President Trump signed an executive order directing the Pentagon to increase its reliance on coal-fired electricity, marking a significant escalation in the administration’s push to support the coal industry. The move was detailed by The New York Times, which reported that the Defense Department will be instructed to enter long-term contracts with coal-burning power plants.
The order was signed during a White House event attended by coal executives and miners. At the event, Trump was presented with a trophy reading “Undisputed Champion of Beautiful Clean Coal” by the Washington Coal Club, an industry-linked organization.
Trump has repeatedly referred to coal as “clean, beautiful coal,” despite its status as the most polluting fossil fuel and a leading contributor to global warming. The new directive positions the military as a potential financial backstop for aging coal facilities.
The Pentagon contracts could extend coal’s lifespan
The executive order directs Defense Secretary Pete Hegseth to secure long-term electricity contracts with coal plants to power military installations. Analysts say this could provide a financial lifeline to dozens of plants that had been expected to close in the coming years.
The Energy Department is also committing $175 million to upgrade six coal plants in states including Kentucky, North Carolina, Ohio, and West Virginia. Additionally, the Tennessee Valley Authority announced it would delay the retirement of two of its largest coal plants, previously scheduled to close in 2027 and 2028.
The Environmental Protection Agency is rolling back several pollution rules implemented under the previous administration. Those rules would have required costly upgrades for coal facilities, and their removal reduces compliance costs for plant operators, tied to the largest climate deregulation plan.
Industry representatives argue that long-term federal contracts would provide certainty for plant owners and the broader coal supply chain. Experts estimate more than 40 coal plants are located within 100 miles of U.S. military installations.
While the Pentagon’s electricity demand represents roughly 3% of national coal power capacity, analysts say focusing on financially distressed plants could have an outsized impact. Administration officials contend the policy addresses rising electricity demand and grid reliability concerns, as agencies also warned about a critical Windows zero-day exploit.
Environmental groups criticized the move, warning that extending the life of older coal plants could increase pollution and raise long-term utility costs. Some utilities have also expressed reservations, including owners of a coal plant in Craig, Colorado, who challenged a federal emergency order to keep their unit operating beyond its planned retirement.
Energy analysts note that many U.S. coal plants are more than 40 years old, with rising maintenance costs and declining reliability. Whether federal contracts can meaningfully reverse the sector’s long-term decline remains uncertain.
Published: Feb 12, 2026 05:00 pm