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Trump issues executive orders to boost coal

  • Market: Coal, Coking coal, Electricity
  • 08/04/25

US president Donald Trump signed four executive orders today aimed at increasing the country's coal production and use, including directing agencies to possibly expand access to federal land and use emergency authority to keep coal-fired power plants open.

The orders follow up on a pledge Trump made on 17 March to authorize his administration "to immediately begin producing Energy with BEAUTIFUL, CLEAN COAL." At the time of Trump's social media post, the White House did not elaborate on his plans.

The executive orders signed today are primarily focused on US coal use and production. These include directing the chair of the National Energy Dominance Council to designate coal as a "mineral" covered under a previous executive order signed in March that uses emergency power granted under the Federal Power Act to fast track permit reviews for critical mineral projects.

Today's orders also direct agencies to revoke policies that aim to move the US away from coal production or favor other generation resources over coal. This includes authorizing the Department of Justice to investigate state policies considered to be prejudicial against coal.

The orders also direct agencies to identify coal resources on federal land and prioritize coal leasing on those lands, and orders the Secretary of the Interior to make it clear that a moratorium on federal coal leasing that was initially in effect from 2016-17 and reinstated from 2022-24 is no longer active.

Trump also signed a proclamation allowing some coal plants to comply with a less stringent version of the EPA's mercury and air toxics standards for two years.

Another order signed today directs the Secretary of Energy to "streamline, systemize, and expedite processes for issuing emergency orders under the Federal Power Act during forecasted grid interruptions."

"We're slashing unnecessary regulations that targeted beautiful, clean coal" and "will end the government bias against coal", Trump said today before signing the orders at an event featuring coal miners and lawmakers from coal-producing states. The US is "going to produce energy the likes nobody has seen before."

He said his administration is going to devise a "guarantee" that will ensure the industry and investment in coal projects will be protected from "the ups and downs" of politics, but did not elaborate on what that would be.

Other parts of the orders have the Council of Environmental Quality assisting agencies in making some exclusions for coal under the National Environmental Policy Act, encourage coal-fired generation for artificial intelligence and call for the Secretary of Energy to consider whether coal used for steel production can be defined as a critical mineral.

The orders also aim to promote coal and coal technology exports, including by possibly facilitating international offtake agreements for US coal.

US coal exports rose in 2023 and 2024 but trading activity has faltered lately amid restrained steel production, limited coal-fired generation in some countries and uncertainty over recent tariffs and the US Trade Representatives proposal to charge Chinese-built and operated ships that do business in the US.

The National Mining Association praised Trump's actions.

"It's a stark shift from the prior administration's punitive regulatory agenda, hostile energy policies and unlawful land grabs," NMA chief executive officer Rich Nolan said before Trump signed the order.

But environmental group Sierra Club warned the order will be costly.

"Forcing coal plants to stay on line will cost Americans more, get more people sick with respiratory and heart conditions, and lead to more premature deaths," Sierra Club executive director Ben Jealous said.


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05/05/25

Australia's Labor win may aid low-carbon Fe, Al sectors

Australia's Labor win may aid low-carbon Fe, Al sectors

Sydney, 5 May (Argus) — The Australian Labor party's victory in the country's 3 May parliamentary election could support low-carbon iron and aluminium developers, providing policy clarity and public capital to the sectors. Labor's victory provides more certainty around Australia's A$14bn ($9.06bn) green hydrogen subsidy scheme, which will help steel producers transition towards hydrogen-powered steel furnaces. The opposition Coalition during the election pledged to scrap the programme, which will allow producers to claim A$2/t of green hydrogen produced from 2027. Australian steelmaker NeoSmelt and South Korean steelmaker Posco are developing electric iron smelters in Western Australia (WA) that produce hot-briquetted iron, which is used in the green steel process. Both projects will initially rely on natural gas but may transition to hydrogen-based processing as hydrogen production rises. Australia's hydrogen tax credits may prove crucial given ongoing hydrogen production challenges. South Australia's state government closed its Office of Hydrogen Power SA on 2 May, following a funding cut earlier this year. Labor can now also move forward with plans for A$2bn in low-emissions aluminium production credits, beginning in 2028-29. Smelters will be able to claim credits per tonne of low-carbon aluminium produced, based on their Scope 2 emission reductions. The party's proposal does not include any blanket credit for producers. Labor's aluminium production credits are aimed at supporting the Australian government's goal of doubling the country's share of renewable power from about 40pc to 82pc by 2030. Australian producers export about 1.5mn t/yr of aluminium, according to industry body Australian Aluminium Council, from four smelters located around the country. Green iron funding Labor's election win also secures its A$1bn lower-emission iron support pledge , first announced in late February. Half of the fund will go towards restarting and transitioning the 1.2mn t/yr Whyalla steelworks in South Australia into a green steel plant. The other half will support new and existing green iron and steel projects to overcome initial funding barriers. Labor has not allocated any funding through the programme yet. By Avinash Govind Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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Australia's Coalition eyes power, resource funding cuts


