A $250-million electric power plant, fueled by wood waste, is being planned in Shelton by a consortium of companies.
The 55-megawatt plant is large enough to serve 40,000 average homes, according to Jarret Adams, media representative for Areva, Inc., an energy firm involved in the joint venture.
The plant will be fueled with 500,000 to 600,000 tons of green wood waste each year, Adams said. Agreements for feedstock are being worked out with area timber companies, but contracts have not yet been signed.
Agreements also need to be completed for selling the energy produced, and environmental permits must be completed before construction can begin.
"When we announce these things, we have a fairly high level of confidence that they will go forward," Adams said. "Of course, you can't say anything definitely."
The company in charge of the project is called Adage, owned 50-50 by Areva and Duke Energy. Also involved in the project is John Deere, which has already developed special equipment for bundling and stacking the wood waste for delivery to the plant.
Areva has more than 100 nuclear reactors in operation or under construction worldwide. Duke is one of the largest power companies in the U.S., serving some 4 million customers nationwide, mainly in the Midwest and Carolinas.
The joint venture is planning two nearly identical plants in Florida, with the Shelton plant also based on the standard design. It would use a "fluidized bed combustion" process that suspends material for more efficient burning. The heat is used to create steam to run turbines. The control system is designed to minimize air emissions and water usage.
"There are a few odd biomass plants around, but nothing like what we're doing here — building a fleet of carbon-copy plants," Adams said. "It is also unique to have two major energy companies behind them."
Biomass is considered renewable energy, and energy from the new plant could help a utility meet a state requirement that 15 percent of its energy come from renewable sources by 2020. Biomass is considered renewable — even though burning releases carbon dioxide — because an equivalent amount of carbon is locked up by growing trees and other plants.
Unlike wind and solar power plants, biomass plants have the capability to operate around the clock, day after day, no matter the weather conditions, Adams said.
During the 2 1/2-year construction period for the Shelton plant, about 700 direct and indirect jobs may be created, Adams said.
In Florida, a similar plant in Hamilton County is expected to be under construction in a few months, he noted, placing it slightly ahead of the Shelton plant. In Gadsden County, Fla., a similar plant is in the initial stages of planning.
ITER Nuclear Fusion advances tokamak magnetic confinement, heating deuterium-tritium plasma with superconducting magnets, targeting net energy gain, tritium breeding, and steam-turbine power, while complementing laser inertial confinement milestones for grid-scale electricity and 2025 startup goals.
Key Points
ITER Nuclear Fusion is a tokamak project confining D-T plasma with magnets to achieve net energy gain and clean power.
✅ Tokamak magnetic confinement with high-temp superconducting coils
✅ Deuterium-tritium fuel cycle with on-site tritium breeding
✅ Targets net energy gain and grid-scale, low-carbon electricity
It sounds like the stuff of dreams: a virtually limitless source of energy that doesn’t produce greenhouse gases or radioactive waste. That’s the promise of nuclear fusion, often described as the holy grail of clean energy by proponents, which for decades has been nothing more than a fantasy due to insurmountable technical challenges. But things are heating up in what has turned into a race to create what amounts to an artificial sun here on Earth, one that can provide power for our kettles, cars and light bulbs.
Today’s nuclear power plants create electricity through nuclear fission, in which atoms are split, with next-gen nuclear power exploring smaller, cheaper, safer designs that remain distinct from fusion. Nuclear fusion however, involves combining atomic nuclei to release energy. It’s the same reaction that’s taking place at the Sun’s core. But overcoming the natural repulsion between atomic nuclei and maintaining the right conditions for fusion to occur isn’t straightforward. And doing so in a way that produces more energy than the reaction consumes has been beyond the grasp of the finest minds in physics for decades.
But perhaps not for much longer. Some major technical challenges have been overcome in the past few years and governments around the world have been pouring money into fusion power research as part of a broader green industrial revolution under way in several regions. There are also over 20 private ventures in the UK, US, Europe, China and Australia vying to be the first to make fusion energy production a reality.
“People are saying, ‘If it really is the ultimate solution, let’s find out whether it works or not,’” says Dr Tim Luce, head of science and operation at the International Thermonuclear Experimental Reactor (ITER), being built in southeast France. ITER is the biggest throw of the fusion dice yet.
