A bipartisan group of downstate lawmakers said Thursday that they will pursue legislation this spring designed to encourage the use of Illinois coal in the state's power plants.
Although many details of the legislation are still being developed, a key point is to prevent power companies from shifting the cost of importing low-sulfur Western coal to consumers.
"Why do we have to import our coal from Western states when we can compete with those Western states?" said Sen. Andy Manar, D-Bunker Hill.
Rep. C.D. Davidsmeyer, R-Jacksonville, added, "We are here to make sure coal remains an important part of our energy policy."
Under the proposal advanced by Rep. John Bradley, D-Marion, the legislature would change the "fuel adjustment charge" that allows utilities to pass along to their customers the cost of transporting coal from the West to power plants in Illinois. Bradley said it costs $26 a ton to ship coal into the state but only $6 a ton to ship Illinois coal within the state.
Using Illinois coal would save about $1 billion a year, he said. Of that, $700 million could be passed along to consumers, while the remaining $300 million could be devoted to a fund that would pay 50 percent of the cost of installing scrubbers at power plants. The scrubbers would allow the plants to burn Illinois coal and still meet emissions standards.
"If we're not paying to ship coal into our state, our coal can compete," Bradley said.
There are 24 coal mines operating in the state. However, Manar noted that while he served as Macoupin County Board chairman, three mines in the county closed, causing lost revenue for the county and adding to unemployment woes.
A number of energy bills are under consideration in the General Assembly this spring, including one that would provide financial assistance to Exelon to keep its nuclear plants operating. Bradley said he wants his proposed coal bill to be on the table with the other energy measures.
