CHARLESTON, WV (LOOTPRESS) – The West Virginia Senate passed legislation this week aimed at lowering electricity costs and strengthening the state’s coal industry, but two senators from southern West Virginia voted against the measure. Senators Vince Deeds of Greenbrier County and Jack Woodrum of Summers County opposed the bill, breaking with every other senator from the region.
The legislation, West Virginia Senate Bill 420 (2026), seeks to encourage utilities to generate more electricity from existing West Virginia coal plants rather than purchasing larger amounts of power from the PJM Interconnection wholesale market. Supporters say the change would help reduce electricity costs for ratepayers while supporting coal-related employment across the state.
The bill passed the Senate on a 22–11 vote.
The legislation addresses a growing issue in West Virginia’s power market by encouraging coal plants to operate closer to traditional capacity levels. Historically, some coal plants operated near 60–70% capacity, but in recent years many have run closer to roughly 35–40% under the PJM wholesale dispatch system.
Supporters of the bill argue that running coal plants at higher levels could lower electricity costs and restore economic activity in coal communities. Estimates presented during legislative discussions suggest the policy could represent more than a $200 million economic advantage for West Virginia while supporting thousands of coal-related jobs across the state.
A prudency review covering 2021–2023 illustrates how the current PJM system has impacted ratepayers. Wholesale electricity purchased through PJM has often ranged from roughly $50 to more than $100 per megawatt-hour depending on market conditions, while the cost of generating electricity from existing coal plants has often been estimated between $40 and $60 per megawatt-hour depending on plant operations.
According to figures cited during prudency reviews before the West Virginia Public Service Commission, the current system has resulted in significant costs for West Virginia consumers:
- $552.9 million spent purchasing higher-priced PJM power
- $231.7 million in lost revenue from missed coal power sales
- $784.6 million in total lost savings
Supporters of the legislation argue those costs reflect a system where utilities sometimes purchase electricity from the regional market instead of generating power at their own coal plants.
Fuel cost data also shows coal maintaining a competitive position in West Virginia’s energy mix. According to the U.S. Energy Information Administration, average 2025 fuel costs in West Virginia show:
- Coal: $2.87 per MMBtu
- Natural Gas: $3.16 per MMBtu
Coal industry leaders say encouraging greater use of existing coal plants would help strengthen grid reliability while supporting jobs in mining and power generation.
Opponents of the legislation, however, have argued that measures encouraging utilities to prioritize coal generation could interfere with competitive wholesale power markets and potentially expose utilities to higher costs if market prices drop below generation costs.
Despite those concerns, supporters maintain the legislation will strengthen West Virginia’s coal fleet, lower electricity bills for families, and bring economic activity back to coal communities across the state.
The Senate vote highlighted a rare regional split, with Deeds and Woodrum standing as the only senators from southern West Virginia to oppose the bill.
