How Uneconomic Coal Plants Are Taking a Toll on Our Health

Coal plants running at financial losses are costing US communities billions in health-related expenses.

In communities nationwide, coal plants continue operating at a financial loss. These uneconomic plants are doing more than costing ratepayers money. The harmful pollutants emitted by these plants lead to serious health costs and consequences. RMI’s latest research, which can be found on RMI’s Economic Dispatch Hub, sheds light on the staggering health toll of these outdated practices. The latest research indicates that emissions from uneconomically dispatched coal plants — coal plants run when cheaper resources are available — cost communities $13–$26 billion in health costs each year. These formidable health costs are 13 times greater than what consumers are paying for that electricity, which is close to $1–$2 billion per year. In total, communities have had to pay $236 billion in added health costs between 2015 and 2023.

Power plants near population centers cause the most damage

The health costs are staggering but they are also location specific. The following map shows the distribution of these health costs at the county level and the corresponding bar graph aggregates these impacts at the regional level. The regions with the highest health impacts are in the areas covered by MISO (serving the Midwest) and PJM (serving the Mid-Atlantic), and the Southeast.

Two factors play a role in high health impacts, (1) emissions when it is uneconomic to run the coal plant and (2) the proximity to dense populations. In regions like MISO and PJM, coal plants are located near densely populated cities. Even though the West has high uneconomic dispatch emissions, the population is more spread out, so health costs are lower, though nearby residents still experience significant effects. On the other hand, PJM has historically had less uneconomic dispatch losses than other areas but has the second highest health cost because those coal plants are located near population centers.

Health impacts take a toll on communities

The latest RMI analysis takes emissions from uneconomic dispatch months and uses the EPA Co-Benefits Risk Assessment (COBRA) tool to convert these emissions to health costs and health impacts. Emissions from months when coal is dispatched uneconomically result in extensive health impacts that burden both individuals and society at large, as shown in the charts below. The EPA tool COBRA can also convert emissions into specific health impacts such as predicted mortality, emergency room visits, and asthma impacts. Nationwide, between 2015 and 2023 coal emissions during uneconomic months contributed to 19,565 emergency room visits from aggravated respiratory and cardiovascular conditions. Exposure to these pollutants has been estimated to cause 16,661 cases of premature mortality. These emissions have also been estimated to exacerbate new cardiac diseases (5,771 cases) ranging from heart attacks to strokes and neurological disorders (3,644 cases). Furthermore, carcinogenic substances emitted from coal plants when they were uneconomic could be associated with 447 cases of lung cancer.

The health impacts of uneconomically dispatched coal emissions significantly worsen a range of asthma symptoms, including 3.4 million instances of increased albuterol use and more than 1.8 million cases of persistent cough. Most alarmingly, coal plants running when there were cheaper resources available created over 50,000 cases of asthma in people who did not have asthma at all. These emissions have also been estimated to cause over 900,000 lost workdays and over 3 billion lost school days nationwide, because adults and children suffering from these symptoms needed time to recover.

Communities face immense challenges from these exacerbated symptoms that affect daily life and economic productivity. The health burden translates to increased healthcare costs and reduced quality of life, disproportionately impacting vulnerable populations and stressing healthcare systems. Communities could see improvements in public health and their quality of life, alongside the economic benefits from reduced healthcare costs, if coal plants were turned down when cleaner and cheaper resources were available.

Economic dispatch means a healthier future

Addressing uneconomic coal dispatch is a crucial step toward safeguarding public health and promoting economic efficiency. The evidence is clear: emissions from uneconomic dispatch practices have caused extensive and preventable health impacts, including premature deaths, heart disease, and respiratory conditions including asthma. The financial toll is equally staggering, with health impacts costing communities thirteen times the monetary losses borne by ratepayers. By shifting to economic dispatch practices, utilities can significantly reduce emissions, improve air quality, and lessen the strain on healthcare systems, particularly in densely populated and vulnerable regions. By tapping only the most economic energy resources available — a practice that has been adopted in Minnesota and recently gained support in the Michigan State Commission — we will be ensuring a healthier, more equitable society while mitigating long-term economic costs, for customers and vulnerable communities alike.

Acknowledgements:

This work was made possible through the generous support of Horizon Climate Initiative.

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