The US is the world’s reigning coal super-power, with more reserves than any other nation. Indeed, it has a quarter of all the coal on the planet. Providing 40% of all American power, there is enough of the home-based commodity to last for the next 290 years. According to Americaspower.org, the coal industry has invested nearly $120 billion so far to reduce emissions by 90 percent and plans to spend an additional $27 billion between now and 2016.
So why has the Department of Energy removed funding for FutureGen 2.0, a carbon capture and storage project? Americaspower contrasts this move with China, which is investing heavily in the technology power “and stand(s) to enjoy the estimated $1 trillion in economic benefits from CCS.”
Strangely, the announcement came just one day after President Obama requested significant funding for carbon capture and storage projects in his FY 2016 budget. Laura Sheehan, senior vice president for communications at the American Coalition for Clean Coal Electricity group noted that “The Obama Administration is engaging in misleading double-talk on clean coal technology. Although the administration leaned heavily on FutureGen technologies to justify its flawed New Source Performance Standards rule, President Obama has now cut the project off altogether…President Obama and his federal agencies are clearly opposed to advancing carbon capture and storage technology, despite repeated assurances. What makes this action even more disgraceful is then-Senator Obama’s full-throated support for FutureGen in 2006.”
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Exports of U.S. coal, which have doubled over the past decade according to the Wall Street Journal, also play a key role in managing the dismaying U.S. balance of trade.
White House actions regarding carbon emissions reduction, a key issue in the use of coal, are expected to increase the cost of coal-based electricity by 80%.