Tag: coal

Protecting Coal Mining From the Stream Protection Rule

On Wednesday, February 3, the Senate Environment and Public Works committee will hold a hearing on a new “Stream Protection Rule” being proposed by the Department of the Interior’s Office of Surface Mining (OSM) that looks to be another nail being hammered into the coal industry’s coffin by the Obama Administration.

Energy and mineral resource development in the U.S. is being thwarted by a wave of agenda-driven federal agency rulemakings being rushed through before the end of this administration. Oil, natural gas, and coal have been targeted for replacement by renewable energy sources. The coal industry has been fast-tracked by the OSM’s proposed new “Stream Protection Rule” (SPR). 

The new SPR would supersede the existing Stream Buffer Zone Rule, enacted in 2008 to regulate surface coal mining on aquatic environments in Appalachia. But, as is so often the case in the world of environmental regulation, that was not sufficient for the OSM, and, over the past seven years it has continued to press for more and stricter regulations on coal mining all across the United States.  They seem to prefer a nationwide one-size-fits-all regulatory enforcement scenario, even though local geology, geochemistry, and terrain vary widely between states and basins.  As it is, these concerns are more efficiently addressed by the states and policed by the industry.

That aside, the real impacts of the SPR, openly acknowledged by OSM, leave tens of billions of dollars’ worth of coal in the ground with no chance of future development—“stranded reserves,” as OSM terms them in the rule. Those coal deposits, according to OSM, “…are technically and economically minable, but unavailable for production given new requirements and restrictions included in the proposed rule.”  Yet, OSM’s engineering analysis, cited by a Congressional Research Service study, states that there will be no increase in “stranded reserves” under the SPR. In other words, the same volume of coal will be mined under the proposed rule as under the current rule…an OSM oversight, no doubt.

The proposed rulemaking employs questionable geoscience and mining engineering issues such as overemphasizing the importance of ephemeral streams to limit mining activities in all areas, requiring needless increases of subsurface drilling and geologic sampling, redefining accepted technical terms such as “approximate original contour” and “material damage to hydrologic balance,” and creating new unfamiliar terms such as “hydrological form” and “ecological function.”

But OSM likely is not focused on technical issues as much as their main concern: that the new rule is more stringent than the existing 2008 rule as is possible, and that it will apply nationally. Hence, the rule appears to be more for the benefit of regulators and places undue burden and expense on coal miners. Neither is OSM overly concerned with the big three tangible adverse impacts of their proposed rulemaking: lost jobs, lost resources, and lost tax revenue—with Appalachia being hit the hardest. Consensus estimates—not OSM’s—of the number of mining-related jobs lost nationally due to the SPR: in excess of 100,000 to upwards of 300,000. The decrease in coal tonnage recovered: between roughly 30 to 65 percent less. The annual value of coal left in the ground because of the rule: between 14 to 29 billion dollars. The estimated decrease in Federal and coal state tax bases: between 3.1 to 6.4 billion dollars. These are not very encouraging statistics for an industry that is currently responsible for supplying 40 percent of U.S. electrical power generation.   

Interior’s Office of Surface Mining has failed to adequately justify its proposed Stream Protection Rule in light of the federal and state rules and regulations already in place. Rather, OSM has embarked on a seven year odyssey of agenda-driven rulemaking that would force-fit regional and local characteristics coal mining operations to a nationwide template. However, Congress and the courts had already established that a uniform nationwide federal standard for coal mining would not be workable given the significant differences in regional and local geology, hydrology, topography, and environmental factors related to mining operations everywhere. On the non-technical side, OSM does not retreat from its admission in the preamble to the proposed rule that the SPR is politically motivated. Press reports have quoted an OSM official as acknowledging that there was pressure to get the SPR done in this administration’s last year.

Enacting the new SPR would be an ominous threat to a coal mining industry that deserves much better from this or any other future administration. This is one reason why OSM’s proposed SPR has been tagged by the National Mining Association as “a rule in search of a problem.” However, to paraphrase a more appropriate quote: the voluminous Stream Protection Rule is not the solution to the coal industry’s problems—rather the Stream Protection Rule is the problem.

It will be interesting to see how this all plays out in the Senate on Wednesday.

EPA and the ‘Necessary Bankrupting’ of Coal

In its proposed rulemaking on emissions from coal-fired power plants, the Environmental Protection Agency has fulfilled President Obama’s campaign statement that his administration would “essentially bankrupt” anyone who had the audacity to hope to build a new generation facility. By essentially prohibiting the production of new plants, the administration is again picking winners and losers in our energy economy, something which is best done by the market.

Supporters of this policy will claim that it is cheaper to generate electricity from natural gas, and that is true for now.  But major producers using hydraulic fracturing and new horizontal drilling techniques in shale formations have recently stopped drilling new wells because the price is so low.

If it ultimately costs more to produce electricity from gas than it does from coal, the administration will have slapped yet another energy price hike on us—in addition to what we already pay to subsidize solar power, windmills, and Chevrolet Volts while taxpayers absorb the debt from the multiple bankruptcies of other politically correct energy concerns like Solyndra, Range Fuels, and a host of others.

Curricula with an Agenda? It Ain’t Just Big Coal

Today the Washington Post has a big story on efforts by the coal industry to get public schools to teach positive things about — you guessed it — coal. The impetus for the article is no doubt a recent kerfuffle over education mega-publisher Scholastic sending schools free copies of the industry-funded lesson plan “The United States of Energy.” Many parents and environmentalists were upset over businesses putting stealthy moves on kids, and Scholastic eventually promised to cease publication of the plan.

Loaded curricula designed to coerce specific sympathies from children, however, hardly come just from industry, as the Post story notes. Indeed, as I write in the new Cato book Climate Coup: Global Warming’s Invasion of Our Government and Our Lives, much of the curricular material put out at least on climate change is decidedly alarmist in nature, and is funded by you, the taxpayer. In other words, lots of people are trying to use the schools to push their biases on your kids, which is an especially dangerous thing considering how unsettled, uncertain, and multi-sided so many issues are.

In light of the huge question marks that exist in almost all subjects that schools address, the best education system is the one that is most decentralized, in which ideas can compete rather than having one (very likely flawed) conclusion imposed as orthodoxy. And it would be a system in which no level of government — either district, state, or federal — would decide what view is correct, or what should be taught based on the existence of some supposed consensus, as if “consensus” were synonymous with “absolute truth.” What is truth should not be decided by who has the best lobbyists or most political weight, nor should children be forced to learn what government simply deems to be best.

Of course, there are some people who will decide that they are so correct about something that it would be abusive not to have government force children to learn it. If their conclusion is so compelling and obvious, however, no coercion should be necessary to get people to teach it to their children — it should be overwhelmingly clear. More importantly, if there is controversy, efforts to impose a singular view are likely to fail not just with the children of unbelievers, but for many of the children whose parents share the view. As significant anecdotal evidence over the teaching of human origins has stongly suggested — and new empirical work has substantiated — when public schools are confronted with controversial issues, they tend to avoid them altogether rather than teach any side. In other words, efforts at compulsion don’t just fail, they hurt everyone.

Educational freedom, then, is the only solution to the curricular problem. If you want full power to avoid the imposition of unwanted materials on your children, you must be able to choose schools. And if you want to ensure that your kids get the instruction you think every child should have, everyone else must have that ability, too.