SUBSCRIBE to Capitol Fax      Advertise Here      Mobile Version     Exclusive Subscriber Content     Updated Posts    Contact
CapitolFax.com
To subscribe to Capitol Fax, click here.
Nukes versus wind and an upcoming power play

Friday, Feb 7, 2014

* From Crain’s

The clock is now ticking for Exelon Corp.’s Clinton and Quad Cities nuclear power plants.

CEO Chris Crane said the company would have to decide by year-end on whether to shutter nuclear facilities that currently are losing money due to persistently low wholesale power prices. Analysts have identified the downstate Clinton plant and Quad Cities as the two in Illinois that fit this description. […]

A number of state politicians, including Senate Energy Committee Chairman Mike Jacobs, D-East Moline, who represents the district including Quad Cities, would want at least to explore ways to keep open the plants, each of which employ hundreds of union workers and contribute millions each year in local taxes.

Mr. Crane has been a vocal critic of state and federal subsidies to wind farms that are competing with Exelon’s plants. Tax credits enable wind farms in areas of the country that have a surplus of power, like Illinois, to run profitably even when wholesale prices are zero.

Those two possible plant closures would, indeed, be a major blow to the respective regional economies.

* Exelon wants to make its decision by year’s end, and the threat of closure could prompt legislative action

If lawmakers entice the company to enter into negotiations on what it would take to keep the plants open, given the deadline Mr. Crane laid down on closure decisions, a bill would have to be acted on in the legislative veto session that takes place in November.

That two-week session would be a challenging venue for acting on such a request, which inevitably would be highly controversial and would open the door to requests from every energy-related interest group.

No kidding.

- Posted by Rich Miller        


27 Comments
  1. - Abe the Babe - Friday, Feb 7, 14 @ 11:11 am:

    Production tax credit for wind…BAD

    Ratepayer subsidized, state-mandated, and above market long-term contracts for nuclear…GOOD

    Jacobs knows as much about the energy industry as Rauner knows about the plight of the poor. Yet, one writes energy policy and the other may get the governor’s keys.

    It is what it is I guess.


  2. - Tom Joad - Friday, Feb 7, 14 @ 11:14 am:

    Exelon always gets what it wants in Springfield. This is no different from previous demands. They have many former legislators who became lobbyists after supporting Exelon while they were in office.


  3. - Toure's Latte - Friday, Feb 7, 14 @ 11:22 am:

    FPL is no prize winner either. Industrial scale wind only works with massive subsidies somewhere in the mix.


  4. - Abe the Babe - Friday, Feb 7, 14 @ 11:26 am:

    “FPL is no prize winner either. Industrial scale wind only works with massive subsidies somewhere in the mix.”

    And nuclear isn’t subsidized? You think only investors paid for those ungodly expensive plants? And you think only investors will be paying for the storage of their nuclear waste which will still be around in 2114?

    Not a chance.


  5. - Ghost - Friday, Feb 7, 14 @ 11:33 am:

    Why would we want to susidize nuclear energy? because it worked so well for japan?

    How about we give them subisides to shutter the nuclear plants and replace them with wind farms in those locations…..


  6. - walker - Friday, Feb 7, 14 @ 11:43 am:

    How hard/expensive would it be to mothball them, in such a way that they can safely be reopened when our fossil fuel prices climb again? Nuclear should remain in the mix.


  7. - wordslinger - Friday, Feb 7, 14 @ 11:47 am:

    I’m not anti-nuke. I’ve lived all my life in Northern Illinois, the nuke plant center of the world, and I find my third eye helpful in my daily life.

    But if you can power up with wind or natural gas, it’s a no-brainer. Don’t need that nuke, don’t need that coal. Less risk and damage all the way around.

    That sounds anti-coal. And it is. Burning coal is poison and the mining of coal in this country has been a crime against humanity. Up there with slavery and Native American genocide, the most wretched excesses of capitalism in our history have been inflicted on the people of Coal Country.

