WASHINGTON, D.C. June 5, 2026 — President Donald Trump on Thursday unveiled a major federal initiative to revive the struggling coal sector, directing nearly $700 million in investments to preserve existing power plants, construct new facilities, restart a shuttered plant, and develop a coal export terminal.
Speaking from the Oval Office, Trump described the move as a step to lower energy prices and the cost of living for American families by harnessing what he called “clean, beautiful coal” for reliable baseload power. The announcement invokes the Defense Production Act (DPA), a 1950 law granting the president broad authority over industries deemed vital to national security.
Key elements of the plan include:
- $425 million to upgrade and extend the life of 13 existing coal-fired power plants across states including West Virginia, Kentucky, North Carolina, Indiana, Tennessee, Arizona, Arkansas, Oklahoma, North Dakota, and Wisconsin. These upgrades aim to preserve 14 gigawatts of capacity — enough to power more than 14 million homes.
- Funding for two new coal plants: a 1.25 GW facility in Anchorage, Alaska, and a 1.6 GW plant at the West Virginia Energy Campus — the first new U.S. coal plants since 2013.
- Restart of the 205 MW AES Warrior Run Generating Plant in Cumberland, Maryland, which was shuttered in 2024.
- $75 million to support the West Gateway (Oakland Bulk and Oversized) coal export terminal in Oakland, California, to facilitate shipments to Asia.
The White House projects the initiative will protect 14 coal plants and 42 mines, generate or support more than 14,000 jobs in coal, construction, rail, and maritime sectors, and deliver approximately $50 billion in electricity cost savings for American families.
“ As a result of the $700 million investment that I’m announcing today, we will protect 14 coal plants and 42 coal mines… and build two new coal plants and one massive new export terminal,” Trump said.
The administration frames the investment as essential for energy security and grid reliability, particularly amid growing electricity demand from AI data centers and other sectors. Officials note it builds on prior DPA actions supporting coal supply chains.
Coal’s share of U.S. electricity generation has declined significantly in recent years to around 15%, as natural gas, renewables, and other sources have gained ground. Critics argue that extending the life of coal plants could increase long-term costs to ratepayers due to higher operational expenses and potential health and environmental impacts from pollution.
Supporters, including coal industry leaders present at the announcement, hailed the plan as a victory for American energy independence and jobs in coal-dependent regions.
The full rollout of funding will involve the Department of Energy, with additional previously announced resources contributing to the total package.
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