Its $22bn (£15.9bn) build cost is being met by the governments of two-thirds of the world’s population, including the EU, the US, China and Russia, at a time when Europe is losing nuclear power and needs energy, and when it’s fired up in 2025 it’ll be the world’s largest fusion reactor. If it works, ITER will transform fusion power from being the stuff of dreams into a viable energy source.
Constructing a nuclear fusion reactor ITER will be a tokamak reactor – thought to be the best hope for fusion power. Inside a tokamak, a gas, often a hydrogen isotope called deuterium, is subjected to intense heat and pressure, forcing electrons out of the atoms. This creates a plasma – a superheated, ionised gas – that has to be contained by intense magnetic fields.
The containment is vital, as no material on Earth could withstand the intense heat (100,000,000°C and above) that the plasma has to reach so that fusion can begin. It’s close to 10 times the heat at the Sun’s core, and temperatures like that are needed in a tokamak because the gravitational pressure within the Sun can’t be recreated.
When atomic nuclei do start to fuse, vast amounts of energy are released. While the experimental reactors currently in operation release that energy as heat, in a fusion reactor power plant, the heat would be used to produce steam that would drive turbines to generate electricity, even as some envision nuclear beyond electricity for industrial heat and fuels.
Tokamaks aren’t the only fusion reactors being tried. Another type of reactor uses lasers to heat and compress a hydrogen fuel to initiate fusion. In August 2021, one such device at the National Ignition Facility, at the Lawrence Livermore National Laboratory in California, generated 1.35 megajoules of energy. This record-breaking figure brings fusion power a step closer to net energy gain, but most hopes are still pinned on tokamak reactors rather than lasers.
In June 2021, China’s Experimental Advanced Superconducting Tokamak (EAST) reactor maintained a plasma for 101 seconds at 120,000,000°C. Before that, the record was 20 seconds. Ultimately, a fusion reactor would need to sustain the plasma indefinitely – or at least for eight-hour ‘pulses’ during periods of peak electricity demand.
A real game-changer for tokamaks has been the magnets used to produce the magnetic field. “We know how to make magnets that generate a very high magnetic field from copper or other kinds of metal, but you would pay a fortune for the electricity. It wouldn’t be a net energy gain from the plant,” says Luce.
One route for nuclear fusion is to use atoms of deuterium and tritium, both isotopes of hydrogen. They fuse under incredible heat and pressure, and the resulting products release energy as heat
The solution is to use high-temperature, superconducting magnets made from superconducting wire, or ‘tape’, that has no electrical resistance. These magnets can create intense magnetic fields and don’t lose energy as heat.
“High temperature superconductivity has been known about for 35 years. But the manufacturing capability to make tape in the lengths that would be required to make a reasonable fusion coil has just recently been developed,” says Luce. One of ITER’s magnets, the central solenoid, will produce a field of 13 tesla – 280,000 times Earth’s magnetic field.
The inner walls of ITER’s vacuum vessel, where the fusion will occur, will be lined with beryllium, a metal that won’t contaminate the plasma much if they touch. At the bottom is the divertor that will keep the temperature inside the reactor under control.
“The heat load on the divertor can be as large as in a rocket nozzle,” says Luce. “Rocket nozzles work because you can get into orbit within minutes and in space it’s really cold.” In a fusion reactor, a divertor would need to withstand this heat indefinitely and at ITER they’ll be testing one made out of tungsten.
Meanwhile, in the US, the National Spherical Torus Experiment – Upgrade (NSTX-U) fusion reactor will be fired up in the autumn of 2022, while efforts in advanced fission such as a mini-reactor design are also progressing. One of its priorities will be to see whether lining the reactor with lithium helps to keep the plasma stable.
Choosing a fuel Instead of just using deuterium as the fusion fuel, ITER will use deuterium mixed with tritium, another hydrogen isotope. The deuterium-tritium blend offers the best chance of getting significantly more power out than is put in. Proponents of fusion power say one reason the technology is safe is that the fuel needs to be constantly fed into the reactor to keep fusion happening, making a runaway reaction impossible.
Deuterium can be extracted from seawater, so there’s a virtually limitless supply of it. But only 20kg of tritium are thought to exist worldwide, so fusion power plants will have to produce it (ITER will develop technology to ‘breed’ tritium). While some radioactive waste will be produced in a fusion plant, it’ll have a lifetime of around 100 years, rather than the thousands of years from fission.