    To my friends up north, do yourself a favor, once the ice breaks. This spring, get down to Little Egypt and the Ohio River valley and watch it come to life.

    It’s awe-inspiring, hauntingly beautiful. The folks are nice and the eatins good. Spend some money.

    And don’t take for granted the terrible price that has been paid by some to power up your air conditioner and microwave.

    http://www.youtube.com/watch?v=yqDVObM1kxc


  8. - VanillaMan - Friday, Feb 7, 14 @ 11:59 am:

    Who needs energy?
    Who needs jobs?

    I got Obamacare.


  9. - wordslinger - Friday, Feb 7, 14 @ 12:02 pm:

    I’m digging on the coal country tunes.

    Straight out of Maywood, Mr. John Prine:

    http://www.youtube.com/watch?v=bDCsc3CU5ww


  10. - muon - Friday, Feb 7, 14 @ 12:02 pm:

    In a normal mix of power, there is baseload, intermediate and peak power. Nuclear and coal operate 24/7 and are good for the baseload. Wind can add to the intermediate and provide peak power, but it doesn’t run all the time so it can’t be counted on for baseload.

    Illinois produces more baseload and intermediate power than it needs at present, so the power sources compete to supply the intermediate load which drives down the price. The state needs to make sure that in the long run there remain sufficient sources of baseload power, so one has to be careful about shuttering plants that have a long lead time to replace.


  11. - Bigtwich - Friday, Feb 7, 14 @ 12:48 pm:

    From

    http://en.wikipedia.org/wiki/Electricity_sector_of_the_United_States

    “However, as of 2013 most of the new applications had been abandoned due to the low cost of electricity generated with natural gas which had become available at cheap prices due to the boom in hydraulic fracturing; gas produced using natural gas being 4 cents a kilowatt hour versus 10 cents, or more, for nuclear.[18]”

    That may be beyond legislative power.


  12. - curmudgeon - Friday, Feb 7, 14 @ 1:00 pm:

    Wind farms?

    Gubmint-subsidized un-economic Bird Blenders.

    I agree with Muon that they CANNOT replace the baseload. Guess the environmentalists will have to keep looking for those dilithium crystals …


  13. - Newsclown - Friday, Feb 7, 14 @ 1:33 pm:

    Natural gas is still burning and releasing carbon; it’s just not as horrible as coal. But it also isn’t going to stay cheap forever. We should consider natural gas a transitional fuel while we upgrade our nuclear plants to the latest, safest designs.

    I would use a carrot and stick approach to Excelon, in that, we could subsidize Clinton and QC, in exchange for Excelon investing in newer generation 3 or 4 type plants for the future.

    One other idea: if the power cost is low, it could support a plant that uses a plasma arc to cleanly destroy toxic and non-toxic waste. while recovering metals and minerals for re-use. This would keep that stuff out of our dwindling landfill space, and lead to cleaner air and water as well. Excelon could make up in the waste disposal business, what it’s losing in he power business.


  14. - Demoralized - Friday, Feb 7, 14 @ 2:07 pm:

    Geez @VM. I guess people can work Obamacare into any conversation. *sigh*

    To the post . . . I would rather the plants be left operating and continuing to produce energy rather than just shutting them down. The complaint is that the wholesale power prices are too low for them to remain profitable. Would prices rise if those plants would shut down???


  15. - downstate commissioner - Friday, Feb 7, 14 @ 2:17 pm:

    Have heard nothing good about wind farms from others who have them in their areas. Constantly down for one reason or another, kills birds, changes weather patterns; the only way they exist is because of go


  16. - downstate commissioner - Friday, Feb 7, 14 @ 2:22 pm:

    oops, hit enter by mistake. …because of govt. subsidies; have seen some reports that show that be the time they become profitable, they will be ready to be torn down. A good idea that simply doesn’t work…


  17. - Tom Joad - Friday, Feb 7, 14 @ 2:31 pm:

    Many of the people who are complaining about wind farms are farmers who didn’t get a wind farm on their land.


