We are told that operators of surface mines have had to pay for the reclamation of mined-out land for the past twenty years. During that time, reclamation technology has not improved. Yet, the average reclamation cost for a surface coal mine being reclaimed today is significantly less than what it was twenty years ago.
So why has the average reclamation cost decreased even though the technology has not improved?
Quote:
A. Even after Balzania began requiring surface mine operators to pay reclamation costs, coal mines in Balzania continued to be less expensive to operate than coal mines in almost any other country.
We are not concerned with how the reclamation costs in Balzania compare to those in other countries. We are trying to explain why the average reclamation cost IN BALZANIA has decreased even though the technology has not improved. Eliminate (A).
Quote:
B. In the twenty years since the regulations took effect, the use of coal as a fuel has declined from the level it was at in the previous twenty years.
A decline in the use of coal might have caused a decrease in surface coal mining and thus an OVERALL decrease in reclamation costs, but that would not affect AVERAGE reclamation cost. Eliminate (B).
Quote:
C. Mine operators have generally ceased surface mining in the mountainous areas of Balzania because reclamation costs per ton of coal produced are particularly high for mines in such areas.
Before the regulations, operators did not have to pay for the reclamation of mined-out land, so they would have had no incentive to consider those costs when choosing mining sites. However, since the passing of the regulations, the operators HAVE had incentive to consider reclamation costs when choosing mining sites. As a result, the operators might have started to avoid mining in areas that would incur high reclamation costs (i.e. mountainous areas), thus reducing average reclamation cost. Choice (C) would help to explain why average reclamation cost has decreased even though the technology has not improved, so keep (C).
Quote:
D. Even after Balzania began requiring surface mine operators to pay reclamation costs, surface mines continued to produce coal at a lower total cost than underground mines.
We need a statement that explains why the average reclamation cost for a SURFACE coal mine has decreased. How those costs compare to those of underground mines is irrelevant, so (D) can be eliminated.
Quote:
E. As compared to twenty years ago, a greater percentage of the coal mined in Balzania today comes from surface mines.
Increasing the amount of coal from surface mines might increase the TOTAL reclamation costs from those sites, but, as with choice (B), this would not explain why the AVERAGE reclamation cost has changed. Choice (E) might explain why the operators of such mines are making more money, but it does not explain the change in reclamation costs. Eliminate (E).
Choice (C) is the best answer.