Energy (Coal)

SB 790 reorganizes West Virginia's energy governance by transferring the Office of Coalfield Community Development into the Office of Energy and creating a new Comprehensive Energy Policy and Development Plan. It requires the Office to develop a long-term strategy covering coal, natural gas, nuclear, hydropower, hydrogen, and geothermal energy sources, including annual reports and stakeholder meetings. The bill grants the Office new authority to approve power plant decommissioning, designate energy-ready communities, and establish site criteria for energy projects. This directly affects the Office of Energy's operations and state energy planning processes, eliminating outdated programs like the Coal Fired Grid Stabilization Act.

This bill directs West Virginia's Office of Energy to develop a comprehensive energy policy and plan covering coal, natural gas, nuclear, renewable, hydrogen, and geothermal sources. It transfers the Office of Coalfield Community Development into the Office of Energy, eliminates outdated duties like the annual coalfield report, and grants the Office new authority to hold stakeholder meetings, set energy-ready community criteria, and designate project sites. The legislation also repeals the 2023 Coal Fired Grid Stabilization Act, merging its provisions into a new "Comprehensive Grid Stabilization and Energy Security Act." The Office must submit annual reports on its findings and develop strategies for multiple energy sectors, including state energy security planning. This restructures state energy policy to embrace diverse energy sources while focusing on stability, cost, and security.

SB 935 repeals a tax exemption for certain coal-fired power plants in West Virginia, directly affecting owners/operators of coal plants operational before January 1, 1995. The bill reduces the taxable generating capacity for these plants to 45% of their official capability (instead of 100%) for tax years starting July 1, 2021, but requires plants to remain operational until at least July 1, 2025, to qualify. If such plants close before July 1, 2025, owners must repay tax savings through a recapture tax, though federal mandates exempting closures avoid this requirement. The law applies specifically to "merchant power plants" (independent generators) and modifies existing tax calculation rules under West Virginia Code §11-13-2o.

SB 25 creates the West Virginia Coal Marketing Program and a dedicated state fund to support the coal industry. The program, administered by the Governor, uses registration fees from "Friends of Coal" vehicle plates to fund projects that protect coal markets, assist communities impacted by coal market changes, and educate the public about coal's economic role and modern practices. Key provisions include using funds for promotional campaigns highlighting coal's importance to West Virginia's identity, economy, and energy reliability, as well as addressing challenges in coal-dependent communities. Unspent funds carry over annually, and the Governor must report yearly on funded projects to the legislature. This bill directly affects state government operations, coal industry stakeholders, and communities facing economic shifts due to the coal sector.

SB 686 modifies West Virginia's coal law to allow mining operations when some co-owners of coal land consent, even if others do not. It states that operators mining with consent from at least one co-owner are not committing "waste" or "trespass," and nonconsenting co-owners (including unknown or unlocatable owners) must receive a royalty payment based on their ownership share. The bill creates a new "Unknown and Unlocatable Coal Interest Owners Fund" managed by the State Treasurer to hold royalties from unlocated owners, with funds later transferred to the Special Reclamation Fund. This directly affects coal operators, surface owners, and all co-owners of coal estates, streamlining mining operations while ensuring nonconsenting owners receive compensation.

SB 15 requires carbon storage operators to protect mineral owners' interests before permits are issued for underground carbon storage projects in West Virginia. It mandates that applicants must verify if coal, oil, or gas minerals exist in the project area and obtain written agreements ensuring these interests won't be harmed by the carbon dioxide plume. The bill also requires operators to notify mineral owners and lessees, secure written consent from at least 75% of pore space owners, and compensate nonconsenting owners fairly. This directly affects coal and oil/gas mineral rights holders and carbon storage operators by adding legal safeguards to project planning and approval.

This bill redirects a portion of West Virginia's coal severance tax to the specific counties where coal is mined. Starting in 2012, it gradually increases the share sent to coal-producing counties (from 1% to 5% of the tax), with an annual cap of $20 million. Counties must use these funds exclusively for economic development or infrastructure projects like roads, broadband, mine reclamation, or water systems - barring personal services or bond costs. It ensures local communities directly benefit from coal extracted within their borders.