  18. - Judgment Day (Road Trip) - Friday, Feb 7, 14 @ 2:33 pm:

    Here’s info. about the Clinton One nuclear plant. The link is: http://www.exeloncorp.com/powerplants/clinton/Pages/profile.aspx

    Clinton One produces right around 1,065 MW of base power (it operates at mid 90% (around 94%) efficiency. So, say 1,000 MW of power.

    Even at 1.2 MW per wind tower (the big ones), it’s still going to take an additional 830+ wind towers, and that at 100% max production, 100% of the time. How’s that going to happen?

    And where you going to site them all? Why don’t we do it all along the lakeshore and all throughout the City? Then we won’t have to worry about string mass numbers of new added gates onto the existing overloaded power grid to push the power up to Chicago?

    We should put the units where the power resources are used. Ghost, how about we put some in your back yard. In case you don’t realize it, most of the ‘land’ making up the Clinton One nuclear plant is actually Clinton Lake (Hint: it’s mostly covered in water). It’s really great boating and fishing in central Illinois.

    Rahm wants to bring more business to Chicago. How about 800 or so wind towers?


  19. - Illinois Clean Energy Coalition - Friday, Feb 7, 14 @ 2:43 pm:

    While wind is a clean generation technology, it doesn’t blow consistently and can’t meet 24/7 demand, but it is heavily subsidized. Nuclear has enormous capacity and efficiency and has a constant cost, without any carbon emissions. Natural gas produces significant carbon emissions and its price fluctuates, sometimes widely.

    Nuclear power is not subsidized the way wind and solar are. (There is a federal backing of insurance for plants which has not cost taxpayers a single dime, ever.) It’s fate is tied to market rates that are impacted by government meddling, such as subsidies.

    Illinois has the 11th lowest electricity costs in the country and even lower in comparison to large, industrial states. We have a reliable and competitive market that helps our economy.

    The bottom line here is that the best intentions (Clean energy) have led to government distorting the market and it is having negative consequences that taxpayers will end up paying for, either in higher energy costs, power shortages, or loss of billions in economic impact.


  20. - pkd - Friday, Feb 7, 14 @ 2:58 pm:

    The biggest reason power prices have come down is the huge decrease in natural gas prices (i.e. fracking). That’s followed by the decline in usage (energy efficiency and the great recession). The wind issue is largely a red herring. You could eliminate all energy subsidies tomorrow and it wouldn’t change the fundamental market reality. Also, if you actually eliminated all generation subsidies tomorrow Exelon stop would drop like a rock (that insurance subsidy is GIGANTIC - see Japan).


  21. - pkd - Friday, Feb 7, 14 @ 2:59 pm:

    Oops, Exelon stock would drop like a rock


  22. - Illinois Clean Energy Coalition - Friday, Feb 7, 14 @ 3:42 pm:

    Actually, the wind tax credit is a very big factor in market prices. Wind generates the most power when demand is lowest (night/winter) and because nuclear operates 24/7 it is forced to put power on the grid essentially for free. Wind producers still make money from their tax credit even when the generate free electricity.

    So the playing field isn’t level.

    We want to move to clean energy, if we turn the marketplace upside down in the process it will hamper our economy, cost us jobs and force us to rely on sources that add to carbon emissions.


  23. - wordslinger - Friday, Feb 7, 14 @ 3:52 pm:

    So sad to read these stories about how The Man keeps ComEd down.

    Fight the power!


  24. - pkd - Friday, Feb 7, 14 @ 3:54 pm:

    ICCC - your point is no more a “market” argument then any other position, including that from the wind industry. Consider what Exelon may be seeking here: a state-guaranteed long-term contract (by definition) at above market rates. Doesn’t exactly sound very free market. Of course that’s because energy markets aren’t exactly markets in the traditional sense. If it wasn’t for fracking and the decline of usage, exelon wouldn’t really be pushing this argument much anyway. Witness the fact that it used to be a big supporter of wind (and benefits from the exact same tax credits the wind folks do)


  25. - Illinois Clean Energy Coalition - Friday, Feb 7, 14 @ 4:06 pm:

    Well we don’t know yet what Exelon may want. More market manipulation just exacerbates the issue. It may be the only short-term fix they see available.