02/05/25
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02/05/25

Australia's Coalition eyes power, resource funding cuts

Sydney, 2 May (Argus) — Australia's federal Coalition opposition has announced it will cut key energy rebates and resource sector subsidies, if elected on 3 May, to reduce forecast future budget deficits. The Peter Dutton-led opposition will cut programs, including the Labor government's A$20bn ($12.8bn) Rewiring the Nation transmission plan, and the A$15bn National Reconstruction Fund aimed at underwriting green manufacturing using domestic minerals. It will also unwind electric vehicle tax concessions to save A$3.2bn, and cancel planned production tax credits for critical minerals processing and green hydrogen estimated to cost A$14.7bn. Combined savings measures will improve the budget's position by A$13.9bn over the four years to 2028-29, the Coalition said on 1 May, cutting debt by A$40bn during the same timeframe. The announcement comes as opinion polls show Australia's next federal government is likely to force one of the two major parties into minority, after a campaign where cost-of-living relief promises have trumped economic reform policy. The centre-left Labor party is more likely than the conservative Coalition to form government at the 3 May poll. It holds a thin majority of just three seats in parliament's main chamber, the House of Representatives, meaning a swing against it would force it to deal with minor parties such as the Greens and independent groupings. Promising a stable government, as Australia emerged from Covid-19, Labor had benefited from a resources boom as Russia's invasion of Ukraine led LNG and coal receipts to skyrocket and China's emergence from lockdowns revitalised its demand for iron ore, which jointly form the nation's main commodity exports. But as markets adjust to a period of protectionist trade policy and predictions of a slowdown in global growth abound, economists have criticised the major parties' reluctance to embrace major reform on areas such as taxation, while continuing to spend at elevated levels post-pandemic. Australia's resource and energy commodity exports are forecast to fall to A$387bn in the fiscal year to 30 June 2025 from A$415bn in 2023–24. The Office of the Chief Economist is predicting further falls over the next five years, reaching A$343bn in 2029-30, lowering expected government revenue from company tax and royalties. Gas The Coalition has pledged a domestic reservation scheme for the east coast, forcing 50-100PJ (1.34bn-2.68bn m³/yr) into the grid by penalising spot LNG cargoes. Australia's upstream lobby has opposed this, but rapidly declining reserves offshore Victoria state mean gas may need to be imported to the nation's south, depending on the success of electrification efforts and an uncertain timeline for coal-fired power retirements. Labor has resisted such further gas interventions , but it is unclear how it will reverse a trend of rising gas prices and diminishing domestic supply, despite releasing a future gas plan last year. The party is promising 82pc renewables nationally by 2030, meaning it will have to nearly double the 2025 year-to-date figure of 42pc. This could require 15GW of gas-fired capacity by 2050 to firm the grid. On environmental policy, narrowing polls mean Labor's likely partners in government could be the anti-fossil fuel Greens and climate-focused independents — just some of the present crossbench of 16 out of a parliament of 151. The crossbench may drive a climate trigger requirement in any changes to environmental assessments, which could rule out new or brownfield coal and gas projects. Coal has been conspicuously absent from policy debates, but Labor has criticised the Coalition's nuclear energy policy as expensive and unproven, while the Coalition has said Labor's renewables-led grid would be unstable and costly because of new transmission requirements. The impact of the US tariff shock that dominated opening days of the month-long election campaign remains unclear. Unlike Canada, Australia is yet to be directly targeted by US president Trump's rhetoric on trade balances and barriers. But the global unease that has set in could assist Labor's prime minister Anthony Albanese, as he presents an image of continuity in an uncertain world economy. Australia's main exposure to Trump tariffs is via China, its largest trading partner and destination for about 35pc of exports, including metal concentrates, ores, coal and LNG. A downturn in the world's largest manufacturer would spell difficult times ahead for Australia, as it grapples with balancing its budget in a normalising commodity market. By Tom Major Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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India extends directive to lift coal-fired generation


