Calpine’s New Plant Hosts Governor
Calpine Corp. led Gov. Jack Markell and Environmental Protection Agency Secretary Gina McCarthy on a tour of its under-construction Garrison Energy Center in Dover last week. “This project is putting people to work and will bring the cost of energy down,” Markell commented after the tour of the $400 million combined-cycle plant. “What is there to argue about?” Calpine expects to expand the plant to eventually produce 618 MW of power with the first 309 MW scheduled to go on line in mid-2015.
More: Delaware State News
ILLINOIS
Lawmakers Free Up $30M in Solar Funds
The General Assembly passed a bill that frees up $30 million in existing state funds for renewable energy generation investment. House Bill 2427 calls for the money, which comes from the Renewable Energy Resources Fund, to be used for distributed solar generation projects with less than 2 MW of capacity. The money is to be administered by the Illinois Power Agency, which has so far committed only $3 million of the existing $54 million in the fund. HB 2427 sets out new procedures calling for IPA to commit the $30 million on solar projects by June 2015.
More: National Law Review
INDIANA
Former URC Chief No Longer Criminal Target
Indiana Attorney General Greg Zoeller has decided to stop pursuing criminal charges against the former head of the Utility Regulatory Commission after a state trial court judge dismissed the charges. Zoeller said it was unlikely an appeal would be successful.
David Lott Hardy was fired in 2010 and indicted on official misconduct charges in 2011 for allowing the commission’s lead attorney to continue to work on cases involving Duke Energy even after he knew the lawyer was seeking a job with the utility.
The judge dismissed the case after the legislature amended the official misconduct statute to exclude the conduct Hardy was accused of from being considered a criminal act.
More: Ft. Wayne Journal-Gazette
State Erred in Killing Program, Watchdog Group Says
A consumer watchdog group said that lawmakers were “short-sighted” when they killed the state’s fledgling Energizing Indiana program at the end of last year without funding a replacement.
The energy-efficiency program could have helped Indiana meet the new Environmental Protection Agency carbon emission limits, according to Citizen’s Action Coalition Executive Director Kerwin Olson. “We kind of shot ourselves in the foot here in Indiana by eliminating these programs,” he said. “It was a short-sighted decision and more so now that we’ve seen these carbon rules that would allow efficiency programs to be used as a tool to meet these goals.”
More: South Bend Tribune
MARYLAND
Offshore Wind Energy Survey Results Released
A high-definition oceanographic and geophysical survey of Maryland’s Wind Energy Area, expected to be crucial for the development of offshore wind projects off Maryland, was released last week by the Maryland Energy Administration. The survey, which mapped the seafloor geology of the state’s designated Wind Energy Area, is thought to be the first such mapping done by any state in the U.S. The engineering firm contracted to do the study plotted depth, seafloor conditions and seabed geology, and looked for shipwrecks. “The data we are making available will reduce the risks and costs of offshore wind energy developments, protect the marine environment and contribute to our scientific understanding of the oceans off our coast,” MEA Director Abigail Ross Hopper said.
More: Domestic Fuel
State Can’t Subsidize Power Plants, Court Says
The U.S. Court of Appeals in Richmond last week upheld an earlier federal court ruling prohibiting Maryland from subsidizing new power plants in the state, saying Maryland’s proposed plan would usurp the Federal Energy Regulatory Commission’s authority over interstate power rates.
The ruling invalidates the Maryland Public Service Commission’s April 2012 order directing Baltimore Gas and Electric Co., Potomac Electric Power Co. and Delmarva Power & Light Co. to enter into contracts that guaranteed CPV Maryland LLC an income stream so that it could finance construction of the Charles County facility. PPL Corp., PSEG Power LLC and Essential Power LLC were the plaintiffs against Maryland.
“A wealth of case law confirms FERC’s exclusive power to regulate wholesale sales of energy in interstate commerce, including the justness and reasonableness of the rates charged,” the court said. “Maryland has sought to achieve through the backdoor of its own regulatory process what it could not achieve through the front door of FERC proceedings.”
More: Bloomberg News
MICHIGAN
Chesapeake Misled Land Owners, State Says
The state Attorney General’s office last week charged Chesapeake Energy Corp. with felony fraud charges, saying Chesapeake leasing agents conned land owners out of the ability to seek competing bids for oil and gas leases in 2012. The state earlier charged the company with engaging in a bid-rigging conspiracy with another energy company to keep lease prices artificially low during a 2010 auction.
“I will defend and protect the taxpayers of Michigan in the face of fraudulent business practices,” Attorney General Bill Schuette said in a news release. “Scamming hardworking Michigan citizens is not how we do business in this state.” Last month, the other company involved in the bid-rigging case with Chesapeake, Encana Corp., agreed to pay a $5 million fine and cooperate with authorities in the ongoing case with Chesapeake.
Chesapeake spokesman Gordon Pennoyer called the new charges “baseless allegations.”
