White House Whims Are Not Grounds for Emergency Coal, Nuke Plant Bailouts

President Donald Trump

President Donald Trump

The Department of Energy proposal would require grid operators to purchase electricity from a designated list of coal and nuclear plants over the course of two years.

The idea of declaring an emergency under the Defense Production Act of 1950 (used by President Harry Truman for the steel industry) and section 202 of the Federal Power Act has been promoted by the chief executives of the coal mining firm Murray Energy and OH utility First Energy, both of whom have contributed heavily to President Trump's political activities.

"Too many of these fuel-secure plants have retired prematurely and many more have recently announced retirement", the 41-page memo reads.

The Energy Department action, if ordered, would represent an unprecedented intervention into USA energy markets. One impartial group that manages the electrical energy grid that serves greater than 65 million individuals stated that it might be unhealthy for shoppers if the federal authorities intervenes out there.

The department's intervention is meant to buy time for a two-year study of vulnerabilities in the American energy delivery system - from power plants that provide electricity to the natural gas pipelines that supply them.

Murray also puzzled that he couldn't figure out why this had not yet been done, writing: "In Youngstown, Ohio, nine days ago, after my personally speaking with President Trump, he turned to Energy Secretary Rick Perry and said three (3) times, 'I want this done'".

As Bloomberg noted, there is no guarantee the president would sign off on the directive, but the White House did issue a statement on Friday saying it was weighing different options to keep America's energy grid "strong".

"The only risk here is to Trump's campaign promise to bail out very expensive polluting coal and aging nuclear plants, which will cause our electric bills to skyrocket", Moore said.

In keeping with this request, last September, Perry called on the Federal Energy Regulatory Commission (FERC) to fast-track a multi-billion dollar proposed "grid resiliency" rule that would have required utility customers to buy above-market rate electricity from otherwise uncompetitive coal and nuclear plants for the stated goal of preserving grid reliability - despite his own agency's finding that preventing these retirements wouldn't really do much for the grid.

The memo envisions requiring electricity purchases from coal and nuclear sources for a two-year period, which the Energy Department would use to study shortcomings in the US electricity system.

Some coal and power companies have lobbied the administration to invoke the measure, known as a 202 (c), and Trump has picked up on the term, telling coal miners on a recent trip to West Virginia that "we'll be looking at that 202".

President Donald Trump has promised, time and time again, to bring back coal.

The administration says the transfer will forestall coal and nuclear energy vegetation vital to {the electrical} grid from closing, however opponents say the requirement is basically a bailout for a dying business that the president promised to save lots of and can trigger People' electrical energy payments to get dearer.

The draft memo from DOE takes the stance that while renewable energy and natural gas have their share of benefits, increased reliance on them "comes at the expense of fuel security and resilience", which the document defines as the grid's ability to withstand and recover from major disruptions, be it adversarial attacks or natural disasters.

"Arbitrary market interventions of this sort have no place in the electricity structure that has kept American electric power reliable and affordable", Wetstone says. Some of Trump's biggest donors - including coal executive and CEO of Murray Energy, Bob Murray - have also pushed for the move.

Recommended News

  • USA  first lady to hang back on Trump's Camp David weekend

    USA first lady to hang back on Trump's Camp David weekend

    President Donald Trump left the White House Friday afternoon for a weekend at the presidential retreat in Maryland. Melania Trump's absence has been the subject of media speculation and even a bevy of online conspiracy theories.
    Rudy Giuliani Says Trump Shouldn't Testify Because

    Rudy Giuliani Says Trump Shouldn't Testify Because "Our Recollection Keeps Changing"

    I think under circumstances where there's no - at best there's ambiguity as to whether there was intent. "Should have told me!" Giuliani, a former prosecutor, was not on Trump's legal team when the letter to Mueller was written.
    Denmark passes law banning burqa and niqab

    Denmark passes law banning burqa and niqab

    But the law is popularly known as the " burqa ban " and is mostly seen as being directed at the dress worn by some Muslim women. Those violating the ban will be forced to pay 1,000 kroner (£118; $157), with fines ten times higher for repeat offenders.
  • Microsoft's acquisition of open-source icon GitHub is reportedly a done deal

    It also gives Microsoft the opportunity to make all the code run as a trial demo, test system or developer system on Azure. The code repository has been used by some of software development's biggest names including Apple , Google , and Amazon .
    Patty Jenkins' first teaser about 'Wonder Woman 2' may reveal setting, title

    Patty Jenkins' first teaser about 'Wonder Woman 2' may reveal setting, title

    Gal Gadot is attached to return as the titular hero, which is also set to feature Kristen Wiig as Cheetah. Then again this film is about a war, so none of that would probably make it into the final film.
    Trump's warning to Canada: Fair NAFTA deal, or no deal at all

    Trump's warning to Canada: Fair NAFTA deal, or no deal at all

    Treasury Secretary Steven Mnuchin, to "communicate their unanimous concern and disappointment " to his boss. In response, both countries announced reciprocal tariffs on a range of United States imports.
  • Meeting with Kim Jong-un to take place on June 12

    Meeting with Kim Jong-un to take place on June 12

    He was greeted at the White House by chief of staff John Kelly and then whisked into the Oval Office. The letter comes as the two countries work to revive a Trump-Kim summit on June 12 in Singapore.
    Smith missed wide-open teammate LeBron James during his late-game blunder

    Smith missed wide-open teammate LeBron James during his late-game blunder

    Game 2 goes Sunday in Oakland. "We were told they were reviewing if I had my feet outside the line", James said. "That's my view. Durant said he had seen that play reviewed before and was confident he would get the call once officials looked at the replay.
    Serena keeps 'Black Panther' catsuit despite questions

    Serena keeps 'Black Panther' catsuit despite questions

    The 24th seed teetered on the brink of a humbling straight-sets exit before saving a match point with a 2-6 7-5 6-3 Houdini act. Fighting spirit: Maria Sharapova celebrates after victory against Netherland's Richel Hogenkamp .
  • Dollar vulnerable as Italy crisis cools, European Union  inflation picks up

    Dollar vulnerable as Italy crisis cools, European Union inflation picks up

    Technology companies, which get more of their revenue from outside the USA than any other part of the S&P 500, also fell. Google's parent company Alphabet lost 1.5 percent to $1,068.21 and Mastercard fell 2.3 percent to $186.80.

    Amazon US Website Blocked In Australia

    But even with the changes, the number of products available will be a fraction of what's on sale globally. In a statement about the change, Amazon said it regretted "any inconvenience this may cause customers".
    'Ingraham Angle' Highlights Passages From Starbucks' Racial Bias Handbook

    'Ingraham Angle' Highlights Passages From Starbucks' Racial Bias Handbook

    Roughly 8,000 Starbucks stores are closing at about 2 p.m. on Tuesday and reopening with normal hours on Wednesday. Starbucks corporate officials said it will share the racial-bias curriculum with the licensed stores.

We are pleased to provide this opportunity to share information, experiences and observations about what's in the news.
Some of the comments may be reprinted elsewhere in the site or in the newspaper.
Thank you for taking the time to offer your thoughts.