Book contents
- The Coal Trap
- The Coal Trap
- Copyright page
- Dedication
- Contents
- Figures and Tables
- Introduction: “The Lost Decade”
- 1 The Rise of Environmental Regulations under Obama’s Environmental Protection Agency
- 2 The Shale Gas Revolution
- 3 The Rise of Renewable Energy
- 4 The “Ds” of Today’s Electric Utility Industry: Decarbonization and Decentralization
- 5 From “Friends of Coal” to the “War on Coal”: How West Virginia Went from Blue to Red
- 6 “Leadership” from Washington, DC: The Congressional Delegation That Could Have but Didn’t
- 7 Manchin in the Middle
- 8 The Failure of the Public Service Commission to Serve the Public
- 9 The Role of the Legislature in West Virginia’s Failed Energy Policies
- 10 Bailing Out the Coal Industry on the Backs of West Virginia’s Electric Ratepayers
- 11 Coal Operators Get Rich and West Virginia Gets to Clean Up the Mess
- 12 What the Future Could Hold if Leaders Choose to Lead
- Acknowledgments
- Index
11 - Coal Operators Get Rich and West Virginia Gets to Clean Up the Mess
Published online by Cambridge University Press: 07 July 2022
- The Coal Trap
- The Coal Trap
- Copyright page
- Dedication
- Contents
- Figures and Tables
- Introduction: “The Lost Decade”
- 1 The Rise of Environmental Regulations under Obama’s Environmental Protection Agency
- 2 The Shale Gas Revolution
- 3 The Rise of Renewable Energy
- 4 The “Ds” of Today’s Electric Utility Industry: Decarbonization and Decentralization
- 5 From “Friends of Coal” to the “War on Coal”: How West Virginia Went from Blue to Red
- 6 “Leadership” from Washington, DC: The Congressional Delegation That Could Have but Didn’t
- 7 Manchin in the Middle
- 8 The Failure of the Public Service Commission to Serve the Public
- 9 The Role of the Legislature in West Virginia’s Failed Energy Policies
- 10 Bailing Out the Coal Industry on the Backs of West Virginia’s Electric Ratepayers
- 11 Coal Operators Get Rich and West Virginia Gets to Clean Up the Mess
- 12 What the Future Could Hold if Leaders Choose to Lead
- Acknowledgments
- Index
Summary
When coal prices rose in 2009–10 due to increased demand for coal exports – primarily as a result of the industrialization of developing nations (China and India in particular) – the response in the coal industry was a series of consolidations and acquisitions by coal companies at staggering prices. These transactions were highly leveraged (i.e., largely funded through heavy use of debt), which put the coal companies in a precarious position financially once coal prices resumed their inevitable decline as US electric utilities reduced their use of coal, and exports decreased as the world began to consider the climate change impacts of continuing to burn coal. As a result, several large coal companies went bankrupt and, since 2012, more than sixty mine operators have filed for bankruptcy.
- Type
- Chapter
- Information
- The Coal TrapHow West Virginia Was Left Behind in the Clean Energy Revolution, pp. 246 - 266Publisher: Cambridge University PressPrint publication year: 2022