Feeds:
Posts
Comments

Archive for the ‘Coal’ Category

Back in March, the Dallas Observer reported about the chance that Energy Future Holdings (EFH – formerly TXU) the state’s largest power generator, was verging on bankruptcy,  Our question then was – are Texas ratepayers going to have to pay for EHF’s bad bet?

Before and since then, there has been a lot of talk about how the EPA is threatening our ability to keep the lights on in Texas.  It was just last fall that Dallas based Luminant claimed that it would be taking 2 coal-fired generating units at the Monticello plant offline due to the cost of complying with newly proposed EPA regulations.

Now, with EPA’s Cross-State Air Pollution Rule off the table, Luminant is going to take the Monticello plant offline for the winter season anyway.  The reality of the energy market in Texas and across the U.S. is that coal isn’t the cheapest option anymore.

Now comes the Dallas Observer with a new article questioning EHF’s Luminant generation division’s claim that EPA regulations are going to be the cause of plant closures.

Brantley Hargrove writes:

Does Texas’ biggest electricity generator, Dallas-based Luminant, just have one hell of a poker face, or should we not read too much into Friday’s announcement that it will idle two units at its Monticello plant for six months? If you’ll recall, the company threatened to idle the units last summer, a time when record demand almost forced rolling blackouts. It claimed that an EPA rule designed to reduce the amount of harmful air pollution wafting across state lines was going to force the company to remove 1,200 megawatts from the grid, enough to power more than a million homes.

Texas politicos were quick to pile onto the agency’s “job-killing” regulations, which they said threatened the very integrity of the grid. “As expected, the only results of this rule will be putting Texans out of work and creating hardships for them and their families, while putting the reliability of Texas’ grid in jeopardy,” Gov. Rick Perry scolded from the presidential campaign trail.

“The rule will impose great costs on coal-fired power plants, causing some to shut down or curtail operations, threatening the state’s electrical capacity reserve margins needed to avoid power disruptions during times of peak demand,” Texas Commission on Environmental Quality director Bryan Shaw warned. “Such a scenario could lead to blackouts, which create serious health risks for Texans dependent on reliable energy.”

To hear them tell it, Texas was given a brief reprieve when a federal appeals court stayed the rule pending oral arguments. And when it tossed the Cross-State Air Pollution Rule altogether last month, the court’s decision was heralded as a decisive coup for Luminant and Texas electric reliability.

“EPA’s illegal micro-managing of state air-quality plans was so specific that immediately after the rule-making it was clear that coal-powered energy production at Texas-based plants operated by Luminant, a big utility, would have to be cut,” a Wall Street Journaleditorial opined. “Tuesday’s ruling means Luminant will be able to keep 1,300 megawatts of power online in Texas, which needs more electricity because unlike other parts of the U.S. in the Obama era it is growing.”

But no sooner had Texas Attorney General Greg Abbott crowed over his “defeat” of the “EPA overlords” than Luminant announced it would idle those two Monticello units anyway. Awkward. For between six or seven months, starting in December, they will sit dormant. Luminant spokesperson Allan Koenig blames low power prices. Monticello has been running below capacity as it is, he says. They’ll be back online in time for next summer’s heat wave. In the meantime, somehow, Luminant won’t lay anybody off.

What Koenig says about the power market is true: The price of electricity fell along with the price of natural gas back in 2008. Ever since then, their bottom line has gotten pinched, along with everyone else’s.

But Luminant is a special case, troubled by a unique predicament, causing some to wonder whether we can lay everything at the feet of the cruel market. The real problem came (as we examined in a March cover story, “Blackout Blues”) when private equity firm Kohlberg Kravis Roberts saddled the former TXU with tens of billions of dollars in debt. The bull electricity market KKR was betting on went bearish, and the newly reconstituted Energy Future Holdings’ already daunting mountain of debt became insurmountable. Analysts think the company’s preparing for an impending bankruptcy.

So, the coal-fired plants KKR expected Luminant to ride into profitability are now cheaper to shut down, particularly when seasonal electricity demand is low. That makes sense. It made sense, too, that as the generator navigated treacherous financial straits, costly pollution controls on aging, depreciating coal-fired units wouldn’t be the wisest investment. It’s one big expense they can’t currently afford. Nor can it afford to lose money by running a coal-fired plant.

It all causes one to wonder, though: Now that the threat of regulation has, albeit momentarily, passed, and the units it threatened to shut down because of clean air rules have gone dark anyway, what was the point of all that brinksmanship? Was Luminant playing a high-stakes game of chicken to ward off regulations by threatening to idle a plant it was going to idle regardless of the outcome? Luminant’s Koenig says the shut down is “in no way related” to last year’s regulatory standoff. “Federal regulation is very, very different from low power prices,” Koenig says. “We can’t control either, but we can respond to regulation and low power prices. The argument to me, it’s absolutely apples and oranges.”

Yet others in the industry say it’s all about the market. Always has been.

“These regulations will not kill coal,” John Rowe, until recently the leader of one of the country’s largest generators, told an audience at an American Enterprise Institute conference. “In fact, modeling done on the impacts of these rules shows that up to 50 percent of retirements are due to the current economics of the plant due to natural gas and coal prices.”

If fingers need to get pointed anywhere, point them in that direction, and at LBO architects that left the company all but incapable of navigating these choppy Texas waters.

We are wondering the same and believe market factors are impacting the coal industry more than the EPA and the current administration.

Read Full Post »

Finally a positive ruling for those adversely affected by coal power plants.  Today a federal judge ruled that the Tennessee Valley Authority is liable for a huge spill of toxin-laden sludge in 2008 in Tennessee when containment dike at TVA’s Kingston Fossil Plant burst. About 5 million cubic yards of ash spilled out of a storage pond, into a river and spoiled hundreds of acres in a riverside community 35 miles west of Knoxville.

U.S. District Court Judge Thomas Varlan found TVA was negligent in its conduct and will be liable for damages to be determined later. Ratepayers have had to pay for the spill in the form of higher power costs as the $1.2 billion cleanup of the spill, the Environmental Protection Agency described as one of the worst environmental disasters of its kind, continues.  After damages are awarded it is likely that TVA will pass those costs along to their customers.

And rest assured, the nearly $11 million TVA paid for outside legal help plus the work done by in-house lawyers, for which TVA is saying they can’t provide a total, will also be passed along to ratepayers.

Lesson learned here, if your energy generator messes up, you get to pay for it.

Read Full Post »

Today, the US Appeals Court in Washington, DC struck down an important pollution rule that would have protected up to 240 million Americans who live downwind from power plants that dump life-threatening pollution into our air like dangerous smog and soot.

The divided ruling to block the Cross State Air Pollution Standard is a setback for EPA’s efforts to protect the public health by implementing clean air standards.

EPA should appeal this decision. The Clean Air Act clearly provides the EPA authority to address this dangerous pollution. A higher court would likely overturn this dangerous decision that puts lives at risk.

EPA estimates that the Cross State Air Pollution Standard would have saved thousands of lives, improved air quality for more than 75 percent of Americans in 2014 alone, and provided vital clean air protections for millions of Americans across the Eastern United States, including:

  • Preventing states from allowing dangerous pollutants which are linked to heart and respiratory illnesses, to enter downwind states.
  • Saving up to 34,000 lives each year
  • Preventing 15,000 heart attacks each year
  • Preventing 400,000 asthma attacks each year
  • Providing $120 billion to $280 billion in health benefits for the nation each year

“Pollution from power plants is killing Texans and our climate,” said Tom “Smitty” Smith, the director of the Texas office of Public Citizen.  “This decision doesn’t mean that we don’t need to reduce power plant pollution and take action promptly.  In the end, failure to act will mean higher medical costs and continued reliance on out of state coal.”

The Cross State Air Pollution Rule (CSAPR) was designed to address smog pollution.  The federal court sent the rule back to the agency for revision and in the interim, told the EPA to administer its existing Clean Air Interstate Rule.  Oddly enough, the 2005 Clean Air Interstate Rule was ruled unlawful in 2008 by the same court that just overturned the new rule.

“Today’s decision only delays for a year at most a new transport rule. Smart utilities will use the temporary delay to develop plans to transition to renewables,” Smith continued. “The days of dirty coal are numbered and today’s ruling does nothing to change that fact.”

More about the Cross State Air Pollution Standard

The Cross-State Air Pollution Standard reduces the sulfur dioxide and oxides of nitrogen pollution emitted from coal-fired power plants across 28 eastern states. That pollution drifts across the borders of those states, contributing to dangerous — and sometimes lethal — levels of particulate (soot) and smog pollution in downwind states.

EPA issued the standard under the “Good Neighbor” protections of the Clean Air Act, which ensure that the emissions from one state’s power plants do not cause harmful pollution levels in neighboring states. While no one is immune to these impacts, children and the elderly are especially vulnerable. The Cross-State Air Pollution Standard would have provided healthier air for 240 million Americans in downwind states.

Nine states (Connecticut, Delaware, Illinois, Massachusetts, Maryland, New York, North Carolina, Rhode Island, Vermont), five major cities (District of Columbia, Baltimore, Bridgeport, Chicago, New York and Philadelphia), the American Lung Association, the Clean Air Council, Environmental Defense Fund (EDF), NRDC, Sierra Club, and major power companies (Calpine, Exelon and Public Service Enterprise Group) have all intervened in support of these vital clean air protections.

The litigation was brought by power companies, including AEP, Southern, DTE, GenOn, and Luminant. The state of Texas, the National Mining Association and the International Brotherhood of Electrical Workers supported their effort in parallel cases.

Read Full Post »

If you think that bonuses are supposed to reward success, you’re not alone, but the reality is more bizarre.  While Energy Future Holdings, formerly TXU, of Dallas continues its downward spiral toward bankruptcy, it’s handing out millions in bonuses to its executives.

The bonuses are called retention bonuses and are supposed to keep executive from fleeing the company as its prospects worsen.  At first glance, that makes some sense.  Recruiting replacements might be difficult.  After all, who is going to want to take charge of a failing company?  But then, who would want to hire an executive whose last job was running a company that failed so spectacularly?  And if bonuses increase as the company does worse, what incentive is there to improve performance?  Against the basic principle of capitalism, this system actually provides an incentive to fail.

Meanwhile, Energy Future Holdings is still making huge payments to the private equity holders that are responsible for over leveraging the company in the first place.  Henry Roberts Kravis, CEO of KKR received $30 million and his cousin and co-CEO, George Roberts received $29.9 million in compensation for 2011.  Clearly, the survival of Energy Future Holdings is not the main concern of either these private equity barons or the executives at the company, or else they wouldn’t be squeezing personal profit out of it when it’s floundering.

