Leave a comment

Coal companies routinely win ‘competitive bids’ against no competition

Grist

There are two senses in which coal is artificially cheap.

The more sophisticated reason is the idea that coal has negative impacts on the economy and on public health which are not incorporated into its price. There’s also a practical sense in which coal is too cheap: Coal producers pay far too little for it.

A report in today’s Washington Post provides a clear example of this latter sense, focused on the Powder River Basin overlapping Montana and Wyoming.

The government’s longtime practice of auctioning coal mining rights to a single bidder may have cost taxpayers as much as $28.9 billion over the past 30 years, according to an analysis to be released Monday by the Institute for Energy Economics and Financial Analysis, a Cambridge, Mass.-based think tank. …

The phenomenon — in which a mining company draws up a proposed area for leasing, and the Interior Department’s BLM auctions it…

View original post 552 more words

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: