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A study paid for by a group that represents oil refiners found that the global warming bill, co-authored by Sens. Joe Lieberman (I-Conn.) and John Warner (R-Va.), would raise pump prices by around 48 cents (in 2007 currency) by 2030. It also found that the bill would increase gas prices by as much as 13 cents over the next four years.
The debate highlights the difficulty lawmakers will face in trying to tackle global warming as they simultaneously try to provide economic relief to the nation's drivers. ...Opponents will use more than costs to lobby against the Warner-Lieberman bill. The NPRA study also questions whether the emissions curbs called for in Warner-Lieberman are achievable.
Also filed under [
USA]
As Florida moves to implement those measures and consider others, businesses are concerned.
''We are injecting into the argument what the cost will be and the competitive effect of putting our state at an economic disadvantage to all other states that don't have strict emissions standards,'' said Jose Gonzalez, vice president of government affairs for Associated Industries of Florida, a lobbying group for businesses. ``It's certainly laudable. The governor is trying to do the right thing. But the way we get there is the question.''
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Florida]
A draft utility industry analysis of comprehensive climate change legislation awaiting Senate floor action concludes that the bill would sharply raise electricity prices, force many utilities to switch from coal-fired generation to natural gas, and impose an average cost of $1,500 on every U.S. household beginning in 2015. ...Fuel-switching by 2020 would increase natural gas wellhead prices by 22% above projected levels, while prices for coal, which now produces roughly half of all electricity, would fall to 30% by that year as more than 37% of existing coal-fired generation would be retired, CRA said.
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USA]
BPU rates lowest in Kansas thanks to coal energy
January 19, 2008 by Anne Hassler in The McPherson Sentinel
January 19, 2008 by Anne Hassler in The McPherson Sentinel
Wind energy and coal plants are two buzz phrases seeing plenty of play in Kansas newspapers lately. The perception seems to be wind and solar power are the cleaner alternative over coal, but coal, according BPU General Manager Rick Anderson, is what makes BPU's rates the lowest in Kansas.
"BPU has a contractual arrangement with Westar Energy to provide electricity from our turbine generators and in turn Westar provides us with our energy," Anderson said.
The arrangement has kept BPU's average rates to 3.8 cents per kWh, well below the average of 8.1 cents for nationally publicly owned utilities and 7.6 for Kansas publicly owned utilities. ...House of Representatives Speaker Melvin Neufeld touched on the need for a sound energy policy in his 2008 Republican Legislative Vision speech.
"Alternative energies like wind and solar power can play an important role in our state's energy portfolio, but the simple fact is wind turbines and sunshine alone cannot meet our growing demand for electricity," Neufeld said.
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Kansas]
Offshore wind farms cost significantly more to build and maintain than their onshore equivalent. And because they involve new and untested technology they also suffer from "first of a kind" costs. But the industry is confident that those costs will fall over time.
It is difficult to compare the cost of electricity obtained from a wind farm rather than a conventional energy source like gas. This is because it involves assumptions about future construction costs, the cost of carbon emissions, and the cost of gas.
However, right now offshore wind farms are significantly more expensive than thermal generation and require a government subsidy to make them economic.
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Impact on Wildlife|
UK]
... Westar's proposal [is] to add 300 megawatts of wind energy -- about enough to power 90,000 homes -- at a cost of $830 million over the next 20 years.
The Kansas Corporation Commission is expected to rule by year's end on how to allow Westar to recover the cost.
If approved, Westar's plan would add about $2.25 a month to the average customer's bill. ..."Something tells me there are going to be cost overruns and the capacity they're expecting won't be there and we'll get stuck with the bill,"
WPSC joins several other utilities that have already sought rate hikes to recover costs for anticipated increases in fuel prices. They include Wisconsin Power and Light, We Energies, WI Gas and Northern States Power.
The greatest increase is being sought by We Energies, which is asking for electric rate hikes of about 7.5 percent for 2008 and 7.5 percent for 2009.
The company says the money is needed to help pay for its investments in the Blue Sky Green Field wind project in eastern Wisconsin, significant air quality control equipment at the company's existing power plants, new electric generating units at Port Washington and Oak Creek, and construction of transmission upgrades and additions by the American Transmission Co.
