Commodities February 11, 2026

White House Directs DOE to Channel $175 Million to Upgrade Coal Plants in Five States

Funds drawn from bipartisan infrastructure package aimed at rural capacity and energy affordability will support six coal-fired facilities as administration cites electricity needs tied to AI and data centers

By Jordan Park
White House Directs DOE to Channel $175 Million to Upgrade Coal Plants in Five States

The administration has ordered the Department of Energy to distribute $175 million to six coal-fired power stations across Kentucky, North Carolina, Ohio, Virginia and West Virginia for upgrades intended to keep the plants operating. The funding originates from a bipartisan infrastructure law passed during the Biden administration and was earmarked for rural capacity and energy affordability coal projects. The president framed the move in the context of an "energy emergency" to address rising electricity demand from artificial intelligence and data centers and has previously described climate change as a hoax.

Key Points

  • DOE to provide $175 million for upgrades to six coal plants in Kentucky, North Carolina, Ohio, Virginia and West Virginia.
  • Funding is drawn from the bipartisan infrastructure bill passed during the Biden administration, designated for rural capacity and energy affordability coal projects.
  • Administration frames the action as an "energy emergency" to address rising electricity demand from artificial intelligence and data centers; the president has called climate change a hoax.

WASHINGTON - The White House announced on Wednesday that the Department of Energy will allocate federal dollars to sustain coal-fired power generation in multiple states.

The president said he is directing the Energy Department to issue funds to coal plants located in West Virginia, Ohio, North Carolina and Kentucky to keep those facilities online. In a separate specification, the administration said the DOE will provide six coal plants in Kentucky, North Carolina, Ohio, Virginia and West Virginia with $175 million earmarked for upgrades.

Officials stated that the money comes from the bipartisan infrastructure bill passed during the Biden administration. According to the announcement, the allocation was previously designated for rural capacity and energy affordability coal projects under that law.

In describing the action, the president framed it as a response to growing electricity requirements, noting a need to fast-track energy infrastructure to address rising demand from artificial intelligence and data centers. The administration described the declaration as an "energy emergency" aimed at keeping the United States competitive.

The president has also publicly characterized climate change as a hoax, a stance reiterated in the context of this policy move. The administration's statement links the funding decision to broader economic and infrastructure priorities, emphasizing continued operation of the specified coal-fired plants.


Context and implications

The announcement ties together three specific elements that determine the immediate policy action: the source of funding, the geographical targets of the support, and the administration's stated rationale. The funding source is identified as dollars from the bipartisan infrastructure bill passed during the previous administration and the recipients are listed as six coal plants across Kentucky, North Carolina, Ohio, Virginia and West Virginia. The stated rationale focuses on maintaining capacity as electricity demand grows from AI and data center operations, and the administration labeled the situation an "energy emergency."

The public statement also reiterated the president's prior characterization of climate science as a hoax, which was included alongside the policy announcement.


Summary bullets

  • $175 million in DOE funds to be directed to six coal plants in KY, NC, OH, VA and WV for upgrades.
  • Funding originates from the bipartisan infrastructure bill passed during the Biden administration and was earmarked for rural capacity and energy affordability coal projects.
  • The administration cites rising electricity demand from artificial intelligence and data centers and has declared an "energy emergency."

Risks

  • The article notes the president has called climate change a hoax - a politically charged characterization included alongside the funding decision, which may raise controversy in policy and public discourse. (Impacts: energy sector, regulatory environment)
  • The announcement does not provide details on whether the planned upgrades will be sufficient to meet the administration's stated objective of addressing rising electricity demand from AI and data centers. (Impacts: utilities, data center operators, electricity markets)
  • The piece does not specify allocation criteria or selection processes for the funded projects beyond stating the funds' origin, leaving unanswered questions about implementation and oversight. (Impacts: federal energy policy, regional infrastructure investment)

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