Federal officials on Monday initiated a move to potentially reopen vast swaths of public lands in two Western states for new coal sales, aligning with President Donald Trump’s efforts to bolster U.S. fossil fuel production. The Interior Department’s proposal is a shift from the previous administration’s stance on curbing coal sales due to climate concerns, with plans now under consideration to lease over 2,600 square miles of federal lands in the Powder River Basin region, an area larger than Delaware. This policy change stems from an executive order signed by Trump on his first day in office and is part of a broader push to increase oil, gas, and coal extraction from public lands, even as support for renewable energy projects wanes among Republicans.
A recent tax bill signed by Trump decreased royalty payments for coal mining on public lands from 12.5% to 7%, aiming to make 6,250 square miles available for leasing. Industry advocates, such as Ashley Burke from the National Mining Association, emphasize the importance of federal coal leasing in the nation’s energy strategy, especially during periods of high energy demand. The Interior Department’s Bureau of Land Management has indicated that the announcement regarding Powder River Basin leasing is preliminary and subject to change following public feedback.
Opponents of the move, like environmental law firm Earthjustice’s Jenny Harbine, argue that expanding coal mining on public lands will have detrimental environmental consequences and benefit coal industry executives. Scientists warn that coal-fired power plants are a significant contributor to human-induced climate change, leading to more severe weather events, increased wildfires, and water supply issues. While some coal mines in the Powder River Basin have closed in recent years due to utilities transitioning to cleaner energy sources like natural gas, indications of a rebound in the industry include rising coal exports and increased electricity generation from coal in the U.S. in early 2025 compared to the previous year.