At the time of writing in September, researchers at the Joint European Torus (JET) fusion reactor in Oxfordshire were due to start their deuterium-tritium fusion reactions. “JET will help ITER prepare a choice of machine parameters to optimise the fusion power,” says Dr Joelle Mailloux, one of the scientific programme leaders at JET. These parameters will include finding the best combination of deuterium and tritium, and establishing how the current is increased in the magnets before fusion starts.
The groundwork laid down at JET should accelerate ITER’s efforts to accomplish net energy gain. ITER will produce ‘first plasma’ in December 2025 and be cranked up to full power over the following decade. Its plasma temperature will reach 150,000,000°C and its target is to produce 500 megawatts of fusion power for every 50 megawatts of input heating power.
“If ITER is successful, it’ll eliminate most, if not all, doubts about the science and liberate money for technology development,” says Luce. That technology development will be demonstration fusion power plants that actually produce electricity, where advanced reactors can build on decades of expertise. “ITER is opening the door and saying, yeah, this works – the science is there.”
New York Renewable Energy Contracts secure 23 projects totaling 2.3 GW, spanning offshore wind, solar, and battery storage under CLCPA goals, advancing 70% by 2030, a carbon-free 2040 grid, grid reliability, and green jobs.
Key Points
State agreements securing 23 wind, solar, and storage projects (2.3 GW) to meet CLCPA clean power targets.
✅ 2.3 GW across 23 wind, solar, and storage projects statewide
✅ Supports 70% renewables by 2030; carbon-free grid by 2040
✅ Drives emissions cuts, grid reliability, and green jobs
In a significant milestone for the state’s clean energy ambitions, New York has finalized contracts with 23 renewable energy projects, as part of large-scale energy projects underway in New York, totaling a combined capacity of 2.3 gigawatts (GW). This move is part of the state’s ongoing efforts to accelerate its transition to renewable energy, reduce carbon emissions, and meet the ambitious targets set under the Climate Leadership and Community Protection Act (CLCPA), which aims to achieve a carbon-free electricity grid by 2040.
A Strong Commitment to Renewable Energy
The 23 projects secured under these contracts represent a diverse range of renewable energy sources, including wind, solar, and battery storage. Together, these projects are expected to contribute significantly to New York’s energy grid, generating enough clean electricity to power millions of homes. The deal is a key component of New York’s broader strategy to achieve a 70% renewable energy share in the state’s electricity mix by 2030 and to reduce greenhouse gas emissions by 85% by 2050.
Governor Kathy Hochul celebrated the agreements as a major step forward in the state’s commitment to combating climate change while creating green jobs and economic opportunities. “New York is leading the nation in its clean energy goals, and these projects will help us meet our bold climate targets while delivering reliable and affordable energy to New Yorkers,” Hochul said in a statement.
The Details of the Contracts
The 23 projects span across various regions of the state, with an emphasis on areas that are well-suited for renewable energy development, such as upstate New York, which boasts vast open spaces ideal for large-scale solar and wind installations and the state is investigating sites for offshore wind projects along the coast. The contracts finalized by the state will ensure a steady supply of clean power from these renewable sources, helping to stabilize the grid and reduce reliance on fossil fuels.
A significant portion of the new renewable capacity will come from offshore wind projects, which have become a cornerstone of New York’s renewable energy strategy. Offshore wind has the potential to provide large amounts of electricity, and the state recently greenlighted the country's biggest offshore wind farm to date, taking advantage of the state's proximity to the Atlantic Ocean. Several of the contracts finalized include offshore wind farm projects, which are expected to be operational within the next few years.
In addition to wind energy, solar power continues to be a critical component of the state’s renewable energy strategy. The state has already made substantial investments in solar energy, having achieved solar energy goals ahead of schedule recently, and these new contracts will further expand the state’s solar capacity. The inclusion of battery storage projects is another important element, as energy storage solutions are vital to ensuring that renewable energy can be effectively utilized, even when the sun isn’t shining or the wind isn’t blowing.
Economic and Job Creation Benefits
The finalization of these 23 contracts will not only bring significant environmental benefits but also create thousands of jobs in the renewable energy sector. Construction, maintenance, and operational jobs will be generated throughout the life of the projects, benefiting communities across the state, including areas near Long Island's South Shore wind proposals that stand to gain from new investment. The investment in renewable energy is expected to support New York’s recovery from the economic impacts of the COVID-19 pandemic, contributing to the state’s clean energy economy and providing long-term economic stability.
