President moves to boost coal, nuke plants
WASHINGTON — President Donald Trump on Friday directed Energy Secretary Rick Perry to prepare “immediate steps” to bolster struggling coal-fired and nuclear power plants to keep them open.
Trump believes keeping America’s energy grid secure “protects our national security, public safety and economy from intentional attacks and natural disasters,” White House press secretary Sarah Huckabee Sanders said in a statement.
Impending retirements of “fuel-secure” power plants that rely on coal and nuclear power are harming the nation’s power grid and reducing its resilience, Sanders said.
The directive comes as the Trump administration considers a plan to order operators of the nation’s power grid to buy electricity from coal and nuclear plants to keep them open.
The plan would direct grid operators to buy power from coal and nuclear plants for two years to ensure grid reliability, “promote the national defense and maximize domestic energy supplies.”
The Energy Department action, if ordered, would represent an unprecedented intervention into U.S. energy markets.
A draft memo urges federal action to “stop the further premature retirements of fuel-secure generation” from coal and nuclear plants that have struggled to compete with natural gas and renewable energy sources such as wind and solar power. The Associated Press obtained a copy of the memo.
The plan would exempt power plants from obeying a host of environmental laws and spend billions to keep coal-fired plants open.
A diverse group of energy industry groups — including oil, natural gas, solar and wind power — condemned the proposal, saying it would raise energy prices and distort markets.
“Unprecedented government intervention in the energy markets to support high-cost generation will hurt customers by taking more money out of their pockets rather than letting people keep more of what they earn,” said Todd Snitchler of the American Petroleum Institute, the top lobbying group for the oil and gas industry.
“Orderly power plant retirements do not constitute an emergency for our electric grid,” said Amy Farrell, vice president of the American Wind Energy Association. Farrell called the draft plan “a misapplication of emergency powers” and said, “There’s certainly no credible justification to force American taxpayers to bailout uneconomic power plants.”
But Robert Murray, chairman and CEO of Murray Energy Corp., the nation’s largest privately owned coal company, hailed the White House announcement.
“We support all efforts to ensure the security of our nation’s electric power supply, which is critical to the reliability of our electric power grids, to low-cost electricity and to our national defense,” Murray said Friday in a statement.