Congresswoman Hageman Introduces Bill to Cut Upfront Cost of Coal Production In Half
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March 9, 2026
Washington, D.C. – Today, Congresswoman Harriet Hageman (R-WY) introduced legislation to reform bonus bids for coal producers on federal leases designed to cut upfront costs in half.
One of America’s most reliable sources of affordable power is now being offered legislative relief after weathering decades of efforts to regulate coal out of business. Rep. Hageman’s bill reforms federal bonus bids under the Mineral Leasing Act to bring down the cost of coal production without sacrificing government revenue.
Coal producers on federal land are currently required to make payments on an accelerated schedule of five installments over the immediate first four years following a lease. Slow permitting and development for federal coal leases, however, means bonus bid payments present significant financial burdens to fulfill upfront before revenue is even generated. Rep. Hageman’s bonus bid reform extends this fee schedule from a condensed five-payment structure to 10 equal installments over a longer timeline to reduce the initial cost of coal operations on federal lands.
“Americans are reminded every year how coal keeps us warm in the winter, and cool in the summer,” said Rep. Harriet Hageman. “Reforming bonus bids on America’s coal producers will reduce more barriers on affordable, reliable power at the heart of the Republican agenda for energy dominance. Energy security is national security, and Wyoming will continue to reinforce U.S. energy dominance with affordable electricity as America’s number one coal producer since 1988.”
“The Wyoming Mining Association applauds Representative Hageman’s continued work to improve an outdated leasing process to allow for companies to lease coal in today’s environment,” stated Travis Deti, the Executive Director of the Wyoming Mining Association. “Allowing companies a longer, more flexible payment schedule from 5 to 10 years will make acquiring leases more competitive and keep Wyoming coal strongly in the American energy mix.”
“Wyoming’s energy and mining industries continue to benefit from strong leadership in Washington, and we appreciate Congresswoman Hageman’s ongoing commitment to supporting our state and its energy economy,” says Wyoming Energy Authority Executive Director Rob Creager. “This legislation will help unlock additional capital for coal producers and strengthen ongoing efforts to revitalize an industry that provides reliable baseload power to communities across the country. Supporting Wyoming’s energy sectors is essential to maintaining a strong and dependable American power system.”
“Meeting America’s rapidly increasing demand for reliable and affordable energy requires significant, long-term investment in domestic energy projects. By providing greater flexibility for project financing, the bill supports the development of critical domestic resourcing while strengthening our supply chains and the communities that depend on them. I applaud Representative Harriet Hageman (R-Wyo.) for introducing this important legislation and appreciate her continued leadership in advancing policies that support American mining and energy security,” stated Rich Nolan, President and CEO of the National Mining Association.
Background:
In the 119th Congress, President Trump and Congressional Republicans:
- Ended the Obama era moratorium on new coal leasing.
- Repealed the Biden era new leasing ban in the Powder River Basin, our nation’s largest source of coal, through Rep. Hageman's H.J. Res. 130, which terminated the no new leasing Buffalo Resource Management Plan.
- Mandated new coal leasing and reduced the federal coal royalty payments on federal lands through the One Big Beautiful Bill Act.