The state's focus on clean energy also provides opportunities for local businesses, highlighted by the first Clean Energy Community designation in the state, as many of these projects will require services and materials from within New York State. Additionally, Governor Hochul’s administration has made efforts to ensure that disadvantaged communities and workers from underrepresented backgrounds will have access to job training and employment opportunities within the renewable energy sector.
The Path Forward: A Clean Energy Future
New York’s aggressive move toward renewable energy is indicative of the state’s commitment to addressing climate change and leading the nation in clean energy innovation. By locking in contracts for these renewable energy projects, the state is not only securing a cleaner future but also ensuring that the transition is fair and just for all communities, particularly those that have been historically impacted by pollution and environmental degradation.
While the finalized contracts mark a major achievement, the state’s work is far from over. The completion of these 23 projects is just one piece of the puzzle in New York’s broader strategy to decarbonize its energy system. To meet its ambitious targets under the CLCPA, New York will need to continue investing in renewable energy, energy storage, grid modernization, and energy efficiency programs.
As New York moves forward with its clean energy transition, and as BOEM receives wind power lease requests in the Northeast, the state will likely continue to explore new technologies and innovative solutions to meet the growing demand for renewable energy. The success of the 23 finalized contracts serves as a reminder of the state’s leadership in the clean energy space and its ongoing efforts to create a sustainable, low-carbon future for all New Yorkers.
New York’s decision to finalize contracts with 23 renewable energy projects totaling 2.3 gigawatts represents a bold step toward meeting the state’s clean energy and climate goals. These projects, which include a mix of wind, solar, and energy storage, will contribute significantly to reducing the state’s reliance on fossil fuels and lowering greenhouse gas emissions. With the additional benefits of job creation and economic growth, this move positions New York as a leader in the nation’s transition to renewable energy and a sustainable future.
Alberta Renewable Energy Market is accelerating as wind and solar prices fall, corporate PPAs expand, and a deregulated, energy-only system, AESO outlooks, and TIER policy drive investment across the province.
Key Points
An open, energy-only Alberta market where wind and solar growth is driven by corporate PPAs, AESO outlooks, and TIER.
✅ Corporate PPAs lower costs and hedge power price risk
✅ AESO forecasts and TIER policy support renewables
By Chris Varcoe, Calgary Herald
A few things are abundantly clear about the state of renewable energy in Alberta today.
First, the demise of Alberta’s Renewable Electricity Program (REP) under the UCP government isn’t going to see new projects come to a screeching halt.
In fact, new developments are already going ahead.
And industry experts believe private-sector companies that increasingly want to purchase wind or solar power are going to become a driving force behind even more projects in Alberta.
BluEarth Renewables CEO Grant Arnold, who spoke Wednesday at the Canadian Wind Energy Association conference, pointed out the sector is poised to keep building in the province, even with the end of the REP program that helped kick-start projects and triggered low power prices.
“The fundamentals here are, I think, quite fantastic — strong resource, which leads to really competitive wind prices . . . it’s now the cheapest form of new energy in the province,” he told the audience.
“Alberta is in a fundamentally good place to grow the wind power market.”
Unlike other provinces, Alberta has an open, deregulated marketplace, which create opportunities for private-sector investment and renewable power developers as well.
The recent decision by the Kenney government to stick with the energy-only market, instead of shifting to a capacity market, is seen as positive for Alberta's energy future by renewable electricity developers.
There is also increasing interest from corporations to buy wind and solar power from generators — a trend that has taken off in the United States with players such as Google, General Motors and Amazon — and that push is now emerging in Canada.
“It’s been really important in the U.S. for unlocking a lot of renewable energy development,” said Sara Hastings-Simon, founding director of the Business Renewable Centre Canada, which seeks to help corporate buyers source renewable energy directly from project developers.
“You have some companies where . . . it’s what their investors and customers are demanding. I think we will see in Alberta customers who see this as a good way to meet their carbon compliance requirements.
“And the third motivation to do it is you can get the power at a good price.”
Just last month, Perimeter Solar signed an agreement with TC Energy to supply the Calgary-based firm with 74 megawatts from its solar project near Claresholm.
More deals in the industry are being discussed, and it’s expected this shift will drive other projects forward.
There is increasing interest from corporations to buy solar and wind energy directly from generators.
“The single-biggest change has been the price of wind and solar,” Arnold said in an interview.
“Alberta looks really, really bright right now because we have an open market. All other provinces, for regulatory reasons, we can’t have this (deal) . . . between a generator and a corporate buyer of power. So Alberta has a great advantage there.”
These forces are emerging as the renewable energy industry has seen dramatic change in recent years in Alberta, with costs dropping and an array of wind and solar developments moving ahead, even as solar expansion faces challenges in the province.
The former NDP government had an aggressive target to see green energy sources make up 30 per cent of all electricity generation by 2030.
Last week, the Alberta Electric System Operator put out its long-term outlook, with its base-case scenario projecting moderate demand growth for power over the next two decades. However, the expected load growth — expanding by an average of 0.9 per cent annually until 2039 — is only half the rate seen in the past 20 years.
Natural gas will become the main generation source in the province as coal-fired power (now comprising more than one-third of generation) is phased out.
Renewable projects initiated under the former NDP government’s REP program will come online in the near term, while “additional unsubsidized renewable generation is expected to develop through competitive market mechanisms and support from corporate power purchase agreements,” the report states.
AESO forecasts installed generation capacity for renewables will almost double to about 19 per cent by 2030, with wind and solar increasing to 21 per cent by 2039.
Another key policy issue for the sector will likely come within the next few weeks when the provincial government introduces details of its new Technology Innovation and Emissions Reduction program (TIER).
The initiative will require large industrial emitters to reduce greenhouse gas emissions to a benchmark level, pay into the technology fund, or buy offsets or credits. The carbon price is expected to be around $20 to $30 a tonne, and the system will kick in on Jan. 1, 2020.
Industry players point out the decision to stick with Alberta’s energy-only market along with the details surrounding TIER, and a focus by government on reducing red tape, should all help the sector attract investment.
“It is pretty clear there is a path forward for renewables here in the province,” said Evan Wilson, regional director with the Canadian Wind Energy Association.
All of these factors are propelling the wind and solar sector forward in the province, at the same time the oil and gas sector faces challenges to grow.
But it doesn’t have to be an either/or choice for the province moving forward. We’re going to need many forms of energy in the coming decades, and Alberta is an energy powerhouse, with potential to develop more wind and solar, as well as oil and natural gas resources.
“What we see sometimes is the politics and discussion around renewables or oil becomes a deliberate attempt to polarize people,” Arnold added.
“What we are trying to show, in working in Alberta on renewable projects, is it doesn’t have to be polarizing. There are a lot of solutions.
“The combination of solutions is part of what we need to talk about.”
Renewables' Impact on US Wholesale Electricity Prices is clear: DOE analysis shows wind and solar, capacity gains, and natural gas lowering rates, shifting daily patterns, and triggering occasional negative pricing in PJM and ERCOT.
Key Points
DOE data show wind and solar lower wholesale prices, reshape price curves, and cause negative pricing in markets.
✅ Natural gas price declines remain the largest driver of cheaper power
✅ Wind and solar shift seasonal and time-of-day price patterns
✅ Negative wholesale prices appear near high wind and solar output
One of the arguments that's consistently been raised against doing anything about climate change is that it will be expensive. On the more extreme end of the spectrum, there have been dire warnings about plunging standards of living due to skyrocketing electricity prices. The plunging cost of renewables like solar cheaper than gas has largely silenced these warnings, but a new report from the Department of Energy suggests that, even earlier, renewables were actually lowering the price of electricity in the United States.
Plunging prices The report focuses on wholesale electricity prices in the US. Note that these are distinct from the prices consumers actually pay, which includes taxes, fees, payments to support the grid that delivers the electricity, and so on. It's entirely possible for wholesale electricity prices to drop even as consumers end up paying more, and market reforms determine how those changes are passed through. That said, large changes in the wholesale price should ultimately be passed on to consumers to one degree or another.
The Department of Energy analysis focuses on the decade between 2008 and 2017, and it includes an overall analysis of the US market, as well as large individual grids like PJM and ERCOT and, finally, local prices. The decade saw a couple of important trends: low natural gas prices that fostered a rapid expansion of gas-fired generators and the rapid expansion of renewable generation that occurred concurrently with a tremendous drop in price of wind and solar power.
