’s expansion, stating during an April 8 press conference that the workers are “really well-deserving and great American patriots.”

“For years, people would just bemoan this industry and decimate the industry for absolutely no reason,” Trump added.

“Miners can wake up today for the first time in a decade and their spouses and families will realize they have a job tomorrow,” reporter Bob Aaron said in a video shared on X. They can “hear a president of the country announce that the war on coal is over.”

“I really anticipate a revival in the coal industry in the United States under Trump,” David Blackmon, an energy and policy writer who spent 40 years in the oil and gas business told the DCNF. He pointed to the Trump administration loosening restrictions on coal, adding that the Biden administration made it “near impossible” to build new coal plants due to aggressive climate rules.

Under Biden’s signature climate bill, the Inflation Reduction Act, the U.S. prioritized renewable energy generation and subsidization, resulting in a hefty price tag for taxpayers who had to foot the bill for several environmental initiatives, including hundreds of millions of dollars for solar panel construction in some of the nation’s least-sunny locations.

“The cheapest, the most affordable thing to do is to keep our current infrastructure online,” André Béliveau, Senior Manager of Energy Policy at the Commonwealth Foundation, told the DCNF. “Coal remains one of, if not, the most affordable energy source we have.”

“You’re forcing retirement of full-time energy sources and trying to replace them with part-time energy sources, and that’s not going to work,” Béliveau continued, referencing renewable energy avenues such as wind and solar. “We can’t run a full-time economy on part-time energy.”

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Alberta

Alberta’s grand bargain with Canada includes a new pipeline to Prince Rupert

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From Resource Now

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Alberta renews call for West Coast oil pipeline amid shifting federal, geopolitical dynamics.

Just six months ago, talk of resurrecting some version of the Northern Gateway pipeline would have been unthinkable. But with the election of Donald Trump in the U.S. and Mark Carney in Canada, it’s now thinkable.

In fact, Alberta Premier Danielle Smith seems to be making Northern Gateway 2.0 a top priority and a condition for Alberta staying within the Canadian confederation and supporting Mark Carney’s vision of making Canada an Energy superpower. Thanks to Donald Trump threatening Canadian sovereignty and its economy, there has been a noticeable zeitgeist shift in Canada. There is growing support for the idea of leveraging Canada’s natural resources and diversifying export markets to make it less vulnerable to an unpredictable southern neighbour.

“I think the world has changed dramatically since Donald Trump got elected in November,” Smith said at a keynote address Wednesday at the Global Energy Show Canada in Calgary. “I think that’s changed the national conversation.” Smith said she has been encouraged by the tack Carney has taken since being elected Prime Minister, and hopes to see real action from Ottawa in the coming months to address what Smith said is serious encumbrances to Alberta’s oil sector, including Bill C-69, an oil and gas emissions cap and a West Coast tanker oil ban. “I’m going to give him some time to work with us and I’m going to be optimistic,” Smith said. Removing the West Coast moratorium on oil tankers would be the first step needed to building a new oil pipeline line from Alberta to Prince Rupert. “We cannot build a pipeline to the west coast if there is a tanker ban,” Smith said. The next step would be getting First Nations on board. “Indigenous peoples have been shut out of the energy economy for generations, and we are now putting them at the heart of it,” Smith said.

Alberta currently produces about 4.3 million barrels of oil per day. Had the Northern Gateway, Keystone XL and Energy East pipelines been built, Alberta could now be producing and exporting an additional 2.5 million barrels of oil per day. The original Northern Gateway Pipeline — killed outright by the Justin Trudeau government — would have terminated in Kitimat. Smith is now talking about a pipeline that would terminate in Prince Rupert. This may obviate some of the concerns that Kitimat posed with oil tankers negotiating Douglas Channel, and their potential impacts on the marine environment.

One of the biggest hurdles to a pipeline to Prince Rupert may be B.C. Premier David Eby. The B.C. NDP government has a history of opposing oil pipelines with tooth and nail. Asked in a fireside chat by Peter Mansbridge how she would get around the B.C. problem, Smith confidently said: “I’ll convince David Eby.”

“I’m sensitive to the issues that were raised before,” she added. One of those concerns was emissions. But the Alberta government and oil industry has struck a grand bargain with Ottawa: pipelines for emissions abatement through carbon capture and storage.

The industry and government propose multi-billion investments in CCUS. The Pathways Alliance project alone represents an investment of $10 to $20 billion. Smith noted that there is no economic value in pumping CO2 underground. It only becomes economically viable if the tradeoff is greater production and export capacity for Alberta oil. “If you couple it with a million-barrel-per-day pipeline, well that allows you $20 billion worth of revenue year after year,” she said. “All of a sudden a $20 billion cost to have to decarbonize, it looks a lot more attractive when you have a new source of revenue.” When asked about the Prince Rupert pipeline proposal, Eby has responded that there is currently no proponent, and that it is therefore a bridge to cross when there is actually a proposal. “I think what I’ve heard Premier Eby say is that there is no project and no proponent,” Smith said. “Well, that’s my job. There will be soon.  “We’re working very hard on being able to get industry players to realize this time may be different.” “We’re working on getting a proponent and route.”