While employees at Energy Future Holdings and its subsidiaries may be worrying about what the future holds, those at the top are cashing in big.  No government payments or loans to the company or altering of the energy market will change that dynamic.

Don’t let your money be used to line the pockets of failing executives and private equity CEOs.

If you live in Texas, please sign our petition urging all Texas Legislators to oppose any public or ratepayer-funded bailout of Energy Future Holdings

Read Full Post »

No Bailout for Energy Future HoldingsEnergy Future Holdings, formerly TXU, of Dallas might be looking for a handout – from you.

Back in January, Moody’s changed Energy Future Holdings Corp’s rating outlook to negative and made it impossible to ignore what anyone who had been paying attention to the company’s quarterly reports already knew: Energy Future Holdings is on a path heading towards bankruptcy.  Now there are rumors floating around that the company may ask the Texas Legislature to approve a public or ratepayer-funded bailout.

Neither option would benefit majority of Texas citizens and we urge everyone to sign our petition in opposition to any bailout proposal for Energy Future Holdings

You might wonder how the profitable TXU end up as the failing Energy Future Holdings.  The answer is twofold.

First, in Texas, electricity prices are set based on the price of natural gas.  When natural gas prices were high, this meant that coal-fired power plants could reap additional profit.  This made TXU an attractive acquisition because the company owned many coal-fired power plants.  But now, natural gas prices have plummeted and those same coal-fired power plants, especially the oldest and most inefficient, are dragging Energy Future Holdings down.  The private equity investors made a big bet on the wrong energy source.

The second problem is that Energy Future Holdings was acquired in a leveraged buyout.  What that means is that instead of the investors paying the full amount to buy TXU, they financed the deal partially through loans to the company.  While the company has done a good job of staving off the day of reckoning by refinancing many of those loans, many are approaching maturity and additional refinancing options are limited by the negative prospects for the company.

So, while TXU was a profitable company with relatively low debt, Energy Future Holdings is an unprofitable company (because of low natural gas prices) with massive debt (because of the leveraged buyout) that is approaching maturity.  This isn’t a good combination and some people are going to lose money on the deal (many already have).  However, those losses shouldn’t be placed on Texas taxpayers or ratepayers.

Tell your state representatives and senators that you oppose bailing out failed corporations.

Most of us have to live with the consequences of our bad decisions.  Help us make sure that Wall Street and private equity firms must do the same.

Read Full Post »

Get tough on environmental crimes

Texas law requires that the our state environmental agency, the Texas Commission on Environmental Quality (TCEQ), consider a facility’s past compliance when making decisions regarding permits or inspections.  In fact, a facility’s Compliance History score affects every bit of its business with the TCEQ.

New rules currently proposed by the TCEQ to the Compliance History program would possibly bump up thousands of previously categorized “poor” performers to an “average” classification without having removed an ounce of pollution from our air and water.  The TCEQ has introduced even more limitations which will only further serve to keep every facility average.  These changes include increasing the score by which a performer falls into the poor category, separating repeat violations by media (i.e. administrative violations vs specific emissions violations), giving the TCEQ Executive Director extraordinary authority to change a facility’s classification, and handing out bonus points for ill-defined and unregulated voluntary measures that a facility can implement.

If the Compliance History program reforms go forward as currently written, we will be missing out on two major opportunities by continuing to pretend that all facilities in this state are average.

  • First, we miss a chance to implement the type of regulation that a lot of people in our state prefer.
  • Second, and most importantly, we miss a huge opportunity to try to clean up the air and water around our state in a business friendly manner.

At a time when the challenge of grappling with an increasing array of environmental and health threats to our state and its population gets harder every day, we cannot afford to let such opportunities pass us by.  We urge the TCEQ to reconsider its Compliance History rules, and deliver a program that works to the people of the state of Texas.

The public has a chance to weigh in on these rules and we ask you to consider coming to the public hearing on March 6th or sending comments to the TCEQ by March 12th.  Tell them:

  • Don’t pardon the polluters by increasing the threshold for being declared a poor performer
  • Don’t give the executive director the right to pardon polluters
  • Don’t give polluters a get out of jail free card for signing up for “defensive polluting” classes

As we know from our criminal justice system, swift sure and certain punishment deters crime.  We should apply these lessons to environmental crime too

Public Hearing : TCEQ will hold a public hearing on this proposal in Austin on March 6, 2012 at 10:00 a.m. in Building E, Room 201S, at the commission’s central office located at 12100 Park 35 Circle.

Comments can be submitted  by March 12, 2012.

Tips on Commenting Effectively

You will be providing comments for the rulemaking – 2011-032-060-CE: HB 2694 (4.01 and Article 4): Compliance History

  • Identify who you are and why the regulation affects you;
  • Explain why you agree or disagree with the proposed rulemaking;
  • Be direct in your comment; and
  • Offer alternatives, compromise solutions, and specific language for your suggested changes.

Read Full Post »

The U.S. Senate is set to take a vote to stop the Environmental Protection Agency’s (EPA) rules affecting downwind communities.  This single vote – tomorrow at noon – will be an up or down vote in the U.S. Senate and will dramatically affect the EPA’s work on clean air issues from stationary sources like coal plants.

S.J. Res. 27, sponsored by Sen. Rand Paul (R-KY), would block the EPA from moving forward with the regulation called the Cross State Air Pollution Rule (CSAPR).  Your call or email can make a difference in the air quality of your community.