Much of the electricity generated by renewables in this time period would be more expensive than that generated by wind and solar installed today. Not only have prices for the hardware dropped, but the hardware has improved in ways that provide higher capacity factors, meaning that they generate a greater percentage of the maximum capacity. (These changes include things like larger blades on wind turbines and tracking systems for solar panels.) At the same time, operating wind and solar is essentially free once they're installed, so they can always offer a lower price than competing fossil fuel plants.
With those caveats laid out, what does the analysis show? Almost all of the factors influencing the wholesale electricity price considered in this analysis are essentially neutral. Only three factors have pushed the prices higher: the retirement of some plants, the rising price of coal, and prices put on carbon, which only affect some of the regional grids.
In contrast, the drop in the price of natural gas has had a very large effect on the wholesale power price. Depending on the regional grid, it's driven a drop of anywhere from $7 to $53 per megawatt-hour. It's far and away the largest influence on prices over the past decade.
Regional variation and negative prices But renewables have had an influence as well. That influence has ranged from roughly neutral to a cost reduction of $2.2 per MWh in California, largely driven by solar. While the impact of renewables was relatively minor, it is the second-largest influence after natural gas prices, and the data shows that wind and solar are reducing prices rather than increasing them.
The reports note that renewables are influencing wholesale prices in other ways, however. The growth of wind and solar caused the pattern of seasonal price changes to shift in areas of high wind and solar, as seen with solar reshaping prices in Northern Europe as daylight hours and wind patterns shift with the seasons. Similarly, renewables have a time-of-day effect for similar reasons, helping explain why the grid isn't 100% renewable today, which also influences the daily timing price changes, something that's not an issue with fossil fuel power.
A map showing the areas where wholesale electricity prices have gone negative, with darker colors indicating increased frequency. Enlarge / A map showing the areas where wholesale electricity prices have gone negative, with darker colors indicating increased frequency.
US DOE One striking feature of areas where renewable power is prevalent is that there are occasional cases in which an oversupply of renewable energy produces negative electricity prices in the wholesale market. (In the least-surprising statement in the report, it concludes that "negative prices in high-wind and high-solar regions occurred most frequently in hours with high wind and solar output.") In most areas, these negative prices are rare enough that they don't have a significant influence on the wholesale price.
That's not true everywhere, however. Areas on the Great Plains see fairly frequent negative prices, and they're growing in prevalence in areas like California, the Southwest, and the northern areas of New York and New England, while negative prices in France have been observed in similar conditions. In these areas, negative wholesale prices near solar plants have dropped the overall price by 3%. Near wind plants, that figure is 6%.
None of this is meant to indicate that there are no scenarios where expanded renewable energy could eventually cause wholesale prices to rise. At sufficient levels, the need for storage, backup plants, and grid management could potentially offset their low costs, a dynamic sometimes referred to as clean energy's dirty secret by analysts. But it's clear we have not yet reached that point. And if the prices of renewables continue to drop, then that point could potentially recede fast enough not to matter.
California income-based utility charges face bipartisan pushback as the PUC weighs fixed fees for PG&E, SDG&E, and Southern California Edison, reshaping rate design, electricity affordability, energy equity, and privacy amid proposed per-kWh reductions.
Key Points
PUC-approved fixed fees tied to household income for PG&E, SDG&E, and SCE, offset by lower per-kWh rates.
✅ Critics warn admin, privacy, legal risks and higher bills for savers
✅ Backers say lower-income pay less; kWh rates cut ~33% in PG&E area
Efforts are being made across California's political landscape to derail a legislative initiative that introduced income-based utility charges for customers of Southern California Edison and other major utilities.
Legislators from both the Democratic and Republican parties have proposed bills aimed at nullifying the 2022 legislation that established a sliding scale for utility charges based on customer income, a decision made in a late-hour session and subsequently endorsed by Governor Gavin Newsom.
The plan, pending final approval from the state Public Utilities Commission (PUC) — all of whose current members were appointed by Governor Newsom — would enable utilities like Southern California Edison, San Diego Gas & Electric, and PG&E to apply new income-based charges as early as this July.
Among the state legislators pushing back against the income-based charge scheme are Democrats Jacqui Irwin and Marc Berman, along with Republicans Janet Nguyen, Kelly Seyarto, Rosilicie Ochoa Bogh, Scott Wilk, Brian Dahle, Shannon Grove, and Roger Niello.
