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All over the place

Friday, Nov 6, 2015 - Posted by Rich Miller

* AP at 8:09 am on October 30th

A spokeswoman for Gov. Bruce Rauner says Illinois environmental officials are working to abide by new federal power plant limits that are being challenged by more than two dozen other states.

Rauner responded cautiously after the early August unveiling of President Barack Obama’s much-anticipated Clean Power Plan to reduce greenhouse gas emissions from domestic power plants.

Spokeswoman Catherine Kelly tells The Associated Press the Illinois EPA “is still reviewing the rule and determining potential compliance pathways.”

* Greg Hinz on October 30th

After months of holding fire, Democratic U.S. Senate hopeful Rep. Tammy Duckworth is ripping GOP incumbent Mark Kirk on what has been one of his traditional strengths in this left-leaning state: the environment.

In a statement, Duckworth spokesman Matt McGrath accused the incumbent of “gestures (that) do not get emptier than this” and charged Kirk with trying to kill a needed clean-power plan.

But Team Kirk suggested Duckworth is trying to curry favor with green groups that are helping finance her campaign and described the senator as an “aggressive” advocate of cleaning up the Great Lakes.

At issue is Kirk’s decision earlier in the week to formally oppose the limits on power plants proposed by President Barack Obama. The president says the limits are needed to curb greenhouse gases and carbon pollution, but conservatives say there would be a big economic cost, with Kirk citing the potential impact on Illinois’ coal industry.

* AP at 1:07 pm on October 30th

A spokeswoman for Gov. Bruce Rauner says Illinois officials are still reviewing their options regarding federal power plant limits being challenged by more than two dozen other states.

Rauner responded cautiously after the August unveiling of President Barack Obama’s much-anticipated Clean Power Plan to reduce greenhouse gas emissions from domestic power plants.

Spokeswoman Catherine Kelly says the Illinois EPA “is still reviewing the rule and determining potential compliance pathways.”

The governor’s office says the AP made a mistake with its original report and the second story is the accurate one. An AP employee didn’t respond to an e-mail asking for clarification, but the quote remained the same, so I’m betting it was an error. Either way, the governor can take action without legislative authority here and he is one of just a tiny number of governors who won’t say where they stand.

* Hinz on November 4th

Attorney General Lisa Madigan today joined attorneys general from 17 other states in seeking to intervene in a case pending before a U.S. Court of Appeals that could block proposed anti-carbon pollution rules issued by the Environmental Protection Agency.

The rules have been bitterly attacked as an over-reach by much of the power industry, with attorneys general from other states moving to overturn them in court.

* The usually staunchly pro-coal Southern Illinoisan on October 31st

Thumbs up to the Rauner administration for its willingness to comply with new Environmental Protection Agency clean air standards.

More than two dozen states are suing the federal agency, looking to upend the limits on greenhouse gas emissions. Illinois, however, is researching ways to comply, according to Rauner’s staff.

Climate change is real. And policies such as the EPA’s are an appropriate response.

* Kurt Erickson today

Lawmakers who represent Illinois coal country are bristling at Attorney General Lisa Madigan’s decision to support the Obama administration’s new clean energy rules.

With the rules expected to impact coal production and coal-burning power plants, members of the Illinois House and Senate say jobs in their downstate districts could be lost if the administration beats back a challenge from states that oppose the regulations.

“It does strike a chord with me. I don’t appreciate that,” state Rep. Brandon Phelps, D-Harrisburg, said Thursday. “I want Lisa Madigan to be attorney general for the whole state. We are one big state. We cannot live without these coal jobs.”

Illinois ranks fourth in the nation in coal production, with nearly 5,000 miners earning an average salary of about $85,000 per year. The number of miners has been reduced by more than half over the past 20 years because of increased regulation and mechanization.

Phelps represents Saline County, one of the top coal producing counties in Illinois.

* Meanwhile, in a seemingly unrelated development

Dynegy says it’s closing its Wood River [coal-fired] Power Station in southern Illinois because of economic reasons.

The company said in a news release Wednesday it’s closing the 465-megawatt facility in Alton because of its “uneconomic operation” in a “poorly designed wholesale capacity market” in central and southern Illinois. That system, the company said, doesn’t allow generators to recover costs.

The facility has to compete in capacity auctions, Dynegy said, with plants in other states with regulated markets and higher guaranteed compensation.

“Mixing these two regulatory regimes together in the same capacity auction puts all generating units in central and southern Illinois at financial risk regardless of fuel type, shifting jobs and the economic benefits of hosting generating plants from central and southern Illinois to neighboring states,” Dynegy said.

       

11 Comments
  1. - Six Degrees of Separation - Friday, Nov 6, 15 @ 12:00 pm:

    We can always sell the coal to Germany if we can’t use it here.


  2. - DuPage - Friday, Nov 6, 15 @ 12:01 pm:

    Rauner: I can’t take a position on this issue until it is determined which position will help my turnaround agenda.