More: MLive
Lansing to Build State’s Largest Solar Facility
The Lansing Board of Water and Light, a publicly owned utility, announced last week that it intends to build a 5-MW solar facility that would be the largest solar energy project in the state. The board said it will be seeking bids to start the project. Currently, the board receives 6% of its electricity from renewable sources. The solar project will help it reach the state’s goal of getting 10% of electricity from renewable sources by 2015, the board said.
More: Michigan Radio
NEW JERSEY
BPU Sues 3 Suppliers For Fraudulent Offers
The Board of Public Utilities last week sued three third-party energy providers – Palmco Power, HIKO Energy and Systrum Energy – for alleged fraudulent practices. “These three companies allegedly lured consumers with promised monthly savings that turned out to be fictional,” Acting Attorney General John J. Hoffman said. “Even worse, consumers who hoped to save money instead saw their bills increase to unconscionable levels.”
The commission alleges that all three companies approached customers with misrepresentations about “competitive” monthly pricing or guaranteed reductions if they switched from traditional suppliers, and then charged far more than customers had been paying, in some cases up to 300% more. The state also accused Palmco and HIKO of switching customer gas or electric accounts without the consumers’ knowledge.
More: CBS Local
Atlantic City Electric Rate Cut Approved
The Board of Public Utilities last week approved a 2.6% rate cut for Atlantic City Electric customers. In its annual rate review, the utility sought to adjust several pass-through charges, including the non-utility generation charge, societal benefits charge and system control charge. An average residential user using 1,000 kWh should see a savings of about $4.55 in the next billing cycle.
More: NJ.com
BPU Waits on Sierra Club Energy-Efficiency Plan
The Board of Public Utilities deferred action on a petition by the Sierra Club calling on New Jersey to increase efforts to promote energy-efficiency projects. The BPU said it wanted to await the results of several working groups already set up to investigate energy-use reduction by residential and business customers before acting on the petition. “I do not believe it’s necessary to do it at the present time,” BPU President Diane Solomon said.
The Sierra Club of New Jersey wants the state to adopt an energy-efficiency portfolio, similar to a renewable energy portfolio, saying New Jersey is falling behind other states in efforts to promote energy efficiency.
“They all say they support this, but then nothing happens,” complained Jeff Tittell, New Jersey Sierra Club director. “How long are we going to lag behind? The board really does not want to do anything.”
More: NJ Spotlight
NORTH CAROLINA
4-MW Solar Farm Planned Near Chapel Hill
An Arizona company has filed with the Orange County Board of Commissioners for permits to build a 4-MW solar farm near Hillsborough, north of Chapel Hill. The North Carolina Utilities Commission has already approved the company’s plan for a solar facility on the 50-acre property.
But some area residents question the effect Sunlight Partners’ project would have on the rural area. “This facility, with its 18,000 panels over 20 acres, will permanently transform what is one of the most bucolic and tranquil residential neighborhoods in the county into what amounts to an industrial zone,” neighbor Bob Cantwell said. Sunlight Partners, founded in 2010, has 48 potential North Carolina sites under consideration, company officials said.
More: News & Observer
Gov. Lifts Fracking Ban, Environ. Groups Protest
Gov. Pat McCrory signed a bill last week lifting a 2012 moratorium on hydraulic fracturing. “The expansion of our energy sector will not come at a cost to our precious environment,” McCrory said after signing the Energy Modernization Bill last week. “This legislation has the safeguards to protect the high quality of the life we cherish.”
Critics disagreed. “There are more than 1,000 documented cases of contaminated water from fracking across the country,” Environment North Carolina Director Elizabeth Ouzts said. “By rushing to frack, Gov. McCrory and legislative leaders are putting North Carolina’s rivers and the drinking water for millions in jeopardy.”
More: Citizen-Times
NC Lawmakers Want Coal Ash Deadlines Set
North Carolina legislators are pushing for inclusion of firm deadlines in a proposed law that would require Duke Energy to stop unlined coal ash dumps from leaching pollution into waterways. Gov. Pat McCrory introduced legislation in May that would require Duke to clean up four ash dumps but allow the company and state environmental officials to set the timeline.
The ash cleanup project was spurred by a giant ash spill on the Dan River earlier this year. Duke continues to spend millions cleaning up that spill. “The public, the people we represent, the people we serve here in the legislature across North Carolina, they want to see some specific timetables,” said Sen. Gene McLaurin (D-Richmond).
More: Citizen-Times
OHIO
Gov. Kasich to Sign Bill Freezing Green Standards
A week after the Environmental Protection Agency issued rules calling on states to reduce greenhouse gas reductions, Gov. John Kasich is expected to sign a bill freezing renewable energy standards for two years. Senate Bill 301 was backed by Republicans as a way for Ohio to review standards and their effects on the state’s economy.
“The purpose of the study committee is to determine what standards are economically reasonable and to promote job creation and economic growth in Ohio,” a spokesman for state Senate Republicans said. Backers of green energy think the bill will be a barrier to complying with the new EPA carbon emission rules.