A cadre of specialists, including economist Ahmad Faruqui who has advised all three utilities implicated in the fee proposal, have outlined several concerns regarding the PUC's pending decision.
Faruqui and his colleagues argue that the proposed charges are excessively high in comparison to national standards, reflecting soaring electricity prices across the state, potentially leading to administrative challenges, legal disputes, and negative unintended outcomes, such as penalizing energy-conservative consumers.
Advocates for the income-based fee model, including The Utility Reform Network (TURN) and the National Resources Defense Council, argue it would result in higher charges for wealthier consumers and reduced fees for those with lower incomes. They also believe that the utilities plan to decrease per kilowatt-hour rates as part of a broader rate structure review to balance out the new fees.
However, even supporters like TURN and the Natural Resources Defense Council acknowledge that the income-based fee model is not a comprehensive solution to making soaring electricity bills more affordable.
If implemented, California would have the highest income-based utility fees in the country, with averages far surpassing the national average of $11.15, as reported by EQ Research:
Southern California Edison would charge $51.
San Diego Gas & Electric would levy $73.31.
PG&E would set fees at $50.92.
The proposal has raised concerns among state legislators about the additional financial burden on Californians already struggling with high electricity costs.
Critics highlight several practical challenges, including the PUC's task of assessing customers' income levels, a process fraught with privacy concerns, potential errors, and constitutional questions regarding access to tax information.
Economists have pointed out further complications, such as the difficulty in accurately assessing incomes for out-of-state property owners and the variability of customers' incomes over time.
The proposed income-based charges would differ by income bracket within the PG&E service area, for example, with lower-income households facing lower fixed charges and higher-income households facing higher charges, alongside a proposed 33% reduction in electricity rates to help mitigate the fixed charge impact.
Yet, the economists warn that most customers, particularly low-usage customers, could end up paying more, essentially rewarding higher consumption and penalizing efficiency.
This legislative approach, they caution, could inadvertently increase costs for moderate users across all income brackets, a sign of major changes to electric bills that could emerge, challenging the very goals it aims to achieve by promoting energy inefficiency.
Maryland Renewable Energy Violations highlight RPS compliance gaps as facilities selling renewable energy certificates, including waste-to-energy, biomass, and paper mills, face emissions and permit issues, prompting PSC and Attorney General scrutiny of environmental standards.
Key Points
Alleged RPS noncompliance by REC-eligible plants, prompting PSC review and potential decertification under Maryland law.
✅ Complaint targets waste-to-energy, biomass plants, and paper mills
✅ Facilities risk loss of REC certification for environmental violations
✅ PSC may investigate nonreporting; AG reviewing evidence
Many facilities that supply Maryland with renewable energy have exceeded pollution limits or otherwise broken environmental rules, violating a state law, according to a complaint sent by environmental groups to state energy and law enforcement officials.
Maryland law says that any company that contributes to a state renewable energy goal — half the state’s energy portfolio must come from renewable sources by 2030 — must “substantially comply” with rules on air and water quality and waste management. The complaint says more than two dozen power generators, including paper mills and trash incinerators, have records of formal or informal enforcement actions by environmental authorities.
For years, environmental groups have criticized Maryland policy that counts power plants that produce planet-warming carbon dioxide and health-threatening pollution as “renewable” energy generation, and similar tensions have emerged in California’s reliance on fossil fuels despite ambitious targets, but lawmakers concerned about protecting industrial jobs have resisted reforms. The renewable label qualifies the companies for subsidies drawn from energy bills across the state.
In a complaint filed this week, the groups asked the attorney general and Public Service Commission to step in.
“We’re subsidizing companies to produce dirty energy, but we’re also using ratepayer money to support companies that in many instances are paying environmental fines or just flouting the law,” said Timothy Whitehouse, executive director of Public Employees for Environmental Responsibility. “There’s no one to hold them to account in Maryland.”
A spokeswoman for Attorney General Brian Frosh said his office would review the complaint, which was signed by Whitehouse and Mike Ewall, executive director of the Energy Justice Network.
Public Service Commission officials said the facilities must notify them if found out of compliance with environmental rules, while at the federal level FERC action on aggregated DERs is shaping market participation, and the commission can then revoke certification under the state renewable energy program. In a statement, commission officials said they would launch an investigation if any facility had failed to notify them of any environmental violations, and encouraged anyone with evidence of such a transgression to file a complaint.
