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White House Deepens Coal Revival With 5.3 Million Hectares and $625 Million for Mining

Officials point to surging electricity demand from AI data centers alongside EV adoption.

Overview

  • The administration set aside 5.3 million hectares of federal land and allocated $625 million to expand coal extraction.
  • A tax law signed by President Trump cuts federal coal royalty rates to 7% from 12.5% to bolster producer competitiveness.
  • Energy Secretary Chris Wright used emergency authority to keep a Michigan coal plant running and says most plants will postpone retirements.
  • Agencies have accelerated leasing and permits and extended plant lifetimes, with reports of EPA rule exemptions and internal DOE guidance to avoid the term “climate change.”
  • Coal operators and environmental groups question the plan’s viability, citing decades of market decline, an RMI estimate of $13–26 billion in annual health costs, and investor warnings that any rebound would be short‑lived.