Obama Energy Policies Are Working: Patriot Coal Goes Bankrupt

Obama Energy Policies Are Working: Patriot Coal Goes Bankrupt.

In 2008, Barack Obama explained his energy policy: “Under my plan of a cap-and-trade system, electricity rates would necessarily skyrocket. Even regardless of what I say about whether coal is good or bad.” He went on to explain, “So, if somebody wants to build a coal plant, they can—it’s just that it will bankrupt them.”

Patriot Coal Company filed for bankruptcy on July 9, 2012 as coal prices have plummeted from reduced demand resulting from low natural gas prices and new regulations from the Environmental Protection Agency (EPA). There are several problems with President Obama’s desire to eliminate coal from our energy system. First, there will be no carbon dioxide savings because the developing world needs to burn coal to grow their economies. And, second, U.S. electricity prices will rise as natural gas price increases along with its demand and as utility companies pass along the cost of meeting EPA regulations. Thus, President Obama and his policies will make U.S. residents suffer from higher energy prices and less diversity of supply with no meaningful decrease in global carbon dioxide emissions.  Since the U.S. has the largest supplies of coal in the world, these policies aim to take one of the principle engines of economic growth off the table for Americans. READ THE REST OF THE ARTICLE HERE