    What is clear is that if we want to reduce carbon emissions, keep an abundant and reliable supply, and competitive prices, we need out nuclear fleet to be part of our mix.


  26. - Endangered Moderate Species - Friday, Feb 7, 14 @ 4:09 pm:

    ===Have heard nothing good about wind farms from others who have them in their areas.===

    We have them in our area and there are is small, but loud opposition. The majority of people are okay with them

    . They don’t generate the revenues or payroll of a coal or nuke plant but they are better neighbors.


  27. - cleaning - Thursday, Feb 27, 14 @ 6:07 pm:

    They can be used to soak up liquids, but also when wet, they can sanitize and clean any surface.
    Assume that out of a hundred who see your advertisement approximately one person is
    interested. With a portable cleaner the cleaning is faster and
    more easy compared to upright cleaner for small areas, but of course it is far from practical to use for a whole room.


Sorry, comments for this post are now closed.


* Oops
* CPS running on fumes
* This has to change
* Today's number: 86 percent
* Department of Revenue projection slammed as "absurd"
* Looking on the bright side
* *** UPDATED x1 - Cullerton responds *** Manar proposal whacked by GOP
* Stuff that sounds good
* Illinois Credit Unions: Giving Back to Our Communities
* State receipts down $5 billion, unpaid health insurance claims top $3 billion
* Lawsuit filed by unpaid social service providers
* Games people play
* Lucas threatens to walk
* Whistling past the graveyard
* Group warns another power generator has hands out in GA
* *** UPDATED x1 - Mitchell won't call it *** Graduated tax hike blasted
* Today's quotable
* *** LIVE *** Session Coverage
* SUBSCRIBERS ONLY - Supplement to today’s edition
* SUBSCRIBERS ONLY - Today's edition of Capitol Fax (use all CAPS in password)
* Yesterday's blog posts

Support CapitolFax.com
Visit our advertisers...

...............

...............

...............

...............

...............

...............


Search This Blog...

Search the 98th General Assembly By Bill Number
(example: HB0001)

Search the 98th General Assembly By Keyword

  
* FM radio activated with update to T-Mobile Galaxy S7, S7 edge
* The first Verizon, unlocked HTC 10s are shipping
* There’s 20W fast charging on the OnePlus 3, but what’s it called?
* Fitbit shares tank after reporting a weak outlook amid rising competition
* May the Kyocera DuraForce XD be on T-Mobile (on May 11)
* Tesla hits the accelerator, aims to build 500,000 cars a year by 2018
* Xiaomi Mi Band 2 delayed with mass-production issues to blame

* Danks has no hard feelings for White Sox
* White Sox give the people what they want with John Danks DFA
* Quintana quiets Red Sox as Abreu stays hot
* Abreu's bat sizzling after early fizzle
* Rodon moves up as series continues with Red Sox
* Quintana quiets Red Sox as Abreu sets pace
* Quintana quiets Red Sox as Abreu stays hot

...............


Main Menu
Home
Illinois
YouTube
Pundit rankings
Obama
Subscriber Content
Durbin
Burris
Blagojevich Trial
Advertising
Updated Posts
Polls

