Washington (Platts)--17Dec2012/508 pm EST/2208 GMT
The US Office of Surface Mining will not release the amount of funding available for abandoned mine cleanup before the end of the year, spokesman Peter Mali said in an email Monday. The Abandoned Mine Lands program is funded in part by a per-ton fee on coal production and is used to reclaim abandoned mine sites, including restoring streams affected by acid mine drainage. OSM typically announces the amount available for AML grants by mid-December. Greg Conrad, executive director of the Interstate Mining Compact Commission, said he was not surprised that OSM was delaying the announcement given continuing talks between White House officials and Republicans in the House of Representatives over the so-called fiscal cliff. The IMCC is a multi-state governmental organization that represents natural resource and environmental protection interests of its 19 memember states and six associate member states. Article continues below... Request a free trial of: Coal Outlook Coal Outlook is delivered daily and focuses on marine fuel prices and supply in major ports worldwide. It is essential reading for those who require accurate and timely data on this market sector.
The US Office of Surface Mining will not release the amount of funding available for abandoned mine cleanup before the end of the year, spokesman Peter Mali said in an email Monday. The Abandoned Mine Lands program is funded in part by a per-ton fee on coal production and is used to reclaim abandoned mine sites, including restoring streams affected by acid mine drainage. OSM typically announces the amount available for AML grants by mid-December. Greg Conrad, executive director of the Interstate Mining Compact Commission, said he was not surprised that OSM was delaying the announcement given continuing talks between White House officials and Republicans in the House of Representatives over the so-called fiscal cliff. The IMCC is a multi-state governmental organization that represents natural resource and environmental protection interests of its 19 memember states and six associate member states.
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Coal Outlook is delivered daily and focuses on marine fuel prices and supply in major ports worldwide. It is essential reading for those who require accurate and timely data on this market sector.
Without a deal on revenue increases and budget reducutions, a combination of mandatory tax hikes and and deep spending cuts aimed at cutting the federal deficit will automatically take effect January 1. Because of how AML funds could be impacted and the formula used to calculate the distribution, Conrad said OSM needs to have certainty. "I'm not surprised they are being very cautious and conservative," Conrad said Monday. After OSM announces the amount available, states have to submit applications to receive the grant allocations for projects. Conrad said some states have already submitted grant applications for fiscal 2013. Without knowing the distribution amount, the funds cannot be allocated and states are unable to begin planning and contracting reclamation projects, he said. "I don't think it will impact things dramatically by waiting for a few weeks," Conrad said. "But if this persists into January it will get more uncertain and disconcerting." In fiscal year 2012, $498 million was available for AML grant funding.--Beth Ward, beth_ward@platts.com --Edited by Jeff Barber, jeff_barber@platts.com
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