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Tax Breaks & Subsidies|
Wisconsin]
Investor: Carbon dioxide regulation will mean more coal
November 19, 2007 by Martin LaMonica in C-net News
November 19, 2007 by Martin LaMonica in C-net News
After two years of studying the economic impact of climate change, asset management firm AllianceBernstein has come to a seemingly paradoxical conclusion: one of the dirtiest fuels around--coal--has a bright future.
Its findings, released Friday, are one of several reports issued by investment firms over the past two years which explore how industries can benefit or be harmed by climate change.
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USA]
The government's new plans to get power from sustainable sources are being slammed by some business leaders.
The government says it wants "wind and water power" rather than coal and gas energy but the business leaders say it is not necessarily the cheaper option. ...
"Sometimes frankly it doesn't rain and the wind doesn't blow and if that's going to be the case what are going to do to keep the lights on come 2025," O'Reilly says.
And despite the government's claims renewable energy will be cheaper for all of us in the long term, the cost of a carbon emissions trading scheme alone is likely to increase power bills and there's no hard evidence windfarms can combat that.
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Australia / New Zealand]
Bluewater Wind says a deal on wind farm is reached
September 13, 2007 by Aaron Nathans in The News Journal
September 13, 2007 by Aaron Nathans in The News Journal
Bluewater Wind will build 150 energy-producing turbines off the coast of Rehoboth Beach by about 2014 at an estimated cost of $1.6 billion, according to a statement released this afternoon by Bluewater. ...Bluewater spokesman Jim Lanard put it more bluntly: "Our biggest concern is that Delmarva has a secret black box they may use to try to blow up the process."
Delmarva would pay 10.59 cents per kilowatt hour for the wind energy, McGonigle wrote. That's 1.05 cents higher than Bluewater's original bid.
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Tax Breaks & Subsidies|
Delaware]
Data to show likely costs of wind farm; Consumer price analysis to take longer
September 13, 2007 by Aaron Nathans in The News Journal
September 13, 2007 by Aaron Nathans in The News Journal
Friday is the deadline for Delmarva Power to release details of agreements with three power companies to provide stable-priced electricity for the next 25 years. Homeowners, environmentalists and state officials are awaiting data to see if the wind farm will offer a competitive price, as well as whether the wind farm will be big enough to make a sizable contribution to the state's electricity supply. ...
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Tax Breaks & Subsidies|
Delaware]
Local content rules stir debate; Wind power will cost more, economist says
September 8, 2007 by Lynn Moore in The Gazette
September 8, 2007 by Lynn Moore in The Gazette
Quebec's stringent "local content" requirements for wind-farm developers do little for most Quebec wind-energy businesses, but will increase rates for all Hydro-Québec customers, several experts in the field say.
Under the terms of the call for tender for 2,000 megawatts of wind-generated electricity, developers must guarantee the expenditure of at least 30 per cent of wind-turbine costs in the economically troubled Gaspé region and at least 60 per cent of total wind farm costs in Quebec.
"This will make wind power more costly," Université Laval economist Jean-Thomas Bernard said.
Also filed under [
Canada]
European power companies are making billions of euros in excess profits in the European Union's battle to beat global warming by cutting emissions of carbon gases, and consumers are paying for it, economists say.
The electricity generators are given, free of charge, permits to emit millions of tonnes of carbon dioxide which are currently worth around 20 euros a tonne, but are then charging consumers as if they had been made to pay for the permits.
Michael Grubb, Chief Economist at the Carbon Trust and Director of Climate Strategies, calculates that this practice which he says is economically justifiable gives the industry windfall profits of some 20 billion euros ($27.14 billion) a year.
"It is free money," he told Reuters. "It's how you'd expect companies to behave, but politically and morally it is going to be hard to justify making so much money out of a scheme designed to reduce emissions - with consumers footing the bill."
Projects are picking up the most speed in Ontario, where the provincial government has embraced wind energy as a symbol of its green friendliness, and municipalities are signing on with a fervour because the province's above-market prices mean they can reap cash in land sales and tax revenues.