At a number of sessions during the conference, Mansbridge has repeatedly asked speakers about the Alberta secession movement, and whether it might scare off investment capital. Alberta has been using the threat of secession as a threat if Ottawa does not address some of the province’s long-standing grievances. Smith said she hopes Carney takes it seriously. “I hope the prime minister doesn’t want to test it,” Smith said during a scrum with reporters. “I take it seriously. I have never seen separatist sentiment be as high as it is now. “I’ve also seen it dissipate when Ottawa addresses the concerns Alberta has.” She added that, if Carney wants a true nation-building project to fast-track, she can’t think of a better one than a new West Coast pipeline. “I can’t imagine that there will be another project on the national list that will generate as much revenue, as much GDP, as many high paying jobs as a bitumen pipeline to the coast.”

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Canadian Energy Centre

Cross-Canada economic benefits of the proposed Northern Gateway Pipeline project

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From the Canadian Energy Centre

Billions in government revenue and thousands of jobs across provinces

Announced in 2006, the Northern Gateway project would have built twin pipelines between Bruderheim, Alta. and a marine terminal at Kitimat, B.C.

One pipeline would export 525,000 barrels per day of heavy oil from Alberta to tidewater markets. The other would import 193,000 barrels per day of condensate to Alberta to dilute heavy oil for pipeline transportation.

The project would have generated significant economic benefits across Canada.

Map courtesy Canada Energy Regulator

The following projections are drawn from the report Public Interest Benefits of the Northern Gateway Project (Wright Mansell Research Ltd., July 2012), which was submitted as reply evidence during the regulatory process.

Financial figures have been adjusted to 2025 dollars using the Bank of Canada’s Inflation Calculator, with $1.00 in 2012 equivalent to $1.34 in 2025.

Total Government Revenue by Region

Between 2019 and 2048, a period encompassing both construction and operations, the Northern Gateway project was projected to generate the following total government revenues by region (direct, indirect and induced):

British Columbia

  • Provincial government revenue: $11.5 billion
  • Federal government revenue: $8.9 billion
  • Total: $20.4 billion

Alberta

  • Provincial government revenue: $49.4 billion
  • Federal government revenue: $41.5 billion
  • Total: $90.9 billion

Ontario

  • Provincial government revenue: $1.7 billion
  • Federal government revenue: $2.7 billion
  • Total: $4.4 billion

Quebec

  • Provincial government revenue: $746 million
  • Federal government revenue: $541 million
  • Total: $1.29 billion

Saskatchewan

  • Provincial government revenue: $6.9 billion
  • Federal government revenue: $4.4 billion
  • Total: $11.3 billion

Other

  • Provincial government revenue: $1.9 billion
  • Federal government revenue: $1.4 billion
  • Total: $3.3 billion

Canada

  • Provincial government revenue: $72.1 billion
  • Federal government revenue: $59.4 billion
  • Total: $131.7 billion

Annual Government Revenue by Region

Over the period 2019 and 2048, the Northern Gateway project was projected to generate the following annual government revenues by region (direct, indirect and induced):

British Columbia

  • Provincial government revenue: $340 million
  • Federal government revenue: $261 million
  • Total: $601 million per year

Alberta

  • Provincial government revenue: $1.5 billion
  • Federal government revenue: $1.2 billion
  • Total: $2.7 billion per year

Ontario

  • Provincial government revenue: $51 million
  • Federal government revenue: $79 million
  • Total: $130 million per year

Quebec

  • Provincial government revenue: $21 million
  • Federal government revenue: $16 million
  • Total: $37 million per year

Saskatchewan

  • Provincial government revenue: $204 million
  • Federal government revenue: $129 million
  • Total: $333 million per year

Other

  • Provincial government revenue: $58 million
  • Federal government revenue: $40 million
  • Total: $98 million per year

Canada

  • Provincial government revenue: $2.1 billion
  • Federal government revenue: $1.7 billion
  • Total: $3.8 billion per year

Employment by Region

Over the period 2019 to 2048, the Northern Gateway Pipeline was projected to generate the following direct, indirect and induced full-time equivalent (FTE) jobs by region:

British Columbia

  • Annual average:  7,736
  • Total over the period: 224,344

Alberta

  • Annual average:  11,798
  • Total over the period: 342,142

Ontario

  • Annual average:  3,061
  • Total over the period: 88,769

Quebec

  • Annual average:  1,003
  • Total over the period: 29,087

Saskatchewan

  • Annual average:  2,127
  • Total over the period: 61,683

Other

  • Annual average:  953
  • Total over the period: 27,637

Canada

  • Annual average:  26,678
  • Total over the period: 773,662
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