Trump orders Pentagon to buy power from coal plants

President Donald Trump has instructed the Pentagon to secure multi-year electricity contracts with coal plants for use at military installations. According to the executive order, “Given our Nation’s vast coal resources and the proven reliability of our coal-fired generation fleet in providing continuous, on-demand baseload power, it is imperative that the Department of War (DOW) prioritize the preservation and strategic utilization of coal-based energy assets… The Secretary of War, in coordination with the Secretary of Energy, shall seek to procure power from the United States coal generation fleet by approving long-term Power Purchase Agreements, or entering into any similar contractual agreements, with coal-fired energy production facilities to serve DOW installations or other mission-critical facilities, with priority given to projects that enhance: grid reliability and blackout prevention; on-site fuel security; and mission assurance for defense and intelligence capabilities.” Publicly traded companies in the space include Alliance Resource Partners (ARLP), Arch Resources (ARCH), Consol Energy (CEIX) and Peabody (BTU).