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The Effects of Fuel Prices, Environmental Regulations, and Other Factors on U.S. Coal Production, 2008-2016

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  • John Coglianese
  • Todd D. Gerarden
  • James H. Stock

Abstract

We decompose the decline in coal production from 2008 to 2016 into the contributions of several sources. In particular, we estimate the effects of declining natural gas prices and the introduction of new environmental regulations along with several other factors, using both monthly state-level data and annual information on coal plant closings. We estimate that the declining price of natural gas relative to coal is responsible for 92 percent of the total decline in coal production over this period and that environmental regulations account for an additional six percent, with other factors making small and offsetting contributions.

Suggested Citation

  • John Coglianese & Todd D. Gerarden & James H. Stock, 2020. "The Effects of Fuel Prices, Environmental Regulations, and Other Factors on U.S. Coal Production, 2008-2016," The Energy Journal, , vol. 41(1), pages 55-82, January.
    • Handle: RePEc:sae:enejou:v:41:y:2020:i:1:p:55-82
    DOI: 10.5547/01956574.41.1.jcog
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    References listed on IDEAS

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    1. Derek Glasgow & Shuang Zhao, 2017. "Has the Clean Air Interstate Rule Fulfilled Its Mission? An Assessment of Federal Rule-Making in Preventing Regional Spillover Pollution," Review of Policy Research, Policy Studies Organization, vol. 34(2), pages 186-207, March.
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    Cited by:

    1. Hitchcock, Ian & Raimi, Daniel, 2024. "Wyoming’s Energy Transformation: Insights from Federal Engagement with Coal Communities," RFF Reports 24-25, Resources for the Future.
    2. Raimi, Daniel & Look, Wesley & Robertson, Molly & Higdon, Jake, 2020. "Economic Development Policies to Enable Fairness for Workers and Communities in Transition," RFF Reports 20-08, Resources for the Future.
    3. Greenberg, Pierce & Asitibasi, Terence & Bodenhamer, Aysha, 2025. "Coal communities’ views on local economic Futures: Implications for energy transition policy and planning," Energy Policy, Elsevier, vol. 205(C).
    4. Fleten, Stein-Erik & Fram, Benjamin P. & Ullrich, Carl J., 2024. "The reliability pricing model and coal-fired generators in PJM," Energy Economics, Elsevier, vol. 134(C).

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