West Virginia coal, oil and gas stakeholders push back against EPA carbon rules

Sen. Shelley Moore Capito, R-W.Va., during a press conference shortly after the proposed rules were announced, said they would result in the closing of West Virginia’s remaining coal power plants.

“The president’s EPA announced earlier today new regulations that will cause essentially all of our coal-fired power plants — which generate 90% of our electricity in our state — to close by 2032,” she said.

Chris Hamilton, president of the West Virginia Coal Association, didn’t mince words when asked if he thinks the rules will be finalized.

“It’s going to happen as long as this president stays in office,” he said. “He’s absolutely committed to a zero-carbon economy in a relatively short period or accelerated period of time and he’s hellbent on getting it done.”

Along with the rules related to carbon emissions, the EPA is proposing a slate of other rules and regulations “intended to further restrict if not eradicate coal-fired generation” from the nation’s electrical grid, Hamilton said.

Gov. Jim Justice said he planned to “urge” State Attorney General Patrick Morrisey to lead a legal challenge against the rules.

“Without any question, I will absolutely urge our attorney general — Patrick will do a good job with regard to this,” he said. “I will urge anybody and everybody to challenge through our court system or whatever it may be to absolutely see that this doesn’t come to pass.”

He has already spoken to Morrisey’s office about the possibility of such a challenge, Hamilton said.

“He and his team are looking at these rules very carefully,” Hamilton said. “I think they are looking at them with an eye toward challenging these rules, as they successfully challenged the last carbon rules.”

The West Virginia Coal Association plans to be very active in the 2024 election because of the next administration’s ability to impact the rules, Hamilton said.

“We’ll be exceptionally involved in the 2024 election through grassroots efforts, independent expenditures and communications,” he said. “We’ll also be working with a multi-state group trying to generate a strong pro-coal, pro-energy turn out across the heartland.”

The election will serve as a referendum on the future of the coal industry, Hamilton said.

“Every upcoming election, you say it’s the most important and we’ve said that for the last three or four now,” he said. “But clearly, the 2024 election will determine the fate of coal mining and coal-fired generation.”

Charlie Burd, executive director of the Gas and Oil Association of West Virginia, said his industry is currently studying a possible response.

“We are looking into this and strategizing this amongst ourselves and other like-minded trade organizations to formulate where we need to be collectively so we’re speaking from a unified voice,” he said.

Sen. Joe Manchin, D-W.Va., said the rules are “crazy — totally insane.”

“Why can’t this administration understand no means no? You’ve got to have it reliable,” he said. “Coal is basically dispatchable — it runs 24/7, OK? We have renewables. I’m for everything — I’m just not for taking off what I’ve got to have because you want something you want to have, but it doesn’t do that job.”

Rep. Carol Miller, R-W.Va., released a statement saying the rules are “insulting to hard working West Virginians.”

“This overbearing EPA rule will kill domestic energy production and force jobs overseas, giving more power to our adversaries,” she said. “Energy security is national security, and I will do everything in my power to stop the Green New Deal from infiltrating the pro-American energy policies House Republicans are fighting for.”

West Virginia was the nation’s No. 2 overall producer of coal in 2021, according to data from the U.S. Energy Information Administration, with 78,501 thousand short tons mined. Wyoming, nation’s leading producer of coal, mined 238,773 thousand short tons of coal in 2021.

According to the EIA’s historical data, which shows state energy production estimates from 1960 to 2020, West Virginia produced 118,944 thousand short tons of coal in 1960.

Production levels remained above 100,000 thousand short tons per year throughout the beginning of the 1970s, before falling to 95,433 thousand short tons in 1977 and 85,314 thousand short tons in 1978.

The state’s coal production peaked in the 1990s — 173,734 thousand short tons were produced in 1997 and 171,145 thousand short tons were produced in 1998.

While 2008 saw 157,805 thousand short tons mined, production began to decline, with 95,633 thousand short tons produced in 2015 and 67,380 thousand short tons produced in 2020.

While West Virginia’s overall coal production has continued to decline, the majority of the state’s electricity still comes from coal, according to the EIA.

Coal-fired power plants accounted for 91% of West Virginia’s total electricity net generation in 2021. Renewable energy resources — primarily hydroelectric power and wind energy — contributed 5% and natural gas provided more than 4%.

This was an increase over the previous year. In 2020, coal-fired power plants accounted for 88% of West Virginia’s electricity.

EPA will take comment on the proposed rules for 60 days after publication in the Federal Register.

EPA will also hold a virtual public hearing and will make additional information available on the website. Registration for the public hearing will open after the proposal is published in the Federal Register.

The agency will also host virtual trainings to provide communities and Tribes with information about the proposal and about participating in the public comment process. Those trainings will be June 6 and 7. Registration information is available on EPA’s website.