But as Canada experiences a rapid rise in these developments, there is a growing opposition to wind power as a clean energy alternative, with complaints that it is high-cost, energy-inefficient, causes noise pollution and even wreaks havoc on birds' migratory patterns.
After raising many of these concerns with the Ontario Municipal Board, residents of Wolfe Island, Ont., celebrated a victory this week when plans for an 86-turbine megaproject by Canadian Hydro Developers, Inc. was modified to place the turbines farther away from residential areas and wetlands.
Texas to play big role in renewable energy
June 28, 2007 by Betsy Blaney, Associated Press in The Bryan-College Station Eagle
June 28, 2007 by Betsy Blaney, Associated Press in The Bryan-College Station Eagle
LUBBOCK - Texas figures to lead the nation in renewable energy production by 2025 and stands to gain $22.8 billion in annual economic activity and 173,400 jobs overall, according to a study backed by a group that supports alternative sources of power.
An energy plan that would draw electricity from a natural gas-powered plant and an offshore wind farm in Sussex County could be a net loss for consumers, critics said Thursday.
The proposal, issued by the Public Service Commission on Wednesday, would bring the nation's first offshore wind farm to the coast of Delaware. But it also calls for construction of a 177-megawatt natural gas turbine in Sussex County at a site east of Bridgeville to help balance erratic transmissions from the wind farm.
And that, said Sen. Harris B. McDowell III, D-Wilmington North, is a costly combination.
"Our analysis finds that there are no insurmountable legal, economic or technical barriers to withdrawing from ISO-NE," he said. "Viable alternatives to ISO-NE now exist, such as the formation of a Maine independent transmission company or the creation of a Maine-Canadian Maritimes market."
Adams said the MPUC continues to study both options and will make its recommendations in a final report to the Legislature in January 2008. The preliminary report indicates that the final report will focus on "opportunities" with Canada's Maritime provinces.
Coalition of Citizens File Anti-Trust Complaint With the Department Of Justice Against the Wind Energy Industry
April 25, 2007 by Bradley E, Jones in IWA
April 25, 2007 by Bradley E, Jones in IWA
A grass roots coalition of nearly 100 citizens from New York, Vermont, and other states have filed a federal Anti-Trust Complaint alleging that an international cartel comprised of foreign and domestic business entities have conspired to eliminate competition in the newly emerging U.S. wind energy sector.
Wind farm proposals for remote and scenic parts of Scotland are always controversial, but the public must now consider the issue of how best to transmit the extra electricity generated.
A lot of power is to be generated in the sparsely populated and windy west of Scotland and then transmitted south to consumers.
While wind farms may be unsightly to many and are considered to blight the landscape, proposed power pylons needed to carry hundreds of miles of overhead lines across hills and glens are potentially more harmful to the environment and tourism.
Lighting up Montana with wind power is easier said than done
April 1, 2007 by Jan Falstad in Billings Gazette
April 1, 2007 by Jan Falstad in Billings Gazette
Because NorthWestern operates the transmission lines, the utility must meet federal reliability standards. That means keeping the power entering the system balanced with the demand, or electricity leaving the system.
You might imagine wind power as a child playing with a light switch: On. Off. On. Off.
That means NorthWestern must quickly dump or add power to balance its transmission lines.
When the turbines at Judith Gap produce too much power, NorthWestern sells it back mainly to Idaho Power, sometimes below cost, according to former Royal Johnson, a Billings businessman, a former state senator and a member of The Gazette editorial board.
When there isn't enough wind, NorthWestern may have to pay a premium, Johnson said, of up to $130 per megawatt hour. .........Montana has tons of proposed power projects cued up, Gates said, but one project depends on the other.
"They need transmission built, and the question is which gets built first," Gates said. "So it's the chicken-and-the-egg thing."
Another note of caution was sounded by Bill Drummond, who heads the Western Montana Generation and Transmission. His customers buy wholesale power from BPA, but those contracts run out in four years. Drought and rising demand is tapping the hydropower resources, so BPA is keeping its supply for its closest customers.
Right now there are few sellers of electricity to back up wind power, Drummond said.
"Faith-based power marketing is a dangerous thing," he said.