President Donald Trump announced a 700-million-dollar package to revive the American coal industry, using wartime emergency powers to bypass environmental regulations. The funds will protect 14 existing coal-fired power plants and 42 mines, build two new power plants and a massive export terminal in California.
Trump invoked the Defense Production Act, a Cold War-era law that grants the president broad authority to support industries deemed critical for national security. He said 500 million dollars from federal funds will go toward saving the 14 power plants and opening the new terminal in Oakland, California. Another 200 million dollars will be allocated by the Department of Energy to construct new coal plants in Alaska and West Virginia – the first new coal plants in the United States since 2013.
The president claimed the Oakland terminal alone will create over 1,400 jobs, with the entire package supporting around 14,000 positions. The existing plants covered by the initiative are located in Kentucky, North Carolina, Indiana, Tennessee, Arkansas, Arizona, Oklahoma, North Dakota, Wisconsin and West Virginia.
Coal as a strategic asset for AI and data centers
Trump framed the move as essential for meeting surging electricity demand from data centers and artificial intelligence. – Today we are taking historic action to lower energy prices and the cost of living for all Americans by harnessing the potential of clean, beautiful coal – he said from the White House. – This plan will strengthen the reliability of our electric grid. Coal is a great business. There is nothing better when it comes to energy – he added.
Energy Secretary Chris Wright noted that emergency measures to keep coal plants running helped prevent major blackouts during extreme cold weather that hit much of the country in late January and early February 2026. Interior Secretary Doug Burgum called coal the backbone of the U.S. power network. – It is the foundation of affordable, reliable and secure American energy that powers our country, our grid, our competitiveness in artificial intelligence and the entire manufacturing sector that is coming back – Burgum said.
Defense production act invoked to bypass green hurdles
The decision to use the Defense Production Act allows the administration to fast-track coal projects without lengthy environmental reviews. Trump argued that countries that succeed rely on coal, and that the investment will save American consumers 50 billion dollars in electricity generation costs that would otherwise be passed on as higher bills. The move comes amid rising energy prices triggered by the war with Iran and the closure of the Strait of Hormuz, a key shipping route for one-fifth of the world’s oil and gas supplies.
Winter storms and energy security
The recent cold snap exposed vulnerabilities in the grid and reinforced the administration’s argument that coal remains indispensable for grid stability. The new investments will allow coal plants to upgrade equipment, extending their operational life by decades. – This effort will boost the reliability of our power system – Trump reiterated. The initiative also aims to strengthen the role of coal in steel and cement production, as well as in the broader industrial infrastructure that supports the AI revolution.
Źródło: WNP.PL, Fot. Roman Pilipey / PAP/EPA
