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Wyoming and Montana sue over BLM’s end to new coal leases in the Powder River Basin

A coal train near coal infrastructure.
Alan Nash
A coal train in the Powder River Basin.

This story is part of our Quick Hits series. This series will bring you breaking news and short updates from throughout the state.

Coal production in the Powder River Basin is at the heart of Wyoming’s newest lawsuit against the federal government.

The Cowboy State joined Montana on Dec. 11 in filing a lawsuit against the Bureau of Land Management (BLM).

This comes after the BLM recently adopted a new rule that ends any new coal leasing in the Powder River Basin. Current mining will still continue.

The region extends from northeast Wyoming through southeast Montana, and supplies the bulk of the nation’s coal. The BLM lists climate change as the main reason for ending new development.

According to the recent lawsuit, the federal agency broke laws, primarily by not responding to the states’ concerns. Wyoming Gov. Mark Gordon said a big worry is that this decision will push electricity companies away from using coal.

“Instead of working with the states to address their concerns, BLM pushed through their narrow-minded agenda to stop using coal, ignoring the multiple-use mandate and the economic impacts of this decision, including skyrocketing electricity bills for consumers. They did not do their job properly,” Gordon said in a press release.

But even before this decision, no coal companies have bought a new coal mining lease in Wyoming since 2012.

Electricity companies have also been drifting away from coal long before the BLM’s decision. This includes Rocky Mountain Power, the main utility in Wyoming. Its parent company, PacifiCorp, has indicated a shift to renewables and nuclear.

In the U.S., coal consumption has dropped by about half since 2010. Economic experts say it’s because of market conditions that have existed under Presidents Biden, Trump and Obama. As technologies develop and climate change becomes more of a concern to the consumer, other forms of energy are cheaper and lower risk.

If the BLM’s decision for the Powder River Basin is held up, current coal production will still continue, likely through 2040.

Caitlin Tan is the Energy and Natural Resources reporter based in Sublette County, Wyoming. Since graduating from the University of Wyoming in 2017, she’s reported on salmon in Alaska, folkways in Appalachia and helped produce 'All Things Considered' in Washington D.C. She formerly co-hosted the podcast ‘Inside Appalachia.' You can typically find her outside in the mountains with her two dogs.

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