Coal ban goes against development agreement, says the court

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Court rejects local ban on coal shipping at Oakland, California, reports Bloomberg.

US District Judge Vince Chhabria considers that the ban on coal shipping imposed by the city of Oakland in 2014 violates the development agreement with the local port and its operator, Oakland Bulk & Oversized Terminal.

Environmental group Sierra Club called the decision an “unfortunate setback”, while the National Mining Association cheered it, saying that “local governments, working with activist environmental groups, cannot be allowed to obstruct and steer interstate and foreign commerce decisions on behalf of the country.”

Terminals in the west coast are crucial for miners in landlocked states such as Wyoming and Utah may reach the Asian market. However, the coastal states of California, Washington, and Oregon are not willing to have coal passing through their cities and towns and have tried to block the creation of new terminals.

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