Rep. Scott Heiner (R-Green River) got straight to the point at a recent interim Joint Minerals, Business and Economic Development Committee meeting.
“We were trying to extend the life of coal and we may be shortening it,” Heiner said.
Some of the committee lawmakers, like Heiner, think former legislative efforts to save Wyoming’s coal industry have done the opposite.
“Reminds me of the expression, ‘Look what we’ve done to ourselves,’” said Rep. Chris Knapp (R-Gillette).
The committee is considering whether to roll back some of the laws, despite other similar efforts failing during the legislative session this year.
They’re specifically honing in on House Bill 200, a controversial 2020 law that mandates electricity companies study the feasibility of capturing carbon dioxide emissions from their Wyoming coal fired power plants, rather than just shutting them down. At the time, lawmakers thought carbon capture retrofits could help coal plants comply with looming deadlines for other states' and federal environmental standards, which otherwise would force the plants to likely shut down.
Over the five years since the law was enacted, PacifiCorp (Rocky Mountain Power) and Black Hills Energy (Cheyenne Light, Fuel and Power) have estimated that carbon capture retrofits, a technology untested on a commercial scale, could cost up to a billion dollars to install on one coal unit. PacifiCorp has identified units at Wyodak, Dave Johnston and Jim Bridger to study the feasibility of carbon capture retrofits, but whether it’ll move beyond a study is unknown. PacifiCorp said in a recent report that the technology “continues to be evaluated for its technical and economic feasibility.”
“I don’t think that’s reality,” said Knapp at the recent meeting.
Knapp thinks it’s unfair that these costs could come down on Wyoming ratepayers. So far, just to comply with HB 200 and follow through with the mandated studies, Wyoming ratepayers shelled out about $3 million in 2024.
“I have a concern that we’re continuing to implement something that does nothing but increases the rates of our ratepayers, number one, and drives up the price of coal fired power, which then does lead to alternatives such as nuclear or wind and solar,” said Knapp.
Knapp and several others on the committee made it clear they want to see the coal industry thrive, but they don’t think HB 200 is needed. They think without the carbon capture costs, coal power will be the least cost, least risk on the energy market – especially under Pres. Trump, who’s rolled back environmental regulations on the industry.
But that sentiment differs from projections for the industry. Demand for coal power has declined since 2011 and that’s expected to continue under Trump. Experts say demand is down because of other economic factors and clean energy goals outside of the president’s control. That’s something other lawmakers on the committee pointed out.
“You still have other states implementing their policies that are negatively impacting Wyoming,” said Rep. J.T. Larson (R-Rock Springs). “So we can’t just look at this from a market standpoint as a state and say, ‘Coal is great, let's march on forward.’”
Larson said he’s hesitant to nix HB 200 without an alternative to help coal out.
“I see everyone throwing stones at House Bill 200, but it really was an effort to try to save coal,” he said. “We have to push back with policy, so what policy do we implement?”
Larson posed the question to the Wyoming Public Service Commission (WPSC), which was testifying to the committee. The commission regulates public utilities in the state and has helped implement HB 200.
“I think you’re right,” said Mike Robinson, WPSC chairman. “You know there are no easy answers right now.”
No directive was made to draft any legal language reversing HB 200. The interim committee is scheduled to meet again July 29 and 30 in Casper.
