Trump Taxpayer Bailout of Coal Benefits Duke Energy Amidst Record Shareholder Profits

RALEIGH, N.C.- Trump announced the Department of Energy will throw a $175 million taxpayer-funded lifelineto six coal plants throughout the country, including Duke Energy's Belews Creek in North Carolina. The DOE notes additional taxpayer money will be doled out to support coal plants in the future. The White House news came one day after Duke announced it banked $4.9 billion in profitin 2025. Trump also announced a new Executive Orderdirecting the Department of Defense to purchase power from coal-burning power plants, but the impact on coal plants in North Carolina has yet to be determined.

In an interview previewing the repeal of the endangerment findingearlier this week, Interior Secretary Burgum said, "More energy drives human flourishing…not regulating certain forms of energy out." This is the same Interior Secretary who led efforts just three days before last Christmas - unsuccessfully- to halt five offshore wind projects that are already under construction, and would provide power to 2.45 million homes. Trump's orders halted fully-vetted, billion-dollar projects and sent thousands of workers home at a time when construction jobs were scarce and energy demand was nearing its peak.

Duke Energy leadersquickly touted the opportunity to burn more coal under Trump just a few days after the 2024 election. Since then, the monopoly utility company has led effortsto undermine the very public health safeguards the Trump administration is gutting. Taking cues from Trump, Duke recently cancelled its offshore wind project that could have powered 1.5 million homes and placed an arbitrary cap on the benefits solar energy can provide to its customers. Now Duke is proposing yet another rate increase for North Carolina customers and asking state regulators to increase profits by awarding it one of the highest shareholder rates of return in the country, even though its customers will now assume more financial riskon new projects than ever before.

The Sierra Club anticipates the EPA will soon release its final order repealing Biden's Mercury Air Toxic Substancesrule for coal plants, which would have applied to Duke's Mayo and Roxboro coal plants, and is meant to protect communities from dangerous mercury. The N.C. Department of Health & Human Serviceshas a statewide fish consumption warning for mercury, especially for "individuals who are pregnant or breastfeeding and children because of its potential effect on developing brains," and notes a pathway for mercury entering our environment is from burning fossil fuels.

Statement from Olive Burress, North Carolina Sierra Club Campaign Organizer:

"Duke Energy can afford to put its rate case on hold until after its merger is complete considering the monopoly utility just earned nearly $5 billion in profits and the next day got a taxpayer-funded check from Trump to keep uneconomic coal plants open longer. These taxpayer-funded coal bailouts that benefit monopoly utility shareholders, like Duke Energy, are also a distraction from the interference Trump has played in halting private investment in affordable and reliable renewable energy projects that would benefit hardworking North Carolina families and small businesses."

About the Sierra Club

The Sierra Club is America's largest and most influential grassroots environmental organization, with millions of members and supporters. In addition to protecting every person's right to get outdoors and access the healing power of nature, the Sierra Club works to promote clean energy, safeguard the health of our communities, protect wildlife, and preserve our remaining wild places through grassroots activism, public education, lobbying, and legal action. For more information, visit https://www.sierraclub.org.