Companies named in the document accused the groups of painting an inaccurate picture.
“This complaint is based on misleading arguments designed to halt waste-to-energy practices that have clear environmental benefits recognized by the global scientific community,” said Jim Connolly, vice president of environment, health and safety for Wheelabrator, which owns a Baltimore trash incinerator.
Maryland launched its renewable energy program in 2004, diversifying the state’s energy portfolio with more environmentally friendly sources of power, even as regional debates over a Maine-Québec transmission line highlight cross-border impacts. Under the program, separate from the electricity they generate and sell to the grid, renewable power facilities can sell what are known as renewable energy certificates. Utilities such as Baltimore Gas and Electric Co. are required to buy a growing number of the certificates each year, essentially subsidizing the renewable energy facilities with money from ratepayer bills.
A dozen types of power generation qualify to sell the certificates: Solar, wind, geothermal and hydroelectric plants, as well as “biomass” facilities that burn wood and other organic matter, waste-to-energy plants that burn household trash and paper mills that burn a byproduct known as black liquor.
The complaint focuses on waste incinerators, biomass plants and paper mills, all of which environmental groups have cast as counter to the renewable energy program’s environmental goals, even as ACORE criticized a coal and nuclear subsidy proposal in federal proceedings.
“By subsidizing these corporations, Maryland is diverting the hard-earned income of Maryland ratepayers to wealthy corporations with poor environmental compliance records and undermining the state’s transition to clean renewable energy,” Whitehouse and Ewall wrote.
For example, they note that the Wheelabrator plant in Southwest Baltimore has been fined for exceeding mercury limits in the past. That occurred in 2011, when the plant settled with state regulators for violations in 2010 and 2009.
Connolly said there is “no question” the facility complies with Maryland’s renewable energy law.
Incinerators in Montgomery County and in Fairfax County, Virginia, that are owned by Covanta and sell the energy certificates in Maryland have been cited for accidental fires inside both facilities. The Maryland incinerator violated emissions rules in 2014, the same year that New Jersey forbade the Virginia facility from selling energy certificates into that state’s renewable energy program over concerns it wasn’t following ash testing regulations.
James Regan, a spokesman for Covanta, said both facilities “have excellent compliance records and they operate well below their permitted limits.” He said the Virginia facility is complying with ash testing requirements, and that both facilities emit far lower levels of pollutants such as particulate matter than vehicles do.
“It’s clear to us there’s a lot of misleading and wrong information in this document," Regan said.
The Environmental Protection Agency endorsed waste-to-energy facilities under former President Barack Obama because, while burning household trash emits carbon dioxide, scientists said that still had a smaller impact on global warming than sending trash to landfills, even as industry groups have backed the EPA in a legal challenge to the ACE rule as regulatory approaches shifted.
Environmentalists and community groups say the facilities still are harmful because they emit high levels of pollutants such as mercury, nitrogen oxides and lead. The concerns prompted Baltimore City Council to pass an ordinance in February that tightened emissions limits on the Wheelabrator facility, even as the new EPA pollution limits for coal and gas plants are being proposed, so dramatically that the company said it would no longer be able to operate once the rules go into effect in 2022.
The complaint does not mention the century-old Luke paper mill in Western Maryland that long faced criticism for its participation in the renewable energy program, but which owner Verso Co. closed this year.
It does say several of paper company WestRock’s mills in North Carolina and Virginia have faced both formal and informal EPA enforcement actions for violation of the Clean Water Act, including evolving EPA wastewater limits for power plants and other facilities, and the Clean Air Act. A WestRock spokesperson could not be reached for comment.
The complaint also says a large biomass facility in South Boston, Virginia, owned by the Northern Virginia Electric Cooperative has a record of noncompliance with the Clean Air Act over three years.
John Rainey, the plant’s operations director, said it “experienced some small exceedances to its permit limits,” but that it addressed the issues with Virginia environmental officials and has installed new technology.
All those plants have sold credits in Maryland.
Whitehouse said the environmental groups’ goal is to clean up Maryland’s renewable energy program. They did not file a lawsuit because he said there was no clear cause of action to take the state to court, but said he hopes the complaint nonetheless spurs action.
“It’s not acceptable in a clean energy program that we’re subsidizing some of the most dirty sources of energy,” he said. “Those sources aren’t even in compliance with the law, and no one seems to care.”
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