Travis Deti hasn’t read through the full 645 pages of the Environmental Protection Agency’s proposed rule, but he doesn’t like it.
“We feel it’s bad for Wyoming, and it’s certainly not good for our coal industry.”
Deti is the assistant director of the Wyoming Mining Association. The rule anticipates states will cut back on coal-fired power in order to reduce their emissions. That means coal would drop from producing 40 percent of the nation’s electricity today to 30 percent in 2030. Deti says that would deal a huge blow to Wyoming.
“If we’re not mining that coal, that revenue is not coming into our treasury, those jobs are not sustained here at home, so it’s going to impact us.”
Coal mining contributes over a billion dollars a year to Wyoming’s coffers and employs about 7,000 people in the state.
Stephanie Joyce: Is there any upside to this regulation?
Travis Deti: From the coal guy? [laughs] No.
Rob Godby: You know, if there’s going to be one coal man left standing, it’s probably going to be Wyoming.
That’s University of Wyoming economist Rob Godby.
“Some argue that Wyoming coal-fired power plants around the country will actually have to run harder as other plants are shut down… In which case, you could get a short-term boost.”
That’s because Wyoming coal is cheaper and cleaner than most of the coal mined in the United States. Cleaner because it's low in sulphur, which is how Wyoming came to be the country's largest coal-mining state. Pollution regulations implemented in the early 1990s made Wyoming's low energy -- but also low-sulphur -- coal much more attractive. Godby says that history is relevant to the current situation.
“People don’t like change. And that’s a guaranteed outcome. But when they have to change, they will. And oftentimes, you find out the changes aren’t as bad you originally worried they might be. And this might be one of those cases. In fact, I think it’s going to be.”
Not only does Godby think it might not be as bad as some are saying… he actually thinks the rule could be really good for Wyoming's overall energy industry. As utilities cut back on coal, many will switch to cleaner-burning natural gas.
“And that’s good for the state because it creates new demand for our gas."
That could make up some of the lost revenues if Wyoming coal does take a hit... But the potential benefits don’t end with gas. Godby says the state is also well-placed to take advantage of renewable resources, like wind and solar. Then there’s uranium, which could see an uptick if utilities invest in more nuclear power. And Godby says if nothing else, Wyoming is also positioned protect it's coal interests. He says it's the best place in the country to develop carbon capture technology for coal-fired power plants because coal IS so cheap and abundant.
“I’m trying not to sound like a cheerleader right now, but it really is an exciting time, and A LOT of people who work in energy know there are a lot of potential improvements out there that can occur on the grid, in generation, in electricity use.”
For all of Godby’s optimism, the chances that the state will willingly embrace the regulations are next to none. Wyoming’s Congressional delegation has already vowed to fight them. Governor Matt Mead was more cautious in his response, but flatly rejected the idea that coal would become a less important part of the nation’s energy mix.
“We put a man on the moon, we ought to be able to figure out solutions for coal”
Deb Theriault owns a renewable energy company in Casper. She says she appreciates everything coal brings to the state and the governor’s advocacy for it, but she hopes it doesn’t come at the expense of other energy resources.
“It would be nice to see him give credence and credibility and think about how renewables could fit into that mix, instead of JUST SORT OF putting the blinders on and saying ‘we’re going to go with the way we’ve always done it.’”
If the rule goes into effect, doing it the way it’s always been done won’t be an option… But Wyoming will get to choose whether it’s seen as an opportunity or a burden. The rule now goes to a 120 day comment period. It’s expected to be finalized next year.
