Energy Brief: Power, Coal and Grid Tensions Escalate
United States
Coal plants ordered to stay online
The Trump administration ordered the Centralia coal plant in Washington to continue operating beyond its scheduled Dec. 31 closure, even though state law requires utilities to stop burning coal at the end of the year.
House backs authority to delay power plant retirements
The U.S. House passed legislation granting the Federal Energy Regulatory Commission new authority to order power plants to continue operating past retirement dates. The move is aimed at keeping coal-fired facilities online.
Xcel Energy shuts off power amid extreme wind threat
As Colorado’s Front Range braced for winds of up to 90 mph Wednesday afternoon, Xcel Energy announced it had preemptively shut off power for tens of thousands of residents west of Denver.
States sue over EV charging funds
Sixteen states, including most of those in the Northeast, along with the District of Columbia, filed suit against the Trump administration for withholding more than $2 billion in funding for electric vehicle charging infrastructure.
Offshore wind permitting fight intensifies
Republican opponents of offshore wind development in the U.S. House vowed to block a permitting reform bill they fear would make it harder for the federal government to revoke approvals for wind projects.
Ford announces Kentucky layoffs
Ford said it plans to lay off about 1,500 workers at its Kentucky factories as it cancels plans to manufacture electric vehicles and instead pivots toward producing batteries for a new energy storage business.
Ohio drilling incident
An oil well operated by EOG Resources exploded during drilling operations in Carroll County, Ohio. No injuries were reported.
World
Ukraine strikes Russian energy infrastructure
Ukrainian drones struck a major oil refinery in southern Russia and a fuel depot in the Rostov region, Kyiv’s military confirmed via Telegram on Wednesday. The attack targeted the Slavyansky Oil Refinery in Slavyansk-on-Kuban and is part of Ukraine’s ongoing effort to disrupt the energy infrastructure supporting Moscow’s war effort.
Alleged Venezuela–Iran oil funding revealed
Leaked documents reviewed by Spain’s ABC describe a long-running financial and logistical partnership in which Venezuela allegedly redirected billions of dollars in oil revenues and state funds to Iran, helping support Tehran’s nuclear program and allied military networks.
Global crude output to rise in 2026
The U.S. Energy Information Administration forecast global crude oil production will increase by 0.8 million barrels per day in 2026. Brazil, Guyana and Argentina are expected to account for half of that growth, according to the December Short-Term Energy Outlook. Production growth since 2023 has been driven largely by countries outside OPEC+.
Coal demand peaks but decline looms
The International Energy Agency reported global coal demand reached a record high this year but is expected to begin declining by 2030.
Climate complaint targets European steelmaker
U.K.-based nonprofit Opportunity Green filed a climate-related complaint against European steelmaker ArcelorMittal, citing its continued reliance on coal-fueled blast furnaces.