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Wednesday, November 27, 2019

Over 50 U.S. Coal Companies Go Broke Since Trump Started Campaigning in 2015

One of 
Donald Trump's 
faults is that 
in 2016 he grossly 
over promised what
any president could 
deliver in four years,
or even eight years.

He didn't promise 
a lot of "free stuff"
like current Democrat
candidates, so he gets
my complement for 
that common sense.



US farmers were 
already hurting from 
the Trump trade war

I had written in my 
economics newsletter
in 2018 that China
cleverly cut back 
on purchases of
US food, so they
could later promise
to "increase imports
of US agricultural goods",
and then merely return
to the 2017 level !

The US farming 
industry suffered, 
and then got
hit again by
terrible weather
in 2019 -- 
spring flooding
delayed planting, 
and then 
cold weather 
ruined some
late harvests.

That was bad news
so I guess it was
"climate change"?

A good growing season 
would just be "weather".



After writing 
the prior article
on planned
building of coal 
power plants,
and the resulting
increased coal use,
in Africa,
and a recent article 
on the same pattern
happening in China,
I wondered about 
the state of the US 
coal industry that
candidate Trump 
promised to save.

The state of the 
U.S. coal industry
is not good.

More than 50 coal plants 
shut down since 2015,
when Trump started 
running for President.

-- A big Trump backer, 
coal tycoon Robert Murray, 
filed for bankruptcy
on October 29, but will 
continue operating, 
but with CEO Robert 
Murray tossed out.

Murray had contributed 
$1 million to a Trump 
super political action 
committee, and donated 
another $300,000 to the 
president’s inauguration.

That did not help !


-- One of the largest 
coal companies 
in the western U.S. 
closed on Monday.


-- The Navajo 
Generating Station 
burned the last of its coal 
after the mine that supplied 
the Arizona plant with coal 
closed in August.


Trump promised to end 
Obama’s “war on coal.”

The Energy Information 
Administration (EIA)
reported, since 2016:
“34.1 [gigawatts] 
of coal capacity from 
170 coal-fired generators 
at 85 plants have retired
 — 36 of those plants 
remain operational”.

One gigawatt can power
roughly 300,000 homes.



New York Attorney 
General Letitia James,
a Democrat of course, 
is among a handful 
of attorneys general 
suing the administration 
to block Trump from 
easing restrictions
on coal power plants.

Obama's Environmental 
Protection Agency (EPA)
placed national limits on 
carbon dioxide emissions 
from coal power plants
   ( The Clean Power Plan ),
encouraging states to close 
and replace coal facilities 
with natural gas power plants.

Most coal plant closures 
were caused by the 
Mercury and Air Toxics 
Standards rule  [ MATS ]

Obama used the rule
to justify waves 
of anti-coal regulations.

The U.S. Supreme Court 
overturned the rule in 2015. 

But low natural gas prices
encouraged use of that 
now cheaper, and cleaner,
fossil fuel: Natural gas.



The U.S. 
coal industry
is still dying, 
but not yet dead.

The U.S. got 27% 
of its power from 
coal plants in 2018
( 64% for my own power 
company, DTE Energy, 
in the Detroit suburbs ).