More: Columbus Business First
Ohio Lawmakers Acting On EPA Standards
A bipartisan bill asking the state Environmental Protection Agency to come up with a strategy to meet the new EPA carbon emissions standards was introduced in the Ohio House. Sponsored by Republican Rep. Andy Thompson and Democrat Rep. Jack Cera, the bill attempts to minimize the impact of the federal EPA rules while complying with them. Thompson said the bill specifically eyes the use of coal as an energy source. “Why would we eliminate that as part of our portfolio?” he asked. “Let’s continue to look for ways to make it cleaner but let’s not just discard it.”
More: WKSU
PENNSYLVANIA
PUC Proposes $150K Fine on Slamming
The Public Utility Commission last week voted to fine Pennsylvania Gas & Electric $150,200 in a settlement for alleged “slamming” incidents by a company vendor. An investigation by the commission alleged that the vendor switched the electric and natural gas accounts of 309 large commercial customers without their authorization. The investigation began after the commission received complaints about the company’s marketing practices. It concluded that one telephone sales representative circumvented quality controls of the company’s sales system.
“PaG&E did not appear to have any internal controls in place to prevent the volume of slamming that allegedly occurred here,” the commission report said. “We have said many times that this commission will not tolerate behavior that erodes the public trust in Pennsylvania’s retail energy markets.” The commission is accepting public comment before finalizing the settlement.
More: PUC
PUC Appoints Director of Competitive Market Oversight
The Public Utility Commission last week appointed a 30-year member of the agency as its new director of the Office of Competitive Market Oversight. H. Kirk House will report to the commission’s executive director on retail competitive electric and gas markets.
The commission also appointed Daniel J. Mumford as deputy director. House was previously lead counsel with the commission’s Office of Special Assistants and worked in all areas of regulatory oversight. Mumford comes to the position after 24 years with the commission’s Bureau of Consumer Services.
More: PUC
Exelon Funding Dam Removal Projects as Part of License Bid
Exelon Generation, operator of the Muddy Run Pumped Storage Facility on the Susquehanna River, is providing the Pennsylvania Fish and Boat Commission with $800,000, which will be used to remove small dams in the lower Susquehanna River Basin. The dam removal projects will improve water quality and allow migratory eels and American shad to move up and down the river, according to the commission.
The money is part of the company’s remediation efforts for the pumped storage facility, which is located upstream from the company’s Conowingo Dam. Exelon is providing the money as part of its relicensing efforts for Muddy Run. The commission said there are several hundred small dams in Lancaster and York counties that could be removed to improve water quality and fish populations.
More: LancasterOnline
TENNESSEE
Co-Op Calls for Its Members to Weigh in
The Tennessee Electric Cooperative Association is telling its customers that the Environmental Protection Agency’s 120-day public comment session is time for their voices to be heard. The group is asking its members to urge the EPA to make sure its recent emissions rules don’t cause more harm than good.
“The economic challenges faced by many cooperative members make it critical that EPA regulatory programs be cost-effective and provide environmental benefits that exceed the implementation and compliance costs,” said David Callis, the group’s executive vice president. “Estimates indicate that Tennessee will be among the hardest hit by the state requirements, calling for a 38% reduction in carbon dioxide emissions by 2030. These regulations will hurt Tennessee families, and we are just beginning to understand how severe the impacts will be.”
More: The Leaf Chronicle
VIRGINIA
Gov. McAuliffe Creates State Energy Council
Gov. Terry McAuliffe Wednesday created an Energy Council to help develop recommendations for a state energy plan, which is to be submitted to the General Assembly in October. The governor said Virginia must come up with a strategic energy plan in order to maintain jobs in the energy sector and create new energy technologies. He called on the council to come up with ways to develop energy-efficiency programs and renewable energy sources.
More: The Washington Post
Dominion Seeks Approval For Underground Tx Line
Alexandria officials are questioning a Dominion plan to bury a 230-kV transmission line between the city and Arlington County, saying it appears most of the benefit of the line will go to businesses outside of the city.
Alexandria City Manager Rashad M. Young said the city was told the $160 million project was a way to “enable better regional electrical reliability and capacity.” Young said they later learned that “part of the need for this project is to feed data centers being constructed in Fairfax and Loudoun counties.” Dominion said the proposed transmission line would improve local reliability and was not in response to development in surrounding counties.
The company will appear at an Alexandria City Council meeting Wednesday to provide an overview of the proposal.
More: The Washington Post
WEST VIRGINIA
WVU to Help Meet GHG Goals
West Virginia University’s Center for Energy and Sustainable Development is teaming with environmental firm Downstream Strategies to help the state come up with ways to comply with the Environmental Protection Agency’s new emissions standards and reduce carbon dioxide emissions from coal-fired power plants by 20%.
The combined effort to develop the report is expected to be completed within the next year, according to Downstream Strategies’ Evan Hansen. “What’s important to realize is that a 20% reduction in carbon emissions doesn’t mean we would be mining 20% less coal or losing 20% of our coal jobs,” Hansen said. “There’s so much flexibility in this rule and it means that it can be achieved in many different ways. Coal production will continue.”