Actions to protect coal, reliability applauded
Electric co-op leaders, including Minnkota Power Cooperative President and CEO Mac McLennan, second from left, and Basin Electric Power Cooperative CEO and General Manager Todd Brickhouse, second from right, were at the White House April 8 to hear President Donald Trump announce several energy-related executive actions. Photo courtesy NRECA
Electric cooperative leaders joined President Donald Trump at the White House April 8, as he announced several executive actions aimed at protecting coal-fired power plants and the reliability of the nation’s electric grid. North Dakota’s Basin Electric Power Cooperative CEO and General Manager Todd Brickhouse, Bismarck, and Minnkota Power Cooperative President and CEO Mac McLennan, Grand Forks, were among those in attendance.
Jim Matheson, CEO of the National Rural Electric Cooperative Association (NRECA), said the administration is “making good on their commitment to pursue a pro-energy policy agenda that prioritizes reliable power.”
Under Trump’s actions, coal plants would be granted up to a two-year exemption from the Environmental Protection Agency’s (EPA) mercury and air rule for utilities that have submitted an exemption request to EPA. The Clean Air Act authorizes the president to grant an exemption from this rule if the technology to implement the standard is unavailable and it is in the national security interest of the United States.
The mercury and air rule would be extremely costly, NRECA says. It requires a 67% cut in filterable particulate matter for all coal-fired plants, but does not identify new cost-effective technologies to meet that goal. If the standards can’t be met, some power plants would need to retire, threatening reliability at a time when demand for electricity is growing, according to NRECA.
“(The April 8) announcements help drive home smart energy policies that will support efforts to keep the lights on at a price families and businesses can afford,” Matheson said. “We thank the administration for recognizing the continued importance of always-available resources in the nation’s energy mix.”
Trump also directed the secretary of energy to evaluate the nation’s electric reliability and use all available authorities, including emergency powers, to keep electric generating units operating and maintain reliability. The order is resource-neutral, but could help preserve coal, natural gas and nuclear units at risk of premature closure.
“The president’s signing of these executive orders marks an important and encouraging step toward strengthening the reliability of our nation’s electric grid. It was an honor to be at the White House to witness this renewed focus on an energy strategy that values coal’s essential role in providing dependable, around-the-clock power,” McLennan said.
Across the country, 79 coal units are wholly or partially owned by 31 NRECA member co-ops. Coal accounted for 35.2% of Basin Electric’s 2023 energy portfolio and about 58% of Minnkota’s resource mix, and both own coal-fired power plants in North Dakota. The state’s lignite coal industry employs more than 14,000 workers and contributes approximately $125 million through coal mine and power plant tax revenue, according to the N.D. Department of Commerce.
“As the largest electric utility in the United States by service territory, Basin Electric is exposed to severe climates and weather events which require an all-of-the-above energy strategy. Basin Electric’s coal fleet is a key component of this strategy. We fully support the administration’s efforts to secure the future of dispatchable generation,” Brickhouse said.
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CUTS TO FEDERAL PROGRAMS, TARIFFS
Electric cooperatives – and the families, businesses and communities they serve – rely on numerous federal programs to help provide vital services to rural America. While in Washington, D.C., at the end of April for their annual fly-in, electric cooperative leaders urged policymakers to support smart energy policies, programs and a workforce to effectively serve rural America, including:
• Permitting reform
• Unwinding of flawed EPA regulations
• Protection of hydroelectric power
• Wildfire mitigation enhancements
• A strong USDA Rural Utilities Service electric loan program and continuation of USDA’s Rural Cooperative Development Grant
• Electric cooperative access to elective pay energy tax credits
• Federal Emergency Management Agency public assistance programs
• Not eliminating the Low Income Home Energy Assistance Program
Co-op leaders also expressed concerns over tariff impacts on electric infrastructure supply chains and rural communities. Higher prices will stretch budgets and lead to increased costs and greater uncertainty for rural communities, electric cooperatives say.
