Federal Coal Management Report

The Bureau of Land Management (BLM) in the Dept. of the Interior (DOI) oversees coal mining activities on Federal (public) and Indian lands. DOI collects more than $1 billion in bonus and royalty revenues from coal mining companies each year, a figure that has been steadily rising. In FY 2012, bonuses and royalties exceeded $2.4 billion. The program also meets the coal industry's continuing demand for additional leases, and helps satisfy the Nation's energy needs. Coal-burning power plants generate about half of the Nation's electrical power. About 40% of the Nation's coal comes from public lands, so coal mining on public lands is a significant source of revenue to the U.S. Government, and significantly contributes to the Nation's power supply. This report focused on the program's goal of obtaining a fair return for coal on public lands, its mine inspection and enforcement activities, and venting of methane gas from mines. It found weaknesses in the current coal sale process that could put the Government at risk of not receiving the full, fair market value for the leases. In addition, flaws in the inspection and enforcement program could prevent BLM personnel from detecting noncompliance with laws, regulations, and lease terms. Includes recommendations. Figures. This is a print on demand report.