Montana’s coal industry, deeply rooted in the state’s history and economy, is facing an uncertain future as demand declines and a new energy industry emerges. The once-thriving coal mines that provided heat and electricity to thousands of homes and communities are now grappling with a changing landscape.
In the late 1950s, Tom Mexicancheyenne’s father relied on a small open-pit coal mine near Lame Deer on the Northern Cheyenne Indian Reservation to heat their home. However, the value of coal has shifted over the years, and the younger generation is less inclined to work in the industry. Mexicancheyenne reflects on the loyalty some have towards coal in the region, but acknowledges the dwindling number of younger workers entering the field.
The Northern Cheyenne Tribe made a conscious decision not to develop their vast coal reserves in the Powder River Basin, despite surveys indicating significant deposits. Instead, many tribal members sought employment at the Rosebud mines and power generating station in Colstrip. The Crow Indian Tribe, on the other hand, partnered with Westmoreland Resources to open the Absaloka strip mine, which provided a substantial portion of the tribe’s non-federal income. However, declining revenues led to significant layoffs in 2017, and the mine shipped its last railcar of coal in April of this year.
While the Rosebud mines in Colstrip continue to operate and employ over 600 people, the closure of Units 1 and 2 in 2020 and the impending exit of out-of-state customers pose challenges for the industry. The demand for cleaner energy sources and the push for renewable alternatives have further complicated the future of coal in the region.
The Biden administration’s Inflation Reduction Act, which includes the Energy Infrastructure Reinvestment Program, holds potential for tribal communities like the Crow and Northern Cheyenne tribes. However, the lack of planning offices, limited resources, and expertise hinder their ability to access federal opportunities. The disparity in capacity between communities like Billings and the reservations highlights the need for support and investment in infrastructure and job training programs.
The transition to renewable energy sources, such as wind and solar, faces obstacles in Montana. The existing transmission network is strained, and the state’s infrastructure has not kept pace with the growing demand for electricity. The potential for wind farms and other renewable projects on tribal lands, like the proposed Yellowtail wind project near the Yellowtail Dam, could provide economic opportunities and lower energy costs. However, the lack of interest from utility companies and limited transmission capacity hinder progress.
Colstrip, once a bustling coal hub, is now exploring the possibility of becoming an energy hub, serving both traditional and green power sources. The town’s mayor, John Williams, emphasizes the importance of affordable energy for residents and sees coal as a viable option. The potential for small modular nuclear energy and the capture of rare-earth elements from coal plants’ emissions offer potential avenues for the industry’s survival.
As Montana’s energy landscape evolves, the need for job training programs, infrastructure development, and federal support becomes increasingly apparent. The Inflation Reduction Act’s provisions for tribal colleges and renewable energy resources hold promise for the Crow and Northern Cheyenne reservations. However, the challenges of limited resources, expertise, and infrastructure must be addressed to ensure a smooth transition to a new energy industry.