Need contact information for your U.S. Senator?  Click here to find out who represents you, call or email your Senators and ask them to vote against Sen. Rand Paul’s S.J. Res. 27.

Read Full Post »

StateImpact is a collaboration among NPR and local public radio stations in eight pilot states to examine issues of local importance. The project seeks to inform and engage communities with broadcast and online news about how state government decisions affect people’s lives.

In Texas, a collaboration between local public radio stations KUT Austin, KUHF Houston and NPR with reporters Mose Buchele, Terrence Henry and Dave Fehling traveling the state, the focus will be on reporting on how energy and environmental issues affect you.  Click here to read their reports or listen to them on NPR member stations.  Below are links to just a few of the stories StateImpact – Texas has reported on recently.

Read Full Post »

Public Citizen, Sierra Club and SEED Coalition are calling on Luminant to come clean and retire, rather than idle, the old dirty coal plant, Monticello 1 and 2.

After receiving notice that Luminant Generation Company, LLC, has filed a Notification of Suspension of Operations for Monticello Units 1 and 2 with the Electric Reliability Council of Texas (ERCOT), these environmental groups called on Luminant to retire the units rather than idle them and be more forthcoming with long-term plans that will affect workers.  While Luminant and Texas have been in the headlines repeatedly for their opposition to the Cross State Air Pollution Rule, the rule would effectively help Dallas/Fort Worth meet the minimum public health air quality standards for the first time in years. Yet, if Luminant only idles the plants, then chooses to run them at full capacity next summer, the implications for Dallas/Ft Worth’s air quality remain unclear.

“Luminant has been frightening Texans with claims that power will become scarce if the company is not allowed to continue polluting unabated.  But other Texas utilities are cleaning up their act without difficulty, and this summer’s successful growth of coastal wind demonstrates there are multiple ways to meet Texas’ electricity needs.” said Jen Powis, representative of Sierra Club’s Beyond Coal Campaign.   “Indeed, the Public Utilities Commission and ERCOT both have multiple tools in their arsenal that can be used to ensure grid reliability as Texas moves beyond coal.”

Luminant states that the rule unfairly targets their existing generation, yet a review of the 2009 self-reported emissions inventory maintained by the Texas Commission on Environmental Quality demonstrates that the three Luminant coal plants (Big Brown, Monticello, and Martin Lake) are the top 3 industrial polluters in Texas among nearly 2,000 industrial plants. They are exceptionally dirty plants:

  • Combined they emit 25.5% of state industrial air pollution
  • Combined they emit 33.8% of state industrial SO2 air pollution
  • Combined they emit 11.4% of state industrial PM10 air pollution
  • Combined they emit 10% of state industrial NOx air pollution
  • Combined they emit 37.6% of state industrial CO air pollution

Comparing Luminant’s three coal plants only to other coal plants, however, shows an even more problematic tale.  Luminant’s Big Brown, Monticello, and Martin Lake are:

  •  46.8% of all Texas coal plant emissions (19 existing coal plants)
  • 41.5% of all Texas coal plant SO2 emissions
  • 36.0% of all Texas coal plant PM10 emissions
  • 30.6% of all Texas coal plant NOx emissions
  • 71.7% of all Texas coal plant CO emissions

“We call on Luminant to move beyond posturing and sit down at the negotiating table with EPA in good faith to discuss responsible retirement plans for these plants, like CPS Energy in San Antonio is doing. This approach would be good for consumers, our health and the environment,” said Tom “Smitty” Smith of Public Citizen’s Texas office.

“In order to protect the health of Texans, Luminant must plan now to retire these old coal plants. Monticello has often been the worst emitter of toxic mercury pollution in the nation,” said Karen Hadden, Executive Director of the Sustainable Energy and Economic Development (SEED) Coalition. “We don’t believe Luminant’s plans to retrofit these plants are economically feasible given the company’s poor financial health. Their plans rely on multiple expensive changes, any of which could simply fail to materialize. Luminant should commit to retire Monticello Units 1 and 2, and work with ERCOT, EPA, and public interest groups to prioritize clean energy generation.”

Public Citizen, Sierra Club and SEED Coalition call on Luminant to cease the use of scare tactics, and commit to a plan to retire its Monticello Units 1 and 2, paving the way for clean energy in North Texas. All three groups also call on ERCOT and the PUC to move forward by implementing new rules for energy storage, distributed renewable energy like onsite solar, energy efficiency, demand response, and a restructuring of the Emergency Interruptible Load System to assure there are maximum options available next summer.

“The Legislature has already granted broad authority to ERCOT and PUC to expand our use of these tools,” noted Cyrus Reed, with Sierra Club. “Now it’s time for them to step up to the plate, begin implementing these measures, and using their time to create solutions rather than fight clean air protections.”

Read Full Post »

The States Attorney general is leaping into the environmental fray once again with a filing with the federal appeals court to review the new EPA regulations while the Texas house state affairs hold hearings today, but Governors Perry’s attorney and chief is taking it one step farther filing against  four different rules according to the AGs web site:

“Specifically, Texas petitioned the U.S. Court of Appeals for the D.C. Circuit to stay the EPA’s greenhouse gas Endangerment Finding, the Light-Duty Vehicle Rule, the Prevention of Significant Deterioration (PSD) Interpretive Rule, and the Tailoring Rule.”

