Despite the fact that coal vs renewable energy has become a flashpoint inTrump’s culture wars, the dye is cast. The future belongs to renewable sources of energy. Politics may slow down the advancement of renewable power but technology and economic realities will continue to drive cleaner, more efficient renewables into the market displacing old, expensive coal.
Guest Post From Tammy Jenkins
Not Enough Bidders For BLM Coal Sale
BLM held a lease sale for 1,262 acres in Big Horn County, Montana that attracted one bid from the Navajo Transitional Energy Company, which operates the nearby Spring Creek Mine.
The numbers shaking out from a Montana coal lease sale on Oct. 6. According to AP reporting, the top bid was $186,000 for 167 million tons of coal, penciling out to one-tenth of a dollar per ton. For comparison, the region’s last successful federal sale went for $1.10 per ton of coal.
Had the recent Montana lease gone for a similar rate, it would’ve been about $183 million.
Kendall said that matters, because half of that money is returned to states and local governments for things like public infrastructure and schools.
“I think the big question and the moment of truth will be whether the Bureau of Land Management (BLM) actually accepts the bid,” Kendall said.
BLM Can Only Accept “Fair Market” Bids
The BLM is supposed to only accept “fair market value” bids under those 1976 federal rules protecting taxpayers and public lands. The BLM doesn’t disclose what it deems fair market value, so if it accepts a bid at a significantly lower rate, Kendall said that’s telling.
“I think the concern is that the offices and the systems that were put in place in order to ensure that the public is getting a fair return for taxpayers is under threat,” she said.
The bid of $186,000 for a lease with an estimated 167.5 million tons of recoverable coal equates to less than a penny per ton.
Public land leases for mining and logging have been opened up by the current administration. Most folks in Montana want to keep public lands in public hands.
For more information:
Federal coal lease sales muster low bid in Montana and delay in Wyoming | Wyoming Public Media