Navajo Nation Economic Development Strategies for Areas Affected by Coal Mine Closures

In the past, coal mining and associated power generation stations have been key economic drivers for the Navajo Nation.  In 2014, Four Corners Power Plant (FCPP) and Navajo Mine experienced a reduction in coal and energy production.  And, recently it was verified that the Kayenta Mine and Navajo Generating Station (NGS) will close in December 2019 due to “changing economics in the power industry.” Under the Navajo Nation Division of Economic Development (NNDED), Department of Project Development, ETD was awarded a contract to develop economic strategies to help coal-dependent communities adapt to evolving energy markets. 

Coal mining and power generation provide direct jobs and income that support economic activity in other sectors of the economy. For example, coal mines and powerplants purchase goods and services, such as equipment, fuel, maintenance and repair services. Such purchases support indirect jobs and income. Employees of both directly and indirectly impacted sectors then re-spend their earnings on household goods and services, such as housing, food, retail stores, and entertainment.  In sum, the total economic impact of the production at coal mines and power generation plants comprise direct and indirect impacts.

Eight broad goals are presented in Chapter 6, along with strategies to achieve the goal. These strategies are designed to diversify the economy by bringing the public and private sectors together to create an economic roadmap. They build upon an analysis of the regional economy, a thorough review of previous Navajo economic development strategies, a strength-weakness-opportunity-threat analysis, additional research on various strategies, and input from stakeholders.  The process for developing the economic strategies involved public meetings, online survey, focus groups, social media, public service announcements, and newspaper articles. The goals are:

1. Enhance Tourism
2. Expand Agriculture/Modern Water Use
3. Expand Utility Infrastructure
4. Enhance Information Technology
5. Enhance Navajo Nation Government-Industry Collaboration
6. Enhance Hospitality
7. Enhance Lifestyle Amenities
8. Redevelopment of the Workforce

CHECK OUT THE PLAN ONLINE HERE:

Navajo Nation Reinvented Economic Impacts and Strategies for areas affected by coal mine closure

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