02/05/25
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02/05/25

India extends directive to lift coal-fired generation

Singapore, 2 May (Argus) — India's power ministry has extended its directive requiring imported coal-fired utilities to boost generation by two months until 30 June, a move that could support demand for seaborne coal over the peak summer period. The directive covers imported coal-fired plants with a combined capacity of 17.5GW and was previously set to expire on 30 April. The decision could support India's coal imports, which have remained lacklustre so far in 2025. India imported 38.29mn t of thermal coal in January-March, down from 41.87mn t a year earlier, according to data from shipbroker Interocean. Imports may have remained under pressure in April, with India's seaborne thermal coal receipts estimated at 15.77mn t for the month, down from 15.84mn t a year earlier, according to trade analytics platform Kpler. India's coal-fired generation remained above the historical average in April in line with the uptick in power demand, although actual coal burn was down on the month and year. India's coal-fired generation — which meets most of its power requirements — stood at 113.48 TWh in April, down from 116.58 TWh a year earlier and 117.95 TWh a month earlier, according to data from the Central Electricity Authority (CEA). The extension of the order appears to be a pre-emptive measure by the authorities to ensure imported coal-fired utilities are well stocked to meet any uptick in power demand. The country is currently sitting on a surplus of domestic coal, with elevated inventory at its utilities. Delhi has been proactively directing utilities to boost output since mid-2022 to cater for seasonal surges in power demand. Combined coal inventories at Indian power plants stood at 56.69mn t as of 30 April, up from 47.92mn t a year earlier, but down from 58.11mn t as of 31 March, CEA data show. Inventories at state-controlled Coal India (CIL) also remained high, according to market participants. By Saurabh Chaturvedi Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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US factory activity contracts for 2nd month in April


01/05/25
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01/05/25

US factory activity contracts for 2nd month in April

Houston, 1 May (Argus) — US manufacturing activity contracted in April for a second month, as output and new orders slowed on tariff policy uncertainty, while price gains accelerated. The Institute for Supply Management's manufacturing purchasing managers' index (PMI) fell to 48.7 in April, down from 49 in March and the lowest since last November. The threshold between contraction and expansion is 50. The two-month contraction in manufacturing activity follows a two-month expansion preceded by 26 consecutive months of contraction. ISM's services PMI, a separate report that tracks the biggest part of the economy, showed nine months of expansion through March. "Demand and production retreated and de-staffing continued, as panelists' companies responded to an unknown economic environment," ISM said Thursday. "Prices growth accelerated slightly due to tariffs, causing new-order placement backlogs, supplier delivery slowdowns and manufacturing inventory growth." The manufacturing data follows a report Wednesday that showed the US economy contracted at an annualized 0.3pc pace in the first quarter as businesses boosted imports and stocked up on goods ahead of US import tariffs. The ISM's new-orders index came in at 47.2, higher than 45.2 in March but showing contraction for a third month. The production index fell to 44, showing a deepening contraction from 48.3 in the prior month. Employment rose by 1.8 points to 46.5, showing a slowing contraction. New export orders contracted faster at 43.1 in April, while imports entered contraction at 47.1 after barely growing, at 50.1, the prior month. The prices index rose to 69.8, up from 69.4 the prior month and signaling quickening expansion. The inventories index fell by 2.6 points to 50.8, marking a second month of expansion after six months of contraction. By Bob Willis Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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Indonesia's coal power phase-out hinges on funding


01/05/25
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01/05/25

Indonesia's coal power phase-out hinges on funding

Manila, 1 May (Argus) — Indonesia's accelerated coal-fired power phase-out plan hinges on private-sector and international partners financial support, the country's energy ministry said, after issuing further guidance last month. Indonesian energy ministry ESDM published a ministerial regulation in early April outlining the criteria and processes for the early retirement of coal-fired power plants. But the plan will not be carried out if there is no clarity over funding for its energy transition efforts, in which case Jakarta will continue to prioritise domestic energy production, including through fossil-based sources, ESDM said this week. The Indonesian government will not use its state budget or funds from state-owned utility PLN to fund the early retirement of coal-fired plants, ESDM said. The new regulation details the evaluation processes for retiring coal-fired plants early, and emphasises the need for financial support from private-sector or international partners to achieve an accelerated phase out. Policy makers will evaluate the impact of a plant's retirement on the country's electricity grid, power supply and electricity tariffs, among other factors, when considering its phase out, ESDM said. It will also take into account aspects of the Just Energy Transition Partnership (JETP) climate financing pact signed with rich nations in 2022, such as the livelihood of employees affected by the phase-out, as well as a plant's capacity, age, utilisation, greenhouse gas emissions and economic value. The availability of foreign and domestic technological support will also be considered; according to ESDM. US president Donald Trump's decision to withdraw the US from the JETP raised concerns earlier this year on whether Indonesia could stick to its energy transition policies, but the country recently secured $60mn in JETP funding to develop a solar project . State-owned utility PLN will be tasked with studying the technical, legal, commercial and financial aspects of decommissioning plants that are put forward for early retirement, including funding sources. It will have to submit a report to the ministry no later than six months from the date a plant is identified for decommissioning, ESDM said. The share of renewables in Indonesia's power mix is expected to rise to around 21pc by 2030 and 41pc by 2040, according to think-tank Ember. By Antonio delos Reyes Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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