Although Ashley Williams is disappointed to see a federal agency endorse the nation’s coal industry, she isn’t surprised.

“It’s just environmentally and economically reckless to resuscitate a dying industry,” said Williams, executive director of Just Transition Northwest Indiana. “It’s a disservice to every worker, every coal-impacted resident out there. … (The government) should support coal-impacted communities to be able to transition to the next stage beyond fossil fuels.”

The U.S. Department of Energy, in a Monday news release, announced that it’s investing $625 million to “expand and reinvigorate” coal plants nationwide.

Indiana environmental activists worry about what this means for the future of renewable energy statewide, especially with the rise of data centers.

The DOE’s funding is in accordance with two executive orders from President Donald Trump, “Reinvigorating America’s Beautiful Clean Coal Industry” and “Strengthening the Reliability and Security of the United States Electrical Grid,” according to the news release.

“Beautiful, clean coal will be essential to powering America’s reindustrialization and winning the (artificial intelligence) race,” Secretary of Energy Chris Wright said in the news release. “These funds will help keep our nation’s coal plants operating and will be vital to keeping electricity prices low and the lights on without interruption. Coal built the greatest industrial engine the world has ever known, and with President Trump’s leadership, it will help do so again.”

Through funding, the DOE will allocate $350 million for coal recommissioning and retrofit; $175 million for rural capacity and energy affordability projects; $50 million for the development and implementation of advanced wastewater management systems; $25 million for engineering and implementation of dual firing retrofits; and $25 million for the development and testing of natural gas cofiring systems, according to the department’s website.

In April, the DOE announced it would “unleash American coal production,” including assessing accessibility of federal lands to “expedite coal leasing and lift barriers to coal mining on federal lands.”

Williams called the actions by the agency a “ridiculous and insulting use of taxpayer dollars.”

“I think this is really a despicable distraction,” she added. “It’s using this dying industry to prop up big tech and the proliferation of hyperscale data centers across Indiana, especially in this region.”

In September, the Michigan City Common Council passed four resolutions related to a potential data center in the area, which Williams and various other Michigan City residents were opposed to. The council heard more than one hour of public comment before voting on the data center resolutions.

Resolutions included granting tax abatements; designating the area as an economic revitalization area; and approving a taxpayer agreement for “Project Maize,” also known as a data center at 402 Royal Road.

Hobart residents also opposed a data center in the city, according to Post-Tribune archives, which was proposed to be built on a 168-acre parcel on 61st Avenue, about half a mile from the roadway’s intersection with Colorado Street. City officials have voted for that project to move forward.

“Big tech is just competing with each other to be able to win this race,” Williams said. “That’s what this is about. It’s not about bringing us into the next era and doing this for the American public. It has nothing to do with us and everything to do with greed.”

Senior Campaign Organizer Megan Anderson also isn’t surprised by the DOE’s coal industry funding announcement on Monday. She’s concerned about how the rise of data centers will impact the coal industry and prolong its existence.

“This is very dangerous,” Anderson said. “If you’re concerned about climate change, we have to phase out the use of coal, and now we’re seeing this massive uptick in gas use. We’re seeing coal plants being left online to serve data centers.”

Anderson is also worried about how Hoosiers’ health will be impacted by these actions, especially with air pollution from coal plants.

According to the American Lung Association’s April “State of the Air” report, Lake County has received failing grades in three categories: ozone pollution, 24-hour particle pollution and annual particle pollution. Porter County only passed in annual particle pollution.

Ozone and particle pollution can cause premature death and other health effects, including asthma attacks, heart attacks, strokes, preterm birth and impaired cognitive function, according to the American Lung Association. The organization also found particle pollution can cause lung cancer.

“It’s not just higher bills or public health damage — it’s part of a series of actions,” Anderson said. “It’s not entirely unexpected, but nonetheless, it’s going to be bad for Americans.”

With data centers, Anderson and Citizens Action Coalition Program Director Ben Inskeep are worried about how Hoosiers’ energy bills might be affected.

According to a Citizens Action Coalition report, electricity bills have increased more than $28 per month statewide, or 17.5%. NIPCSO residential customers were hit hardest, according to the July 23 report, with about $50 per month, or 26.7%, increase in one year.

The organization created an accountability campaign called “Stop Mike’s Hikes,” which has several asks for Gov. Mike Braun, including to fight for realistic and transparent energy planning; keep bills in check; embrace wind and solar power; and make large energy consumers like data centers pay their fair share, according to Post-Tribune archives.

Inskeep worries that utility bills will continue to rise throughout the Midwest to keep coal plants open.

“My concern is that some utility executives, in an attempt to gain favor with the Trump administration, might pursue something that’s uneconomic for the ratepayers to simply get political benefits from it,” Inskeep said.

Danielle McGrath, president of the Indiana Energy Association — which NIPCSO is a member of — previously told the Post-Tribune that the state’s energy future “cannot be reduced to a debate of ‘this resource versus that one.’”

“The reality is our state needs a balanced mix of resources to ensure energy is reliable, affordable, and available when and where it’s needed,” McGrath previously said in a statement. “While wind and solar play an important role, they cannot meet Indiana’s energy needs on their own. Natural gas, coal, nuclear, and other dispatchable resources remain critical to keeping the lights on, supporting job growth, and maintaining our state’s economic competitiveness.”

Inskeep said the use of coal is expensive, dirty and unreliable as other energy alternatives are available. He also believes that utility companies should focus on energy sources that will be efficient after the Trump administration leaves office.

Energy-efficient resources that would benefit from more investment include wind and solar power, Inskeep added.

“(Utility companies) need to think about protecting their customers over the coming decades,” Inskeep said. “An investment to reopen a coal plant, in terms of it being a good deal for customers in the long term, that just seems very unlikely, given today’s economy.”

mwilkins@chicagotribune.com