6a. ND Coal Production
Lignite Production and the North Dakota Economy
North Dakota’s lignite industry is a vital part of the state’s economy, accounting for a $3 billion-dollar economic impact. The state supports 4,000 megawatts of lignite and other coal generation, which it provides to:
The chart shows the consumption of electricity in North Dakota by generation source. Approximately 250 Trillion BTUs are transmitted outside of the state.
Recent Decline in Production
For decades, the North Dakota coal industry averaged 30 million tons of lignite production annually. In 2020, that number dropped to 26.4 million tons. The recent drops in production can be attributed to the Minnesota renewable energy mandate and an increase in wind-generated electricity.
Even though ND’s lignite production has been reduced in recent years, it is still significantly more than it was in the 1960s, when the average production was less than five million tons.