WV Coal Member Meeting 2024 1240x200 1 1

PJM Study Shows Electric Generation Retirements Portend Energy Crisis by 2030

Charleston, W.Va.new study released last week by PJM Interconnection, the grid operator covering West Virginia and multiple other states in our region, forecasts that the amount of planned electric generation retirements by 2030 exceed the amount of potential new generation able to be brought online. 

According to the study, entitled Energy Transition in PJM: Resource Retirements, Replacements & Risks, “the projections…indicate that it is possible that the current pace of new entry [new generation] would be insufficient to keep up with expected retirements and demand growth by 2030”.

Chris Hamilton, President of the West Virginia Coal Association, said, "The nation's electric system weakens by the day as more baseload (coal) generators continue to close around the country and the grid becomes saturated with intermittent energy and enormous volumes of natural gas incapable of providing reliable, around-the-clock-power. With power grids suddenly unable to deal with periods of high energy demand, like the bomb cyclone during Christmas week 2022 (Winter Storm Elliott), PJM's analysis shows the chickens are coming home to roost, and we now must do all we can to preserve and grow coal-fired electric generation.” 

The West Virginia Coal Association has offered a recommended platform of issues and action items for Congress to consider addressing the cost and reliability of American energy. Leading the list of recommendations is the creation of a “Baseload Reliability Tax Credit”. Federal legislation should be advanced to incentivize and extend the same level of tax credits to coal-fired electric generation that wind and solar currently receive.  

“We must preserve the precious base load power that only comes from West Virginia’s nine coal-fired power plants and incentivize these critical power generating assets to improve their efficiency, longevity and lower carbon output,” said Hamilton. 

Other action offered by the organization include stopping USEPA's regulatory assault on fossil energy; enhancing rail service oversight; reining in the U.S. Fish & Wildlife Service; implementing a federal coal leasing program; and expanding coal exports.

Hamilton additionally complimented the work of Governor Justice and State Legislative Leaders to keep West Virginias coal industry healthy and coal-based power generators (like the Pleasants Power Plant) operating.

For additional information, contact Chris Hamilton at (304) 342-4153.