US Coal Markets

IEEFA Research

IEEFA: Carbon capture goals miss the mark at Boundary Dam 3 coal plant

IEEFA: Carbon capture goals miss the mark at Boundary Dam 3 coal plant

Carbon capture at SaskPower’s Boundary Dam 3 facility falls far short of projections

April 20, 2021 (IEEFA) — An announcement by a Canadian power company that it’s met carbon capture goals shouldn’t be taken at face value, according to a briefing note released today by the Institute for Energy Economics and Financial Analysis. SaskPower, the operator of the Boundary Dam 3 coal plant, said March 31 that its […]

IEEFA U.S.: Energy transition to renewables likely to accelerate over next two to three years

IEEFA U.S.: Energy transition to renewables likely to accelerate over next two to three years

Coal, gas set to become biggest losers as renewable generation climbs quickly

March 31, 2021 (IEEFA) — The speed and scope of the energy transition to renewables will pick up pace over the next two to three years, according to the Institute for Energy Economics and Financial Analysis’ U.S. Power Sector Outlook 2021. Solar and battery storage adoption is enjoying almost exponential growth, and wind and solar […]

IEEFA U.S.: Wind surpassed coal as No. 1 fuel source in 2020 for Southwest Power Pool

IEEFA U.S.: Wind surpassed coal as No. 1 fuel source in 2020 for Southwest Power Pool

Wind energy growth due to geography, design factors, and new installations

February 11, 2021 (IEEFA) — Wind surpassed coal as the primary power generation source last year for the Southwest Power Pool (SPP), an independent grid operator that provides electricity for a vast territory stretching from the Texas Panhandle to the Canadian border. An analysis by the Institute for Energy Economics and Financial Analysis (IEEFA) found […]

IEEFA U.S.: Virginia coal plant’s future isn’t bright: preparation for  transition should commence now

IEEFA U.S.: Virginia coal plant’s future isn’t bright: preparation for transition should commence now

Virginia City Hybrid Energy Center (VCHEC), one of the newest in U.S., risks closure due to market forces

December 16, 2020 (IEEFA)—Retiring the Virginia City Hybrid Energy Center (VCHEC) will bring unnecessarily abrupt economic hardship to Wise County if state and local officials do not begin to plan now for a transition, concludes a report published today by the Institute for Energy Economic and Financial Analysis. The 8-year-old coal-fired power plant, owned by […]

IEEFA U.S.: Colorado electric wholesaler is alienating cost-conscious co-ops with its fossil commitments

IEEFA U.S.: Colorado electric wholesaler is alienating cost-conscious co-ops with its fossil commitments

Tri-State currently plans using coal through 2050 and expanding into gas; projected rate increases of 55% by 2050

Nov. 17, 2020 (IEEFA) — One of the biggest power suppliers to rural electric co-ops in the U.S. is putting its business model at risk as members clamor for better access to renewable energy, more affordable rates, and more say in how they buy or produce power, concludes a report released today by the Institute […]

and November 17, 2020 Read More →
IEEFA update: Peabody Energy flirts with bankruptcy—again

IEEFA update: Peabody Energy flirts with bankruptcy—again

Bear market for coal, new financial pressures push world’s largest coal company towards default

Just three-and-a-half years after emerging from its previous bankruptcy, Peabody Energy—the world’s largest private coal miner—admitted to investors on Monday that it could face yet another trip to bankruptcy court in the coming months. Coal bankruptcies in the United States have become increasingly common. Cheap gas and renewable power have steadily replaced coal in the […]

IEEFA: New Mexico’s biggest utility moves forcefully toward solar

IEEFA: New Mexico’s biggest utility moves forcefully toward solar

Four projects totaling 950 megawatts will replace San Juan Generating Station; likelihood of coal plant carbon-capture retrofit further diminished

October 12, 2020 (IEEFA) — An aggressive expansion into utility-scale solar by Public Service Company of New Mexico will replace all of the power PNM will lose when the coal-fired San Juan Generating Station (SJGS) closes in June 2022, concludes a research brief published today by the Institute for Energy Economics and Financial Analysis. PNM’s […]

and October 12, 2020 Read More →
IEEFA U.S.: Investors in gas-fired projects in largest regional power system face substantial risks

IEEFA U.S.: Investors in gas-fired projects in largest regional power system face substantial risks

Eleven PJM projects under development may fail to prove financially viable

October 5, 2020 (IEEFA) — The landscape for developers of natural gas-fired power plants in the nation’s largest regional power system has shifted dramatically over the last decade, according to a joint study by the Applied Economics Clinic and the Institute for Energy Economics and Financial Analysis. The Pennsylvania-New Jersey-Maryland (PJM) system coordinates the flow […]

IEEFA U.S.: Ratepayers face risks with Project Tundra’s retrofit of aging N.D. coal-fired plant

IEEFA U.S.: Ratepayers face risks with Project Tundra’s retrofit of aging N.D. coal-fired plant