Archives
May 2016
April 2016
March 2016
February 2016
January 2016
December 2015
November 2015
October 2015
September 2015
August 2015
July 2015
June 2015
May 2015
April 2015
March 2015
February 2015
January 2015
December 2014
November 2014
October 2014
September 2014
August 2014
July 2014
June 2014
May 2014
April 2014
March 2014
February 2014
January 2014
December 2013
November 2013
October 2013
September 2013
August 2013
July 2013
June 2013
May 2013
April 2013
March 2013
February 2013
January 2013
December 2012
November 2012
October 2012
September 2012
August 2012
July 2012
June 2012
May 2012
April 2012
March 2012
February 2012
January 2012
December 2011
November 2011
October 2011
September 2011
August 2011
July 2011
June 2011
May 2011
April 2011
March 2011
February 2011
January 2011
December 2010
November 2010
October 2010
September 2010
August 2010
July 2010
June 2010
May 2010
April 2010
March 2010
February 2010
January 2010
December 2009
November 2009
October 2009
September 2009
August 2009
July 2009
June 2009
May 2009
April 2009
March 2009
February 2009
January 2009
December 2008
November 2008
October 2008
September 2008
August 2008
July 2008
June 2008
May 2008
April 2008
March 2008
February 2008
January 2008
December 2007
November 2007
October 2007
September 2007
August 2007
July 2007
June 2007
May 2007
April 2007
March 2007
February 2007
January 2007
December 2006
November 2006
October 2006
September 2006
August 2006
July 2006
June 2006
May 2006
April 2006
March 2006
February 2006
January 2006
December 2005
April 2005
March 2005
February 2005
January 2005
December 2004
November 2004
October 2004

Blog*Spot Archives
November 2005
October 2005
September 2005
August 2005
July 2005
June 2005
May 2005

Syndication

RSS Feed 2.0
Comments RSS 2.0
WordPress

Loading


* Social Service Advocates Sue Illinois Governor .....
* 64 service agencies sue Rauner for $100M past d.....
* Local social-service agencies join coalition in.....
* Analysis adds fuel to fight over Illinois schoo.....
* Analysis adds fuel to fight over Illinois schoo.....
* Illinois Service Agencies Sue Governor for $100.....
* Analysis adds fuel to fight over Illinois schoo.....
* Analysis adds fuel to fight over Illinois schoo.....
* Analysis adds fuel to fight over Illinois schoo.....
* Analysis adds fuel to fight over Illinois schoo.....


* Ex-MillerCoors official pleads guilty in $8M fraud
* Durbin to meet with NGA director on St. Louis headquarters
* Illinois Democrats drop plan to tax wealthy at higher rates
* Trial set for 2 men accused of dismembering woman's body
* Urbana officers hope crime lab can help solve 1988 cold case
* Chicago mayor hopes court appeal can save Lucas museum
* Illinois service agencies sue governor for $100M past due
* Illinois senator wants to stop using 'alien' for immigrants
* EXCHANGE: Veteran's lost dog tag returned 45 years later
* Illinois youth home worker pleads not guilty in teen's death

* Illinois service agencies sue Rauner for $100M past due
* Durbin to meet with NGA director on St. Louis headquarters
* Illinois lawmakers urge Boeing not to sell aircraft to Iran
* Families sue over transgender access to locker room in Palatine
* After Hastert sentencing, Illinois weighs change to child sex abuse law
* Sponsor shelves graduated income tax proposal, then blames Rauner for lack of votes
* Illinois Senate OKs measure to stop using 'alien' in reference to immigrants
* Advocacy group says Illinois fantasy sports bill needs work
* Legislative remap amendment proposal receives approval in Illinois House
* Caterpillar moving mining division offices to Arizona

* Ex-MillerCoors exec pleads guity to defrauding company of $8.6 million
* Ex-MillerCoors exec pleads guity to $8.6 million fraud
* Tribune Publishing board unanimously rejects Gannett offer
* Rescue of troubled South Side bank keeps it under black ownership
* Suburban families sue over transgender access to locker room


* Medical examiner who turned around Cook County morgue resigns
* Chicago man charged after $2M worth of pot found near Naperville
* High school student hit by car, seriously injured in Ashburn
* Now we’ll see what kind of chumps for Trump we really are
* Chicago student wins August Wilson Monologue competition
* Man shot in East Side
* Jack Higgins’ Perspective for May 5, 2016
* Man charged with fatal shooting of Buffalo Grove woman on I-94
* Brown: Social service providers tell Rauner to pay up
* Battle of the bulge tougher than ever imagined


