Coal Age

NOV 2013

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news Thousands Rally in Washington Against Anti-coal Regulations Coal supporters rally to make their voices heard in Washington. More than 4,000 men, women and children with direct ties to U.S. coal from around the country converged on Washington in protest of harsh regulations on the nation's power plants during late October, ahead of a Congressional proposal supporting the industry. In all, 67 busloads of miners, community activists, union leaders, and suppliers and vendors from more than 20 states gathered on Capitol Hill for the rally. On the West Lawn, 38 members of Congress from across the country also joined The Rally for American Energy Jobs, organized by the National Mining Association (NMA). The event highlighted the potentially devastating Environmental Protection Agency (EPA) greenhouse gas (GHG) rules affecting new and existing coal plants. ± B R E A K I N G N E W S TVA Closes Several Coal-fired Units The Tennessee Valley Authority (TVA) has voted to close six coal-fired units in Alabama and replace two others in Kentucky with natural gas. It remains unclear how many jobs will be affected, though the current units will likely run through 2015 or later, pending passage of environmental regulations. Board representatives cited the advent of strict Washington regulations and slackening power demand as mandating the changes — and potential future reductions. This year, according to officials, coal represented 38% of the authority's portfolio while natural gas comprised 8%. Sen. Republican Leader Mitch McConnell intervened seeking continued operation of all three coal-burning units at Drakesboro, Ky.'s Paradise Fossil Plant by meeting municipal officials. But although they previously approved upgrading the two oldest units with environmental controls, this week COO Chip Pardee recommended building a natural gas plant instead. 4 www.coalage.com The event coincided with bipartisan efforts by two lawmakers — Sen. Joe Manchin (D-W.Va.) and Rep. Ed Whitfield (R-Ky.), chairman of the House Energy and Power Subcommittee — to offer a discussion draft bill requiring that EPA officials base GHG standards for new coal-based power plants on proven, commercially available technology. The draft would forestall the EPA's existing New Source Performance Standard requiring unproven carbon capture technology for new power plants burning coal. The threat to the industry is serious, noted Whitfield. "America will be the only country in the world where you cannot build a coalfired power plant because the technologies required to meet the standards are not commercially viable," he said. Whitfield's panel plans an oversight hearing on November 14 to examine the EPA regulation impacts on economic conditions in coal regions and the discussion draft legislation. House leaders quickly endorsed the bill. "This legislation will ensure costly regulations do not raise energy prices and threaten this [manufacturing] renaissance, and I look forward to moving the bill through the committee and to the floor," said Energy and Commerce Committee Chairman Fred Upton (R-Mich.). NMA CEO Hal Quinn lauded these efforts while noting the EPA scheduled so-called listening sessions for public input on its rules everywhere, except regions where people would be negatively affected by them. "By bringing the coal community to Washington, the EPA will finally have an opportunity to listen to those who stand the most to lose from its reckless regulatory gamble with their livelihoods and our economy," he said. John Roeber, president of the Montana State Building and Construction Trades Council, said the rally was not just about coal jobs, Meanwhile, the board also voted to close all five units at the Colbert plant in Tuscumbia, Ala., which has 150 employees, and one of two remaining units at the Widows Creek plant in Stevenson, also in Alabama with 175 employees. While expressing relief the newer Paradise plant will remain in operation, McConnell blasted the Obama administration for the other closures. "I fought hard to prevent these changes and fortunately one of the units will continue to burn coal, saving hundreds of jobs," he said in a statement quoted by The Associated Press following the vote. The board also voted to close all five units at the Colbert plant in Tuscumbia, Ala., where about 150 people are employed, and one of two remaining units at the Widows Creek plant in Stevenson with its 175 employees. Two other coalfired units remain under evaluation — the Allen plant in Memphis and the Shawnee plant near Paducah, Ky., along with the Widows Creek facility. The Tennessee Valley hasn't abandoned coal entirely, though, the utility is spending about $1 billion to upgrade a coal-fired plant in Gallatin, Tenn., while other units remain open. November 2013

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