After a record-breaking heat wave it seems that its turning out to be better to litigate than try to find a solution (problem what problem), with all the state agencies now following lock step on message. It was back in Pres Bush’s administration that some of the rules were proposed and many of Texas’s and the rest of the countries industries have been gearing up and cleaning up to meet the new rules. After the White House caved on the ozone rules one can guess that they are expecting to get away with anything they want.

Reported shortages of different inhalers for the treatment of breathing difficulties by pharmacies,along with studies showing that Texas can meet the new cross state pollution rule and clean up the air don’t seem to carry any weight with this administration. Recent press releases on the loss of 500 jobs by Luminant (take a look at their stock market filings if you think this is just about federal intervention) and our previous post ,after the state just got done axing over 6000 jobs with its heavy-handed budget process, are making headlines. “Jobs for coal, but not for kids” might be a more appropriate  tag-line.

Its time to turn on the scrubbers, have the PUC come out with a strong energy efficiency rule to cut the load (a proven and cost-effective method) get a move on with the 500Mw non-wind renewable rule  that keeps getting tabled (and not paying companies to try to un-mothball old generation units). Just maybe we can get a little more fresh air and some non polluting peaking energy when we need it.

Leadership not lawyership is more of what we need.

###

By promoting cleaner energy, cleaner government, and cleaner air for all Texans, we hope to provide for a healthy place to live and prosper. We are Public Citizen Texas.

Read Full Post »

http://www.greenpeace.org/usa/en/news-and-blogs/campaign-blog/is-the-epa-trying-to-destroy-rick-perrys-texa/blog/36841/

Earlier this month Rick Perry denied the reality of climate change at a presidential debate. This week Governor “Good-Hair” has continued his crusade of fact fabrication and blamed the loss of 500 Texas jobs on the EPA and its new regulations (called the Cross-State Air Pollution Rule or CSAPR). This accusation came just after TXU/Luminant, the largest power generating company in Texas, announced it would be shutting down two of its coal units. While Luminant is taking a step in the right direction, this unethical tactic of blaming impending EPA regulations for job losses has become old hat for politicians like Perry and large fossil-fuel corporations like Luminant.

Accusations like this are nothing new. The fossil-fuel industry shrilly shouted the same kind of job-killing rhetoric over forty years ago when the Clean Air Act was passed. Instead of killing jobs, however, the Clean Air Act created them. Many studies have shown that the economic benefits, including job creation, of making polluters clean up their act far outweigh any negative impacts (such as layoffs at plants).

Unfortunately, it looks like President Obama has been drinking the same Industry-financed kool-aid as his main opponent. The President has announced that these crucial smog-reducing rules will be pushed back to 2013 (at the earliest). President Obama should be ashamed of his decision to delay these rules. He has, in effect, sacrificed human lives and the lungs of children because big-energy lobbyists have whined about it. The excessive pollution from Luminant’s three dirtiest coal plants is estimated to cause one premature death every three days. Whether Obama or Perry (as the likely candidate) wins the next presidential election, it looks like neither will stand up to corporate polluters for the sake of American lives. Visit Greenpeace online to sign a petition asking Obama to reverse this decision.

The EPA’s purpose is not to coddle fossil-fuel industries, nor to ensure their profit margins stay at ideal levels – it exists to protect human and environmental health. If companies in Texas like Luminant cannot conduct their business responsibly and acknowledge the pollution and harm they cause, then they must be held accountable by the public and our leaders.

Texans are paying the price for the cowardice of our politicians and the irresponsibility of these large energy corporations. These Luminant plants are some of the dirtiest coal plants in the country. Why should we have to pay higher medical bills and environmental clean up costs so that companies like Luminant can maximize profits?

This report from TR Rose Associates shows in detail how Luminant’s shuttering of these coal plants is most likely due to poor financial management. Considering that these plants are practically worthless for Luminant it makes sense for them to shut them down. This retirement has everything to do with the energy market and Luminant’s mismanagement of their resources and very little to do with any new EPA regulations.

Luminant should follow the example of the TVA, who announced back in April the closure of 18 coal plants. TVA further committed to retraining their workers for jobs in energy efficiency and renewable energy – both fields which are likely to employ more people than traditional fossil-fuels. Luminant could easily end this boondoggle and shut down all three of their large, old, dirty plants: Monticello, Martin Lake, and Big Brown. Texas has some of the best solar, wind and geothermal potential in the country. There is no reason, or excuse, for TXU to lay off any workers from any of these old plants, when the company could easily retrain them and invest in geothermal plants throughout that region. If these workers are abandoned it will be Luminant’s fault, not EPA’s.

These regulations should be seen as an opportunity for Texas to embrace renewable energy generation and to transition our power generation (and the relative jobs) to new facilities and programs that use this century’s technology, not last century’s. Luminant and Governor Perry should stop scapegoating the EPA and take responsibility for the health of the public and the future of energy generation in Texas. We Texans should do all we can to encourage and promote that kind of action.

Read Full Post »

Bastrop Texas wildfires

Wildfires rage over Labor Day near Bastrop, TX, southeast of Austin


Our hearts, prayers and thoughts go out to the people currently evacuated and who have lost their homes this holiday weekend. I, myself, having gone through losing a home to fire I send my best to all of you affected, and have already contacting folks via our church to find out how we can help. I’ll post links as soon as I can get them to give directly to disaster relief. UPDATE: KVUE has a great list they are updating with where to donate. Please give what you can.

