Published: February 12, 2026 |

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A new report by Energy Ventures Analysis (EVA) finds that, in 2025, coal generation served as an important buffer against energy inflation due to rising natural gas prices, electricity demand growth and infrastructure-related costs, delivering $30 to $40 billion in total savings, lowering Americans’ power bills an average of $100 to $150 per household.

“Coal generation literally kept the lights on when other fuel sources couldn’t deliver during Winter Storm Fern and the bitter cold that has followed. This data now shows, in 2025, coal also put money back in American’s pockets,” said Rich Nolan, NMA president and CEO.

“Fuel diversity is the only readily available lever available to pull to manage consumer energy costs. The cost of our AI-powered future is showing up on Americans’ electricity bills; states with greater access to coal generation are in a much better position to manage that price volatility,” added Nolan.

“This study highlights the practical benefits of fuel diversity in the power sector. In a year marked by higher natural gas prices and stronger electricity demand, access to coal-fired power generation helped limit system costs and protect customers from sharper increases in their electric and natural gas bills. Maintaining optionality in the generation fleet improves reliability, affordability, and resilience in volatile energy markets,” said Phillip Graeter of Energy Ventures Analysis, the author of the report.

The study, which modeled two different scenarios of the cost impacts for 2025 had there been lower coal usage, specifically found:

• Higher coal utilization in 2025 resulted in total U.S. power-sector and natural gas system benefits of an
  estimated $30 to $40 billion.
• Higher coal utilization in 2025 lowered average annual residential electricity bills by roughly $100 to $150 per
  household.
• Benefits were most pronounced in regions with significant coal capacity, particularly those exposed to winter
  peak demand and natural gas price volatility.
• States without remaining coal capacity lack the operational flexibility to offset rising natural gas prices through
  fuel switching.

The report concludes: “results underscore the value of coal power generation as a source of operational flexibility and cost containment during periods of elevated natural gas prices. As electricity demand continues to grow and natural gas markets become increasingly influenced by global LNG dynamics, continued coal plant retirements could materially reduce the power system’s ability to buffer fuel price volatility, increasing costs and risk for U.S. consumers, particularly during extreme weather events.”

The National Mining Association (NMA) is the only national trade organization that serves as the voice of the U.S. mining industry and the hundreds of thousands of American workers it employs before Congress, the federal agencies, the judiciary and the media, advocating for public policies that will help America fully and responsibly utilize its vast natural resources. We work to ensure America has secure and reliable supply chains, abundant and affordable energy, and the American-sourced materials necessary for U.S. manufacturing and economic security, all delivered under world-leading environmental, safety and labor standards. Headquartered in Washington, D.C., the NMA has a membership of more than 250 companies and organizations involved in every aspect of mining, from producers and equipment makers to service providers.

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