Abstract: The Appalachian coal region continues to be adversely affected by the environmental degradation associated with mining activities of the last 20 years. Today, companies are denied permits at sites where acid generation appears likely. Air emission limitations at power plants now threaten the economic health of many moderate to high sulphur coal mines. The article discusses the effects of both abandoned and active mines on water quality, water tables and water suppliers, and ground subsidence costs of improving water quality and costs of repairing structural damage to buildings are discussed. The requirements of the US Clean Air Act to reduce sulphur dioxide and nitrogen oxide emissions will force utilities to switch to natural gas or install extra pollution control equipment. The regulations also affect the disposal of fly ash and bottom ash, causing utilities to find uses for these by-products. 19 refs.,5 photos.