SIPs wreak havoc in high-sulfur market, Peabody says
Some 42.7 million tons of high-sulfur steam coal is being displaced between 1977 and 1980 due to state implementation plans, concludes a report prepared by Peabody Coal Co. The beneficiaries of the shift are expected to be 11 low-sulfur coal-producing states, which are anticipated to gain 44.4 million tons during the three years. The principal beneficiaries are eastern Kentucky (22.56 million tons), Montana/Wyoming (13.17 million), West Virginia (4 million) and Alabama (1.08 million). The big losers suffering from displacement of high-sulfur coal are Ohio (11.48 million tons), western Kentucky (7.77 million), Illinois (7.66 million), West Virginia (6.12 million), Pennsylvania (3 million), Virginia (2.53 million) and Indiana (2.39 million). Northern Appalachia is expected to lose 20.9 million tons, while the Midwest is forecast to lose about 18.4 million tons. The SIP-related losses will cost some 12,000 direct mining jobs, plus an additional 18,000 to 24,000 indirect jobs, Peabody says. To soften the blow, Peabody recommends loosening the SIP standards or, alternatively, providing financial incentives to utilities to retrofit their plants with pollution control equipment. Another possibility would be to offer financial incentives to oil- and gas-fired utilities to convert to coal or to replace older oil-fired units with new coal-fired facilities.
- OSTI ID:
- 5749729
- Journal Information:
- Coal Outlook; (United States), Journal Name: Coal Outlook; (United States)
- Country of Publication:
- United States
- Language:
- English
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