The NRDC has a plan that would allow the EPA to regulate GHG emissions from existing power plants, without either capitulating to the power sector, or banning coal outright immediately (which would be politically… uh, difficult). The trick is to use fleet-based target, as we do with vehicle emissions standards. The natural (regulatory) unit is the state, so each state could have its own carbon intensity targets or degression pathway, tailored to its initial generation mix. The carbon intensity would decline over time, eventually squeezing coal out of the mix, and could allow energy efficiency improvements to count toward the goal, at least initially. It really amounts to a kind of back-door cap-and-trade for the power sector, and it can be implemented by Obama, all on his lonesome, without any help from the intransigent congress. The hard part here will be setting stringent enough long term targets. 40% reduction by 2025? 90% reduction by 2050?
The Union of Concerned Scientists has gone through the catalog of America’s coal plants, and found hundreds of mostly small, old, polluting, inefficient generating units that just aren’t worth operating any more, even on a purely economic basis. They looked at several different sets of assumptions, including different natural gas prices going forward, a price on carbon, whether or not the competing natural gas fired generation would need to built new, or whether it existed already with its capital costs paid off, and whether or not the production tax credit for wind ends up being renewed. In all of the scenarios considered, they found substantial coal fired generation that should be shut down on purely economic grounds, above and beyond the 288 generating units that are already slated for retirement in the next few years. They also found that some companies — especially those in traditionally regulated monopoly utility markets in the Southeast — are particularly reluctant to retire uneconomic plants, perhaps because they can effectively pass on their costs to ratepayers, who remain none the wiser.
Minneapolis is Xcel’s home town, and a much bigger market than Boulder. The city is now talking about allowing their franchise agreement to lapse, in order to pursue more aggressive renewable energy policies than state law will allow if they’re served by the monopoly utility. The article gives a nod to Boulder’s votes over the last two years to explore the alternatives to franchise agreements, including the formation of a municipal utility. It’s great to see another much larger city looking at its options, and as far as pushing the overall utility business model to change, it’s great to see this happening within Xcel’s service territory. There’s a threshold out there somewhere, beyond which the current arrangement is no longer stable, and even the utility will start begging for something different. The faster we can get there, the better.
NREL took a nice long look at different ways to design feed-in tariffs (PDF) in July of 2010, based on the past decade’s worth of experience, both in the EU and several US states. It’s 144 pages long and aimed at policymakers… so, not exactly light reading. But if you really want to know how these things work (or fail), it’s great.
The UK has one of the world’s most aggressive building energy efficiency targets: all new homes to be zero carbon by 2016, and all new buildings to be zero carbon by 2019. They’ve got a ways to go toward realizing this goal, but they’re doing what they can to learn from other countries in the meantime. The Zero Carbon Compendium 2010 is a compilation of zero carbon building strategies and progress being made by nations all over the world. A good look at what was already possible a couple of years ago… and it’s a lot more than we’re talking about doing here today.
Arizona has decided to include externalized costs like water use and pollution in their utility resource planning process, with the predictable result that they’ve selected a resource portfolio heavy on renewables and energy efficiency, and light on coal. Hopefully other states will follow their lead!
(Fracking site close to Platteville, Colorado by Senator Mark Udall on Flickr)
With the introduction of the Halliburton Loophole in 2005 the Federal government largely abdicated its role in regulating the water quality impacts of oil and gas extraction. Local governments have been forced to step up, and communities in Colorado has been at the forefront of that effort. Routt County now requires stringent baseline water quality testing (PDF) before development can begin, and monthly re-testing during operations. The city of Longmont has banned all surface pits (PDF). The oil and gas industry is striking back against these efforts, with Colorado Senate Bill SB12-088 (PDF) which would preclude local governments from regulating oil and gas operations. If passed, this bill would slam the door on any potential regulation of fracking on our county open space lands.
A messy patchwork of different regulations in every little jurisdiction would be costly and legally dangerous for the oil and gas industry. The credible threat of such a patchwork is one of the few points of leverage we have, to get them to accept reasonable regulations at the state or national level.
If you’d like to retain the right to regulate — locally — the activities of these industries then please call and write the Senate Local Government Committee listed below. You may also attend and testify at the public hearing on the bill if you wish: Thursday, Feb. 16th at the Capitol Building, Senate Committee, Room 353, likely between 9:15 and 9:45am.
JOYCE FOSTER, Chair
Capitol Phone: 303-866-4875
JEANNE NICHOLSON, Vice Chair
Capitol Phone: 303-866-4873
IRENE AGUILAR, MD
Capitol Phone: 303-866-4852
Capitol Phone: 303-866-4859
Capitol Phone: 303-866-4884