Northwest coal terminals would add $6 billion to economy
Post Date: 06 Aug 2012 Viewed: 366
Developing new coal export terminals in the Pacific Northwest would add up to $6 billion to the U.S. economy, according to a new report from an energy industry analyst.
Low-cost coal from the Powder River Basin in Wyoming and Montana would likely replace more expensive coal in Asian markets without increasing worldwide consumption or the total emissions of greenhouse gases, the Washington, D.C.- based Energy Policy Research Foundation reported Thursday.
The report was released by the Alliance for Northwest Jobs and Exports, a coalition of coal, barge and rail companies, chambers of commerce and labor groups.
"This report confirms what we already know in the Northwest — we can continue to build on our strong trade heritage, creating thousands of new jobs and millions in new tax revenue for our region, and do it in an environmentally responsible way," Lauri Hennessey, spokewoman for the alliance, said in a written statement.
Henessey added public support for six proposed new coal terminals in the Pacific Northwest is high, despite heated opposition from environmental groups. According an Oregon Public Broadcasting poll last week, 55 percent of respondents in Washington, Oregon and Idaho support expansion of the coal industry because of the economic benefits.
The Energy Policy Research Foundation report assumes that coal exports would increase by 50 million to 100 tons annually at a cost of $40 to $60 per ton. If all six terminals are built to full capacity, they could handle about 170 millions tons annually.
Conservation groups have called for further study of the cumulative impact of coal transport throughout the Northwest. Oregon Gov. John Kitzhaber, two Washington state agencies and the U.S. Environmental Protection Agency have asked the U.S. Army Corps of Engineers to conduct a massive, "programmatic" environmental review of the six proposed terminals.
West of Longview, Millennium Bulk Terminals is seeking to build a $643 million terminal at the former Reynolds Metals Co. site. The terminal would add 135 full-time jobs and about 2,500 jobs during construction to the local economy. The coal terminal, which would export 44 million tons annually, would also bring millions of dollars in tax revenue to local governments, according to Millennium. Two smaller terminals have also been proposed at Port Westward near Clatskanie.