A federal bankruptcy judge found that the Environmental Law & Policy Center and the Western Office of Resource Councils can proceed in petitioning the federal Office of Surface Mining Reclamation and Enforcement regarding Peabody Energy’s use of “self-bonding” for eventual clean-up of its coal mines, Midwest Energy News reported today. Peabody had strongly objected, but the judge ruled in the groups’ favor, deciding they can continue sending information to the federal enforcement office and demanding regulators take action to limit Peabody’s self-bonding. The groups have been arguing that Peabody should have to put up real capital ahead of time or invest in an insurance policy or surety bonds to clean up mines, rather than be allowed to “self-bond,” or essentially promise that it will have enough money when the time comes.