  3. - Anon221 - Friday, Nov 6, 15 @ 12:06 pm:

    FERC and Dynegy-

    http://www.transmissionhub.com/articles/2015/10/ferc-sets-technical-conference-and-investigation-in-miso-proceedings.html

    http://www.rtoinsider.com/ferc-miso-capacity-market-tech-conference-18939/

    Also, air quality in metro-east and the coal ash pond are also liabilities for the Wood River plant.

    http://midwestenergynews.com/2014/07/28/in-illinois-residents-demand-answers-about-coal-plants-future/


  4. - Pius - Friday, Nov 6, 15 @ 12:07 pm:

    We are already selling coal to Germany.


  5. - Dilemma - Friday, Nov 6, 15 @ 12:11 pm:

    I’m pretty sure the governor’s base won’t like any position that might be on the side of doing something about climate change. Seems like a taboo subject.


  6. - Mama - Friday, Nov 6, 15 @ 12:13 pm:

    =”Dynegy says it’s closing its Wood River [coal-fired] Power Station in southern Illinois because of economic reasons.
    The company said in a news release Wednesday it’s closing the 465-megawatt facility in Alton because of its “uneconomic operation” in a “poorly designed wholesale capacity market” in central and southern Illinois.”=
    This is hogwash!


  7. - Ok - Friday, Nov 6, 15 @ 1:17 pm:

    Rauner - “we should just create a right-to-work zone in Alton, and then they wouldn’t have to close.”

    “Hey, is there somethin’ goin’ on over in Clinton and in Cordoba, too?”


  8. - Arizona Bob - Friday, Nov 6, 15 @ 1:28 pm:

    @Mama

    =”Dynegy says it’s closing its Wood River [coal-fired] Power Station in southern Illinois because of economic reasons.
    The company said in a news release Wednesday it’s closing the 465-megawatt facility in Alton because of its “uneconomic operation” in a “poorly designed wholesale capacity market” in central and southern Illinois.”=
    This is hogwash!

    Got some factual back up on this Mama, or are you just blowing off superheated steam?LOL

    I worked in the power industry, including gas and coal fired plant design, for over 17 years. The rules for operating ANY coal fired plant are now so onerous that it’s not a question IF you’ll have to shut down, but WHEN!

    Unless you’ve just replaced your turbine generators and most of your balance of plant, which is unlikely because it also would have made the more stringent EPA rules kick in, the only sound move is to shutter the doors just as Midwest Generation has had to do for many stations.

    Illinois seems to be taking the “California power road” using the “not in my back yard” approach to generation. Before long, power generation locally will slow to a trickle and we’ll be buying power from other states off the grid. That’s fine until you shut down your generating capacity and grid supply drives prices through the roof. Then, when those grid suppliers don’t see profit worth the risk to build new plants, they just keep what supply remains boiling while prices go up dramatically.

    We’re building natural gas pipelines to the southeast to accommodate future NG power plants, and they’re also building new nukes. That’s where industry and manufacturing in the US will grow because of affordable, dependable power and lack of oppressive union and ambulance chaser political clout.

    While this is happening, the Dems will continue to whine about manufacturing and middle class declines in Illinois.

    Well, I guess your reap what you sow.

    I guess “Stuck on Stupid” is becoming the new state motto.


  9. - Dilemma - Friday, Nov 6, 15 @ 2:08 pm:

    AB = The rules for operating ANY coal fired plant are now so onerous that it’s not a question IF you’ll have to shut down, but WHEN! =

    The problems with coal operation predate “new” EPA rules. Coal is just not as cost effective as other power options. Now, bringing an aging plant into compliance with new rules doesn’t make any economic sense. Why build a new coal plant when there are other, better, cleaner options? Obviously protecting Illinois jobs is a good thing, and ensuring we have met our energy needs is necessary, but I’m not going to lose any sleep about closing an aging coal plant. Coal energy has cost taxpayers millions in subsidies for years, perhaps it is time to move on.


  10. - Going nuclear - Friday, Nov 6, 15 @ 2:23 pm:

    AZ Bob,

    Dynegy and NRG, the state’s two largest power producers, have been working to update the pollution controls at a number of coal plants in Illinois, including the Waukegan, Powerton and Baldwin plants. These two companies are retiring or switching their older, less efficient plants (Edwards, Joliet, Will County and now Wood River) to natural gas. Coal will continue to play a role in the Illinois generation portfolio, but it will be more prudently balanced with nuclear and growing levels of renewables and natural gas over the coming years.


  11. - Three Dimensional Checkers - Friday, Nov 6, 15 @ 4:19 pm:

    The state may be analyzing whether some of its other programs increasing efficient electricity consumption will count towards the Clean Power Plan. Any transition to natural gas could count toward the Clean Power Plan as well.

    I don’t think coal is going away in the near future, but it will definitely account for less of the state’s energy portfolio.


Sorry, comments for this post are now closed.


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