Baltimore could build its own power plants

BALTIMORE, MARYLAND - Baltimore may build its own power plants to offer residents a break on their electricity bills.

A city-funded study is suggesting that the city construct solar, waste, or natural gas-powered plants to add more supply to the regionÂ’s power grid, thus lowering electricity prices. The city could build new power generation more cheaply than a private company because itÂ’s less expensive for the city to borrow money, the reportÂ’s authors said.

There arenÂ’t any concrete plans for a plant, such as a location or a specific timeline. But the cityÂ’s Department of General Services is eager to move forward on a project as part of a broader energy plan itÂ’s pushing with federal stimulus money behind it, said Ted Atwood, energy adviser in the department.

High electricity rates have been a statewide focus since 2006, when deregulation of MarylandÂ’s energy market led to skyrocketing prices. State officials have pressed Baltimore Gas and Electric Co. and its parent company, Constellation Energy Group Inc., to make efforts to lower rates.

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Glenn Thibeault said concerns raised by auditor general Bonnie Lysyk during testimony before a legislative committee last week aren't new and the practices being used by the Independent Electricity System Operator are commonly endorsed by major auditing firms.

"(Lysyk) doesn't like the rate-regulated accounting. We've always said we've relied on the other experts within the field as well, plus the provincial controller," Thibeault said.

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