Published: March 7, 2022 |

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Gov. Jim Justice wishes the state of West Virginia would have enacted a tiered severance tax for coal when he first proposed it early during his first term in office, as demand for West Virginia coal is rising.

Justice diverged to energy issues during his Friday online COVID-19 briefing after being asked about it by a reporter.

Historically, the cost of steam coal is about $35 to $55 a ton, Justice said. But as Russia’s invasion of Ukraine continues to escalate, so does international demand for West Virginia steam coal, as countries have concerns about obtaining it from Russia.

A shipment of steam coal delivered to Rotterdam, South Holland, this week came in at $450 a ton. By Thursday night, the cost was back down to $100 a ton, according to Justice. He added the radical swings will continue.

“We should have tiered the severance tax, and helped our companies when things were tough — and asked them to throw a little more in the collection plate when things were good …,” Justice said. “These companies have done so much for West Virginia …

“We don’t want to forget coal. To shove coal onto the back burner and act like it’s a bad word — are you kidding me? And to be frivolous enough to think windmills are just going to take over and be our salvation and be our salvation tomorrow?,” Justice added.

Justice termed himself “an all-encompassing energy guy” and said it is “frivolous” to believe alternative energy sources such as windmills and solar energy alone can solve the nation’s energy needs.

“They can’t — there’s no way they can. So, unless we want to get awful hot and awfully cold, unless we’re willing to accept that. If we want to have our lights on and be able to do that and live life how we’re living life, we just have to step up to the plate and recognize fossil fuels are going to be here for a while. They may be here for a long while,” Justice said.

“We may be able to come up with technologies that allow us to have them forever. But with all that, we have to live here too. And if we’re going to live here, we have to have our fossil fuels today,” Justice added.

Justice stressed he doesn’t want the conflict in Ukraine to continue just so West Virginia’s coal market surges.

“We don’t need to be hogs. But there is opportunity in our state for goodness and helping our coal companies, our miners and so many multiplier effects of those dollars. And that’s good,” Justice said.

Source: The Parkersburg News and Sentinel

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