Markets Trump Policy, Again!

Markets Trump Policy, Again!

By Michael Maher and Anna Mikulska U. S. energy dominance was an international theme of the Trump administration. It reflected commitment to U. S. energy industry as part of achieving energy independence at home and furthering energy security abroad with U. S. energy exports as leverage to advance broader U. S. foreign policy objectives. The administration saw the traditional sources of energy such as oil, gas, and coal as best vehicles for delivering on that promise. Have the policies to prop those sectors been successful? Let's first get out of the way the one goal that has obviously not been met. Despite President Trump being a strong advocate for coal, the latter did not fare well. Any direct measures to help coal floated by the President were quickly abandoned or directly opposed even by Trump's own FERC appointees. Indirect ones, such as rolling back of the Clean Power Plan, did not succeed given competition from cheap and abundant natural gas and renewables. Between 2016 and 2020, coal use in electricity generation - which accounts for virtually all (90%+) of total U. S. coal consumption - fell by approximately 35% (694 vs. 447 million tons) while natural gas use in electricity