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US coal industry left out in the cold

THERE is likely to be a definite feeling of unease in the US coal industry following President Ba...

Ron Berryman
US coal industry left out in the cold

Although the President has made his position clear regarding coal-fired power stations and greenhouse gas emissions in the past his address was more about clean forms of energy, although natural gas was prominent.

He wasted little time on the issue of climate change, although he did acknowledge that there appeared to be little political will to take action.

"We can also spur energy innovation with new incentives," he said.

"The differences in this chamber may be too deep right now to pass a comprehensive plan to fight climate change. But there's no reason why Congress shouldn't at least set a clean energy standard that creates a market for innovation. So far, you haven't acted."

Obama said he directed his administration to power 3 million homes and announced commitments to clean energy from the Department of Defense and calling for opening 75% of "potential offshore oil and gas resources".

"But with only 2 per cent of the world's oil reserves, oil isn't enough. This country needs an all-out, all-of-the-above strategy that develops every available source of American energy," Obama said. "A strategy that's cleaner, cheaper, and full of new jobs."

The President nominated saving energy as the easiest way to save money on energy bills.

"So here's a proposal: Help manufacturers eliminate energy waste in their factories and give businesses incentives to upgrade their buildings," Obama said.

"Their energy bills will be $100 billion lower over the next decade, and America will have less pollution, more manufacturing, more jobs for construction workers who need them. Send me a bill that creates these jobs."

He left little doubt about his position on coal-fired power with a direct reference to the administration’s new mercury regulation.

“I will not back down from protecting our kids from mercury poison,” he said.

On December 21 last year the Environmental Protection Agency demanded coal-fired power plants implement the available technologies to reduce their emissions by 90%.

Most utilities have already made moves to achieve these figures and the EPA estimates that of about 1400 coal-and-oil-fired generators, 60% have implemented new technologies while 40% have not.

The American Coalition for Clean Coal Electricity president and chief executive officer Steve Miller said in a statement released before the address that “we are reminded of his numerous 2008 campaign statements that coal must be a key part of our nation’s energy future. Candidate Obama embraced coal, America’s dominant source of electricity.”

“But over the past three years, President Obama’s policies have been inconsistent with Candidate Obama’s rhetoric.

“His regulations concerning electricity from coal could destroy more than a million jobs and subject families and businesses to higher energy prices. Just as we are clawing our way out of the Great Recession, states such as Michigan, Ohio, Pennsylvania and Virginia – which rely heavily on electricity from coal – will be particularly hard hit by the cost of these regulations.

“America must make use of all our domestically-produced fuels to hold down prices, make our manufacturers more competitive and make our nation more energy secure. As the President’s Council on Jobs and Competitiveness concluded this month, America needs to be ‘all in’ on energy sources. But the Obama Administration’s policies amount to being ‘all out’ on coal.

“The President needs to honor the pledges he made during the 2008 campaign by reaffirming his commitment to affordable, reliable electricity that will power our nation—a commitment that can only be met with coal.”

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