Non-Coal Jobs Thriving in Energy Sector

Coal MinersBy Peter Galuszka

Is there a real “War on Coal” or is it part of a natural transition to more non-polluting and less destructive forms of energy? One way to find out is to track job creation.

A new study at Duke University shows that since 2008, more than 49,000 jobs in the coal industry have been lost. But, about 196,000 jobs – or four times as many – have been created in other energy sectors such as natural gas, solar and wind.

The study suggests that all the gnashing of teeth that President Obama and the U.S. Environmental Protection Agency are out to ruin the energy sector by killing off coal may be off base.

This has been the cry of Virginia’s utilities, and its few coal firms, along with some members of the business establishment that the EPA’s proposed Clean Power Plan to encourage cuts in carbon dioxide by 2030 are unworkable and too threatening to employment in the coal industry since some coal-fired power plants are likely to be shut down. (Of course, some of them have been in operation for 60 years, but never mind).

Overlooked is that as coal jobs die, more energy jobs have been created in natural gas thanks to hydraulic fracking and in renewables like solar and wind which are getting increasingly cheaper.

“Our study shows it has not been a one-for-one replacement,” says Lincoln Pratson, a Duke professor of earth and ocean sciences who is one of the report’s authors.

Hardest hit are the coalfields of southern West Virginia and eastern Kentucky. Small wonder. The coal is of excellent quality but easy-to-reach seams have been mined out and abundant shale gas has undercut its price power. Coal has also taken hits in Utah, the Powder River Basin of Wyoming and Montana, and Colorado. The biggest job increases are in the Northeast, Southwest, Midwest and West.

Where does Virginia fit in with renewables? Hardly anywhere just yet. Its neighboring states are much farther along. One reason is they have mandatory renewable portfolio standards to force shifts to wind and solar. Even coal-heavy West Virginia had mandatory standards although the legislature just dumped them.

Virginia is just gearing up with solar. As for wind, Dominion has plans for two turbines off Virginia Beach.

Remarkably, this vision of non-coal energy jobs growing four times the amount of coal jobs cut is left out of the debate as Dominion gets the General Assembly to freeze electricity rates and forego State Corporation Commission audits for several years on the theory that it doesn’t know what the EPA will do about carbon dioxide reduction.

And, to show you how bizarre the coal people are, and appeals court in the District of Columbia is ready to shoot down a coal-led attack on the EPA’s carbon rules. Among the plaintiffs is Robert Murray, the iconoclastic CEO of Murray Energy which has been picking up West Virginia coal properties from long-time operator Consol, which obviously is happy to unload them

During the 2012 presidential race, Murray ordered his workers to attend a rally for Mitt Romney under threat of firing. He insists that Obama is trying to put him out of business.

One problem the appeals judges have with his lawsuit is that the rules are only proposed rules. They are not official. EPA is asking for comment by this summer show it can make adjustments. So why is Murray suing?

It would be as if I were to sue Jim Bacon for an idea he might be envisioning. I know it’s a tempting idea, but it would be silly.

The Duke report was published in the peer-reviewed journal, Energy Policy.