Climate policy conundrum for rural county in Washington
WENATCHEE — Less than a decade from now, the Chelan County PUD could be required to pay a dirty East Coast coal-fired utility for the right to continue to operate the PUD's own diesel-powered electricity generators in remote Stehekin.
It could also be subject to tough air-quality quotas that are thought to be unachievable using existing technology.
Sound illogical?
Those are some of the concepts that PUD analysts are trying to wrap their intellects around to prepare for state and federal laws that propose sharp limits on the amount of carbon dioxide (CO2) pollution or “greenhouse gases“ produced by industries, including electricity.
“The effects on us will be huge, with lots of big winners and big losers,“ Gregg Carrington, PUD external affairs director, said Monday after briefing commissioners on the pending CO2 predicament.
PUD staff drafted seven principles that seek to steer the debate to ensure that public hydropower and its customers receive fair treatment under the new laws.
PUD General Manager Rich Riazzi asked commissioners to vote on the guiding principles at their next meeting Oct. 1.
Carrington said federal debate on climate change wouldn't likely come until after a new president is elected next year.
New federal laws could be in effect by about 2014. The debate is still very preliminary, but he said he expects it to intensify — a lot.
Carrington said similar laws in Europe have resulted in electricity rates increasing 7 percent to 15 percent throughout the European Union and 25 percent to 35 percent in the United Kingdom alone.
A host of state and federal energy bills or other initiatives already presented propose to reduce U.S. greenhouse gas emissions 50 percent to 80 percent below 1990 levels by 2050.
Experts speculate that the proposed cuts could wipe out dirtier energy industries, leaving a supply gap that could only be filled by new, still nonexistent technology — clean-burning coal, power from ocean tides or wave movement or the ability to store unused electricity until it's needed.
Riazzi told commissioners that such a cleanup strategy could end up costing more.
“Setting goals that are unachievable today could create a lot of anomalies in the market — anomalies that give you a less-than-the-most-efficient solution,“ he said. Riazzi is on the energy committee of Gov. Chris Gregoire's Climate Advisory Team.
Members include representatives of public and private power, business and environmental sectors.
Neither Washington's lone coal-fired power plant nor coal plants nationwide would meet most of the proposed standards, Carrington said.
Investors are backing off on funding new coal plants. Coal currently supplies some 51 percent of all U.S. electricity, he said.
Wind power, as the only currently viable clean alternative to hydro, is becoming expensive and controversial.
“Coal's off limits, nuclear is still way out there (because of lengthy permitting) — what else is there?“ Commissioner Ann Congdon asked Monday.
After the meeting she added, “We're looking at the perfect storm ahead of us. We want to conserve, but it's going to cost us."
Continue reading this article from the Wenatchee World:
Chelan PUD prepares to react to climate laws