This puts into focus several things that have been ruminating in my head all weekend, and it all comes back to this one question– Why does Rice play Texas?  This weekend, two of our nation’s best universities met on the football field. And while both Rice and University of Texas can duke it out on relatively equal footing on the basis of academics, Rice is. . . shall we say, not the athletic powerhouse that Texas is. So, why does Rice always begin its football season with a drubbing of 34-9 (hey, tip of the hat for getting 9 points on the scoreboard– I guarantee there will be teas that do less this year), with the Owls now having lost 41 games out of the last 42 meetings to the Longhorns? And here the answer lies with the other goings-on of this long weekend.

It started with a bang and whimper as our Caver-in-Chief, President Obama, announced he would overrule both the Supreme Court in Whitman v American Trucking Associations and the EPA in pulling back on the agency’s interstate smog rule that has been in the works since the Bush Administration. As Prof of Law Lisa Heinzerling points out in an excellent post over at Grist called Ozone Madness, this decision is wrong based on the law, the science, the economics, and the transparency.

While the President is trying to, I’d assume, take what he sees as the high ground and compromise with those people who claim that these regulations kill jobs, the opposite is, in fact, true. These National Ambient Air Quality Standards, or NAAQS, are set by the Clean Air Act and, defined by the Supreme Court, are to be based on the best available science about what levels of pollutants are healthy for human beings (people like you and me) to breathe. Tea partiers and some of their corporate paymasters in the fossil fuel industry have been caterwauling that these rules will be “too expensive” to implement, and therefore shut down a lot of old, dirty power plants.

coal smokestacks polluteUmmmm.. . . yes, please? Couldn’t we, nay, shouldn’t we shut them down? Our best available science tells us these pollution sources are making us sick. We need these life-saving regulations to help all of the sick children, the elderly, and just the plain folks who  suffer from asthma and other respiratory disease. Count up the missed school days, the missed work days, the premature deaths– count how they hobble our economy. How can children compete in a global economy if they are missing days from school sick because they can’t breathe? How much work is done not on time? How much lost productivity have we hamstrung our economic engine with to cater to people who don’t know how to compete in a modern energy economy against cleaner forms of production? Because the new EPA rules won’t shut down all power plants, only those who can’t compete, who can’t run cleanly. And since there is also good evidence to show that these sorts of life-enhancing regulations actually help, not hurt,  the economy. It also rebuts the White House’s own stated position that they posted just one. day. earlier. that clean air helps the economy, preventing in this year alone:

  • 160,000 premature deaths;
  • More than 80,000 emergency room visits;
  • Millions of cases of respiratory problems;
  • Millions of lost workdays, increasing productivity;
  • Millions of lost school days due to respiratory illness and other diseases caused or exacerbated by air pollution.

So aside from the doublespeak and the just plain bad policy, it looked like the Obama Administration is also taking early steps to signal that they will approve the Keystone XL pipeline to bring the world’s dirtiest and most carbon-intensive source of oil on the planet to Texas Gulf Coast refineries, despite weeks of protests involving thousands of people and hundreds of arrests.

The impact on the climate if this is approved? Well, according to Jim Hanson, one of our top climate scientists, he called it “essentially game over.” Or, as Bill Paxton in Aliens put it:  (WARNING: NSFW for swearsies, including the dreaded f-dash-dash-dash word)

[youtube=http://www.youtube.com/watch?v=dsx2vdn7gpY]

Ok, well, all kidding aside because this is deathly serious, as in the fate of the planet’s climate, THIS is what Jim Hanson told climate protesters outside the White House just before he was arrested for his part in the protest.

[youtube=http://www.youtube.com/watch?v=Lii5Q-meoro]

Bill McKibben, environmental activist and one of the ringleaders of the several weeks long protest event, said this on Friday about how this is not the end of the protests, it’s only the beginning:

[youtube=http://www.youtube.com/watch?v=EcBCLXBzYLg]

These are serious stakes. “Game Over” stakes. What does that mean? Well, for climate, if you’ve liked the record-breaking heat this year in Texas, you’re in luck, as this could easily become the new normal with climate change. And with the heat, we’ve got the huge economic impacts of the drought. For farmers and ranchers, the Dallas Morning News is reporting a 5 billion dollar loss. Thats Billion with a B, folks.

So next time someone starts talking about how it’s “too expensive” to deal with climate change, do what the Violent Femmes say to do and “Add it Up.” (warning:song lyrics also NSFW because of those darn swearsies)  Loss from hurricanes like Irene, loss from this summer’s floods and tornadoes in Joplin, loss from drought, loss from wildfires, loss to the economy from dirty air (since hotter temperatures mean worse smog), and tell me that just continuing to do nothing and just putting more carbon into the atmosphere is potentially the most expensive thing we can do.

JFK speaking at Rice University

So, what does this have to do with Rice vs Texas? Well, what we have here is political expediency and taking the easy path instead of fighting for what is right. Regulations, regardless of their impact on a multinational corporation’s bottom line, save lives, and improve lives. This is what Ralph Nader fought for when he wrote Unsafe at Any Speed. Corporate whining and their record-breaking profits are not more important than people, and people’s’ rights to breathe clean air, or live in a stable climate. I, for one, am not willing to give up on Central Texas, and let this become the new normal for climate. When I first came to Austin, my literal first impression of the area was “I now understand why people were willing to die at The Alamo to protect this land.”


Decades ago, another President came to Texas to challenge a nation to go to the moon before the end of the decade, and asked an assembled crowd at Rice University the magic question.

