The move is drawing attention because it would put public funds back into coal power generation in the United States, which has been in decline. [Photo: Shutterstock]

[DigitalToday reporter Jinju Hong] The U.S. White House is reportedly planning to inject an additional $700 million, about 1.08 trillion won, in public funding to support the coal-fired power industry. The measures include restarting shuttered coal plants and building new ones, and are expected to further fuel debate over the direction of U.S. energy policy.

Electrek, an electric vehicle-focused outlet, reported on June 4 local time that the White House is pursuing support for 13 existing coal power plants and a plan to build 2 new coal power plants in Alaska and West Virginia.

The White House is set to approve emergency budget spending that day based on the Defense Production Act. The law was enacted during the Cold War to build a national security and wartime mobilisation system, and includes authority allowing the government to intervene directly in strategic industries. The plan is also said to include restarting a coal power plant shut in Maryland and opening a coal export terminal in California.

Behind the push is the continued contraction of the U.S. coal industry. Coal accounted for about 50 percent of U.S. power generation in the early 2000s, but the share fell to about 15 percent in 2024. Coal use and the scale of generation facilities have also shown a steady decline for years.

The inclusion of a plan to build new coal power plants is also drawing attention. If the plan is carried out, it would mark the first construction of a new coal power plant in the United States since 2013.

President Donald Trump (도널드 트럼프) claimed in the White House Oval Office that U.S. coal production capacity is "twice that of Saudi Arabia and Russia combined" and that "China also built 52 coal power plants last year." He added, "There is nothing comparable to coal in terms of electricity. They talk about alternatives, but there is no real alternative," emphasising the importance of coal power generation. He also criticised renewable energy, saying it is damaging the power grid by relying on things like wind power that are "very expensive" and lack "enough power" and "strength."

Electrek, however, took a critical view of the policy. It argued that "coal did not disappear because of regulation" but lost competitiveness in the market because it is costly, highly polluting and less reliable. It said power companies are excluding coal generation from their power portfolios due to economic concerns. It also said the support measures could raise energy cost burdens for U.S. consumers. In particular, it argued that putting taxes into a less competitive energy source is inefficient policy at a time when living costs are high.

Energy Secretary Chris Wright (크리스 라이트), Interior Secretary Doug Burgum (더그 버검) and Environmental Protection Agency Administrator Lee Zeldin (리 젤딘) are reportedly expected to attend the policy announcement. Electrek said these officials have maintained close ties with the fossil fuel industry. Wright is from the oil and gas industry, and Burgum and Zeldin were introduced as figures who have received significant backing from the fossil fuel industry during their political activities.

The outlet also said that since the Trump administration took office, the federal government has expanded policies supporting the fossil fuel industry while placing constraints on policies related to clean energy. It said the Department of Energy has expanded subsidies for coal power generation, and that the Interior Department and the EPA have also shown moves to review or halt regulatory policies related to environmentally friendly energy projects.

Experts say the move could become an example symbolising a shift in the direction of U.S. energy policy, beyond simple support for the coal industry. Still, with coal's share of power generation declining over a long period, debate is expected to continue over the feasibility of projects, their economics and environmental costs.

Keyword

#White House #Defense Production Act #Donald Trump #Electrek #Environmental Protection Agency
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