A noteworthy snippet from the more than two hour state of the union address came when he touched on his plans for the coal industry. While Obama have not shied away from confronting the realities that the coal industry has to face, there was a slight change in tone and content from previous plans to modernise the coal industry.
“Rather than subsidise the past, we should invest in the future” President Obama continued “That’s why I’m going to push to change the way we manage our oil and coal resources, so that they better reflect the costs they impose on taxpayers and our planet.”
The speech laid the foundation for the recent introduction of the moratorium on new coal leases as a review on coal management is undertaken. More than 30 upcoming coal projects might be scrapped in the face of these new laws.
The House GOP, (Grand Old Party) has been swift in trying to counteract the President’s regulations, passing a bill that overturned rules designed to protect rivers and streams. Referring to the initiatives proposed by Mr Obama, Republican Alex Mooney decried the fact that the changes “will destroy up to 77,000 coal mining jobs nationwide”. The president has already stated his intention to veto the bill.
The National Mining Association (NMA) has already voiced their displeasure earlier during the hearings on the federal coal lease program, with their President and CEO Hal Quinn calling raising the costs of coal that is leased on federal land an “especially foolish idea”
America isn’t the only country cutting back on their coal usage. China, by far the number one user of coal, saw its coal consumption drop five percent in 2015, with its coal imports plunging 35 percent.