Unproven technology funded by federal tax credits unlikely to pay off

September 22, 2020 (IEEFA) — A plan to retrofit an aging coal-fired plant in North Dakota with unproven carbon capture and storage technology is likely to raise rates for customers who get electricity from the Milton R. Young Unit 2 facility, according to a new report from the Institute for Energy Economics and Financial Analysis […]

IEEFA U.S.: Long-term contracts with American Municipal Power (AMP) saddle local communities with high prices

Dozens of communities in five states pay far above market price for electricity from Prairie State coal plant and Ohio River hydro projects

September 21, 2020 (IEEFA) — Long-term contracts with American Municipal Power (AMP) have stuck 83 communities in 41 counties across five states with extraordinarily high electricity prices for half a century, according to a briefing note released today by the Institute for Energy Economics and Financial Analysis. The largest AMP member, Cleveland Public Power (CPP), […]

More News and Commentary

Midwest utility backs coal plant securitization, cites customer demand for clean energy

Energy News Network: In a reversal from previous legislative sessions, Kansas City utility Evergy is backing proposals in two states aimed at buffering customers and investors from the costs associated with accelerated coal plant retirements. Securitization legislation has gone nowhere in both the Kansas and Missouri legislatures for several years. Evergy, which serves about 1.6 […]

February 18, 2021 Read More →
IEEFA U.S.: Wind surpassed coal as No. 1 fuel source in 2020 for Southwest Power Pool
and

IEEFA U.S.: Wind surpassed coal as No. 1 fuel source in 2020 for Southwest Power Pool

Wind energy growth due to geography, design factors, and new installations

February 11, 2021 (IEEFA) — Wind surpassed coal as the primary power generation source last year for the Southwest Power Pool (SPP), an independent grid operator that provides electricity for a vast territory stretching from the Texas Panhandle to the Canadian border. An analysis by the Institute for Energy Economics and Financial Analysis (IEEFA) found […]

U.S. transmission operator MISO says it can cope with 50% renewable generation

S&P Global Market Intelligence ($): The Midcontinent ISO, the electric transmission grid operator for 15 U.S. states spanning from the Upper Midwest to the Gulf Coast along with the Canadian province of Manitoba, has concluded that renewable energy resources can grow their market share beyond 50% in its service territory. But such a sweeping transformation […]

February 11, 2021 Read More →

U.S. energy transition hits Powder River Basin as coal production falls, mines close

S&P Global Market Intelligence ($): A sharp decline in coal demand from the U.S. power sector is wreaking havoc on the Powder River Basin as mine operators in the region scaled back production during 2020 with few indications of improved prospects for volumes. Production in the country’s largest coal-producing basin fell 21.8% year over year […]

February 9, 2021 Read More →

Decker coal mine in Montana closes in wake of Lighthouse Resources’ bankruptcy

Casper Star Tribune: A Powder River Basin coal mine has closed down for the first time in modern history. At the end of January, mining ceased at the Decker coal mine in Montana after the owner of the mine filed for bankruptcy late last year. Home to some of the world’s largest mines, the Powder […]

February 8, 2021 Read More →

U.S. electricity demand may not return to pre-pandemic levels until 2025—EIA

S&P Global Market Intelligence ($):  U.S. energy consumption might take years to match 2019 levels due to the coronavirus pandemic and the aftermath, and renewable power will continue to capture a larger share of total generation, according to an annual report issued by the U.S. Energy Information Administration on Feb. 3. “It will take a […]

February 4, 2021 Read More →

Wisconsin utilities to close 1,100MW Columbia coal plant by end of 2024

Wisconsin Public Radio: Madison-based Alliant Energy announced Tuesday it’s shuttering its roughly 1,100-megawatt coal plant in Columbia County by the end of 2024. The facility is the utility’s last remaining coal plant in Wisconsin. The closure moves Alliant closer toward the company’s goal of eliminating coal from its power mix by 2040 and cutting carbon […]

February 3, 2021 Read More →

Coal capacity to be gone from U.S. power grid by 2033—Morgan Stanley

Bloomberg: Coal is on track to disappear from the U.S. power grid by 2033 as the push for a carbon-free electricity system gains strength, according to Morgan Stanley. The fossil fuel will be supplanted largely by renewables, which will supply 39% of U.S. electricity in 2030 and 55% in 2035, according to a report Monday […]

February 2, 2021 Read More →

Indiana utility brings 502MW of wind capacity online as part of 2028 coal exit plan

Northwest Indiana Times: Two new wind farms are now online and generating electricity for NIPSCO, the company announced Monday. The Indiana-based projects — Rosewater Wind in White County and Jordan Creek Wind in Benton and Warren counties — are generating enough electricity to power 125,000 homes, according to NIPSCO. He [NIPSCO President Mike Hooper] said […]

February 2, 2021 Read More →

NRG to mothball gas plant that powered Petra Nova carbon capture project

Reuters: NRG Energy Inc will shut down indefinitely the power source for what had been the only U.S. project capturing carbon from a coal-fired generator until it was idled last year, a spokesman said on Friday. The company notified the Texas grid operator, ERCOT, on Wednesday that the Petra Nova gas plant would be mothballed […]

February 1, 2021 Read More →