“Many years ago the great British explorer George Mallory, who was to die on Mount Everest, was asked why did he want to climb it. He said, “Because it is there.” … But why, some say, the moon? Why choose this as our goal? And they may well ask why climb the highest mountain? Why, 35 years ago, fly the Atlantic? Why does Rice play Texas?

President Kennedy answered his own question:

“We choose to go to the moon in this decade and do the other things, not because they are easy, but because they are hard, because that goal will serve to organize and measure the best of our energies and skills, because that challenge is one that we are willing to accept, one we are unwilling to postpone, and one which we intend to win.”

Climate change is the same challenge, which I previously hit on in another blog post where I also used this quote. It is certainly one we must be willing to accept, unwilling to postpone, and which we intend to win.

[youtube=http://www.youtube.com/watch?v=ouRbkBAOGEw]

But, most importantly, he notes that “But this city of Houston, this state of Texas, this country of the United States was not built by those who waited and rested and wished to look behind them. This country was conquered by those who moved forward.”

Let me take liberty with JFK’s speech where he talks about the need to build a space industry and replace it with a clean energy economy. “If this capsule history of our progress teaches us anything, it is that man, in his quest for knowledge and progress, is determined and cannot be deterred. The [creation of a clean energy economy] will go ahead, whether we join in it or not, and it is one of the great adventures of all time, and no nation which expects to be the leader of other nations can expect to stay behind in this race for [clean energy].  Those who came before us made certain that this country rode the first waves of the industrial revolution, the first waves of modern invention, and the first wave of nuclear power, and this generation does not intend to founder in the backwash of the coming age of [energy]. We mean to be a part of it—we mean to lead it.

Our economic torpor, our environmental problems, and yes, our hurricanes and droughts and wildfires, are ALL things we can solve if we are willing to take this same leadership role. Surely there will be pollution in the future, there will be recessions, there will be storms and droughts and fires– but they will NOT be supercharged by an ever-increasing blanket of carbon making our planet warmer and warmer. We must stop doing the same things over and over, relying on fossil fuels, and expecting different results. We must put our courage to the sticking place, and say that we will not allow the voices of a few, economically powerful and well-connected industries to wreak untold havoc on us and our neighborhoods.

You’ll notice, in JFK’s speech, he talks about the costs that a trip to the moon will require. He advocates not spending money recklessly, but in spending a large amount of money to win this challenge.

To be sure, all this costs us all a good deal of money. This year’s space budget is three times what it was in January 1961, and it is greater than the space budget of the previous eight years combined. That budget now stands at 5 billion 400 million dollars a year—a staggering sum, though somewhat less than we pay for cigarettes and cigars every year. Space expenditures will soon rise some more, from 40 cents per person per week to more than 50 cents a week for every man, woman and child in the United States, for we have given this program a high national priority—even though I realize that this is in some measure an act of faith and vision, for we do not now know what benefits await us. But if I were to say, my fellow citizens, that we shall send to the moon, 240 thousand miles away from the control station in Houston, a giant rocket more than 300 feet tall, the length of this football field, made of new metal alloys, some of which have not yet been invented, capable of standing heat and stresses several times more than have ever been experienced, fitted together with a precision better than the finest watch, carrying all the equipment needed for propulsion, guidance, control, communications, food and survival, on an untried mission, to an unknown celestial body, and then return it safely to earth, re-entering the atmosphere at speeds of over 25 thousand miles per hour, causing heat about half that of the temperature of the sun—almost as hot as it is here today—and do all this, and do it right, and do it first before this decade is out—then we must be bold

However, I think we’re going to do it, and I think that we must pay what needs to be paid. I don’t think we ought to waste any money, but I think we ought to do the job.”

President Obama will be giving a speech on jobs later this week. In it, I’d love to hear even a smidgen of the boldness and realism of Kennedy. I’d love for him to recant his statement on the EPA smog rule, and say that he will stop the Keystone XL pipeline, as it will only increase our dependence on oil when we need to be quitting it. But I doubt it.

But, it could be worse. We could be realistically thinking about electing as President of the United States someone who believes climate change is a hoax, that climate scientists are in it for the money, and the best way to run a state is to slash the budget of the Forest Service, the agency responsible for fighting fires in Texas, by $34 million– almost one-third of its budget– on the eve of one of the most destructive fire seasons ever. It is worth noting that during the sunset hearings on the Texas Forest Service I testified as to the need of the Forest Service to engage in extra forecasting as to what a climate-change-fueled fire season would look like and be prepared to fight it, so this is a little bit of a personal issue for me.

Apologies for the political birdwalk and the sniping at the two likely major-party candidates for the Presidency. What is clear is what JFK was talking about: we must do things like fight climate change not because they are easy, but because they are hard, and because they are a challenge we are willing to accept and unwilling to postpone. It is a fight we must win, it is a fight for our very existence as we know it here in Texas.

This Saturday my alma mater will be coming to Austin to play Texas, and as my BYU Cougars sit as 4.5 point underdogs against the Longhorns, they and we must remember that this is why Rice plays Texas. This is why BYU plays Texas. To challenge ourselves, and organize our best efforts to make us better. That is why Rice plays Texas. And that is ultimately why we must get our head in the game on clean energy and quit our addictions to fossil fuels and their campaign contributions.