* Man charged in death of Buffalo Grove mom shot in car in Wis.
* Kasich drops out; Trump's open nomination path causes agony for some in GOP
* Errors call into question thousands of grades for East Aurora students
* Cancer Treatment Centers of America lays off 81 in Zion
* Randy Blaser: The rise of Trump and how it happened
* United's Jeff Smisek, Yahoo's Marissa Mayer and the high cost of mediocrity
* Girl hit by car, seriously injured in front of SW Side high school
* Tribune Publishing rejects Gannett offer
* Center for American Indians looking to move out of Uptown, elders wary of relocation
* Boy brings knife to school to fend off bullies, gets expelled: officials


* U.S. Sen. Dick Durbin: There are compelling reasons to close Guantanamo
* Illinois service agencies sue Rauner for $100M past due
* Durbin to meet with NGA director on St. Louis headquarters
* Illinois lawmakers urge Boeing not to sell aircraft to Iran
* Families sue over transgender access to locker room in Palatine
* After Hastert sentencing, Illinois weighs change to child sex abuse law
* Sponsor shelves graduated income tax proposal, then blames Rauner for lack of votes
* Illinois Senate OKs measure to stop using 'alien' in reference to immigrants
* Advocacy group says Illinois fantasy sports bill needs work
* Legislative remap amendment proposal receives approval in Illinois House


* South Side Mission seeks counselors for Camp Kearney
* Paxton man charged in Rossville home invasion
* Tate's teammates come to his defense in court filings
* Roadwork for high-speed rail starts this month in Normal
* Champaign man gets six years in drug case
* Crash in Edgar County kills one
* Woman sentenced to 20 years for strangling boyfriend
* Probation violations bring prison term
* The Health Reporter Is In: May 4, 2016
* Street closures listing


* District 211 sued over transgender student's locker room access
* Dist. 25 to move two mobile classrooms to Greenbrier
* Driver's license facility may be sent packing from Libertyville
* COD set to ink three-year contract with new president
* Kane County raise proposal revived to include more politicians

* House lawmakers overcome hurdle on key tra...
* Rodney Davis talks funding with Bloomingto...
* The agency that fought Illiana gets a new ...
* Rep. Dold takes educational cruise down Ch...
* Lawmakers decry high turnover rate of VA h...
* CBD Oil, and politics
* Simon considering state Senate bid
* Killer Congressman Tom MacArthur trying to...
* Shutdown? State may not notice
* Rep. Bob Dold

* Durbin to meet with NGA director on St. Lo......
* Durbin to meet with NGA director on St. Lo......
* Durbin to meet with NGA director on St. Lo......
* Durbin to meet with NGA director on St. Lo......
* Durbin to meet with NGA director on St. Lo......

* Kirk campaign, Brendan Kelly spar over pho......

* Rendering For Residential Building on Irving Park Revealed
* Sanders Upsets Clinton, Wins Indiana Primary
* Human, Social Services Agencies Suing Illinois Over Breach Of Contract
* Cruz Drops Out Of 2016 Presidential Race
* Illinois Panel Votes Down Plan To Shutter Kewanee Youth Detention Center
* Kasich To Exit 2016 Presidential Race
* Emanuel Makes Play To Keep Lucas Museum In Chicago
* May Day pics, posts and tweets.
* George Lucas floating on Lake Michigan as seen from the spot on the Lakeshore where his museum isn’t going to be built.
* Downtown Chicago Security Guards 'Win Big' Under New Labor Contract


* Emergency Management Officials, National Weather Service Encourage Winter Preparedness - November is Winter Weather Preparedness Month in Illinois
* Keep Your Family Safe This Winter - November through February are leading months for carbon monoxide related incidents
* Governor Takes Bill Action
* Illinois Department of Labor Director Hugo Chaviano Awards Governor’s Award for Contributions in Health and Safety to the Illinois Refining Division of Marathon Petroleum Company LP
* State Regulator Elected Treasurer of Interstate Medical Licensure Compact




Hosted by MCS -- CapitolFax.com Privacy Policy -- SUBSCRIBE to Capitol Fax -- Advertise Here -- Mobile Version -- Contact Rich Miller