Trump’s latest executive order sees the Pentagon being ordered to buy electricity that is produced from coal. There will be more orders to come to revive the fossil fuel sector, as they have been struggling to stay relevant against other sources of energy like natural gas, as well as renewable energy sources.
Trump says this will increase national security and create more jobs. The new executive order states that the Pentagon must create long-term purchasing contracts with more coal energy based companies.
Fossil fuels are Your Friends, the Pentagon is Learning to Love Coal!
During the signing of the order, Trump held a ceremony for mine and the energy companies, Peabody, to celebrate the history of the coal industry. In Trump’s words, ”You heat our homes, fuel our factories, and turn natural resources into American riches and dreams”. The order tells the military to secure contracts to provide power in the long term. And details such as financial terms and energy volume cutoffs are not available yet. Trump has also mentioned a $175 million investment from the Department of Energy to make improvements to six coal plants in West Virginia, Ohio, North Carolina, Kentucky, and Virginia.
Economic Problems Facing the Coal Industry
The President often talks about supporting what he terms as beautiful, clean coal, however, the coal industry continues to hear very serious economic challenges. The coal production has declined by over 50% from the period of 2008 to 2023, as reported by the U.S. Energy Information Administration (EIA).
In 2023, coal represented only 16% of the electricity generation in the U.S., a decline as opposed to 51% in 2001. This decline is due to the decreasing prices of natural gas and renewables such as wind and solar. Energy Innovations 2023 analysis showed that 99% of the coal plants available in the U.S. have now become costlier to manage than to provide new renewables.
National Security and AI Dominance
The Trump administration has classified keeping coal plants open as a national security issue. The President has stated that keeping AI at U.S. dominance requires a diverse energy mix and requires energy to be available at all times.
On his first day in office, Trump declared an “energy emergency” to keep his first plants open. Since then, the DOE has been able to make five plants stay open longer than their retirement dates.
Influence on Public Utilities
The administration’s influence has also been seen at the Tennessee Valley Authority (TVA). Which is the largest public utility company in the country. On Wednesday, the TVA voted to keep two coal plants open longer than previously planned, now set to close in 2035.
This change in policy comes after Trump recently restructured the TVA board. He fired three members of the board his predecessor appointed and then added four of his own, making it the first time the TVA’s board acted in the interest of the administration’s pro-fossil fuel policies.
Criticism and Environmental Advocacy Regarding Climate Change and Trump’s Presidential Order
Order critics claim Trump’s order defies scientific consensus on climate change. To this day, Trump tends to prioritize new domestic manufacturing jobs over climate change. He has previously stated that global warming is a con job, and has withdrawn the US from the Paris Climate Accord global warming treaty.
Environmental groups say costlier military power sources which are more carbon-intensive will environmentally damage the military more, but also be more expensive to the taxpayers.
Despite this, Trump has praised the coal workers of the White House, saying to them, “You are the people who keep America running at full speed”.
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