###

For updates on where exactly wildfires are raging in Texas, please visit http://ticc.tamu.edu/Response/FireActivity/

Read Full Post »

The PUC wants to have a meeting at the end of August to try to figure out how to fix Texas’s experiment of a deregulated generation market, as we look like we are going to run out of energy during what could be ever increasing hot summers.
It seems the current market based behavior doesn’t send proper signals to companies to build new generation.
In addition our grid was designed to be almost completely isolated from the rest of the country so we cannot get help if its needed and available.
Generators use old, outdated generation to reduce costs and even turn off environmental controls to further lower costs at the expense of citizens health and to maximize profits.
The “new” market is based on scarcity pricing but if generation is truly scarce we have rolling blackouts, which are devastating to the economy and kill people.
Before deregulation the Utility commission would request new generation be built in a certain time frame and capacity and pay a preset profit margin to the companies that participated. They did the same thing with transmission lines and retail costs.
These are critical infrastructure needs and were protected from the swings of the financial and other markets. The process was covered under the term Total Resource Planning.
Now with the current heat wave and over a decade of deregulated markets we face the possibility that there will not be enough generation to meet the needs of Texas. We have many old and highly polluting plants that resemble the old steam locomotives of the 1800’s carting around a bin of coal to burn rocks and boil water. A larger amount of our critical infrastructure also consists of ancient natural gas “steamer” plants that are only run around 400 hours a year and are also highly polluting and have proven not to be very reliable but highly profitable.
Compare that to the newer generation of combined cycle gas turbines that resemble a jet engine and have several additional generators attached to it to recover the excess heat to generate even more energy with low stack emissions.
We have harvested significant amounts of non-polluting wind energy (coastal wind is over-performing expectations during the current crises) but the majority is located in just one region (West Texas) leading to problems of transmission congestion and generation variability. Some progress has been made on building wind projects in the areas along the Texas coast that provide energy much closer to the time that its needed, but more needs to be done.
Texas has made very little progress on adding an solar generation (that would provide energy when its needed most) because of a lack of policy leadership at the legislature and the PUC.

Now the PUC wants to tinker with the market to see if it can artificially raise the price of energy by using a “proxy” price as in “we will pay you more because our market system isn’t working, so pretty please build some new generators”.

This is a hell of a way to provide the resources that Texans need. Its time to get rid of the old smoking wreaks of generation plants that are carrying the load, sucking up our ever shrinking water supplies and fouling our air, and go to a controlled “regulated” modernized generation plan that uses all our resources with the least impact to our health, environment and wallets.
We used to pay a fair price for services delivered, now we just pay and hope the lights stay on.

###

By promoting cleaner energy, cleaner government, and cleaner air for all Texans, we hope to provide for a healthy place to live and prosper. We are Public Citizen Texas

Read Full Post »

A report by the Tennessee Valley Authority’s (TVA) Office of Inspector General found that the groundwater at some coal ash sites is contaminated with arsenic and other toxic pollutants and is a health hazard.

Levels at the Gallatin plant site in Sumner County and at the Cumberland site, 50 miles northwest of Nashville, are at health-hazard levels.  Beryllium, cadmium and nickel levels are above drinking water standards at Gallatin, as are arsenic, selenium and vanadium at Cumberland and arsenic was found above allowable levels repeatedly in groundwater at TVA’s’ Allen coal-fired plant in Memphis.

Coal ash, once considered harmless, has been shown to contain a variety of heavy metals in low concentrations that can leach into drinking water sources and pose “significant public health concerns,” an Environmental Protection Agency (EPA) report has said.

Currently, the EPA is evaluating rules for coal ash waste as a pollutant.  If the EPA regulates coal ash waste, it could have a much greater effect on many coal-fired plants in Texas coming into compliance than the new air quality rules will have.

Read Full Post »

Lights. Camera. Help is a nonprofit film festival dedicated entirely to nonprofit and cause-driven films.  This 3-day event held in Austin Texas, July 28th through July 30th, gives films-for-a-cause the attention they deserve by putting them up on the big screen in a theater setting.  One of the films, On Coal River,  showing at Lights. Camera. Help. is of particular interest to the community in Austin interested in energy.

We sometimes forget that turning on a switch at home affects people on the other side of the country or in other countries, and not necessarily in a good way.

Coal River Valley, West Virginia is a community surrounded by lush mountains and a looming toxic threat. ON COAL RIVER follows a former miner and his neighbors in a David-and-Goliath struggle for the future of their valley, their children, and life as they know it. Ed Wiley once worked at the same coal waste facility that now threatens his granddaughter’s elementary school. When his local government refuses to act, Ed embarks on a quest to have the school relocated to safer ground. With insider knowledge and a sharp sense of right and wrong, Ed confronts his local school board, the state government, and a notorious coal company’ Massey Energy’ for putting his granddaughter and his community at risk.

This film will be showing at the festival on Saturday, July 30th Saturday, sometime during the festival hours of 3pm – 6pm at t he The RGK Center for Philanthropy and Community Service  located at 2311 Red River Street – Free Parking in lot on Red River.  Single day passes are $13.00 and are available for Thursday, Friday, and Saturday, but only holders of the festivals exclusive three-day pass, which is $28.00, get in to all screenings, events, and after parties!

Film Summary and Trailer of “On Coal River” http://lightscamerahelp.org/2011/films/386-on-coal-river

To learn about other selections at the festival this year: http://lightscamerahelp.org/2011/selections

###

By promoting cleaner energy, cleaner government, and cleaner air for all Texans, we hope to provide for a healthy place to live and prosper. We are Public Citizen Texas.

Read Full Post »

« Newer Posts - Older Posts »