Coal must be part of BWL plant discussion

By Lansing State Journal


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The Midwest Independent System Operator oversees a wholesale electric market in 15 American states and parts of Canada, including the Lansing area.

Approximately 77 percent of the total energy produced in the MISO market is from coal. However, during peak hours MISO frequently relies on natural gas fueled plants, which set a very high and volatile price.

If the Lansing Board of Water & Light were forced to rely on the MISO wholesale market to replace the retirement of its old coal baseload plant, output from coal plants would still be used to meet local demand.

However, instead of having rates based on true costs, BWL customers will be subject to a very high market price, incur additional transmission expense, and face a decrease in reliability as generation would be located farther away from the load. Lansing will also lose out on the economic benefit of a new plant to places like Illinois and Wisconsin where they have recently built new clean coal plants, and are in the process of building additional plants.

While energy efficiency, together with renewable energy resources will continue to play a major role in meeting BWL's future electric need, they cannot entirely replace retired baseload generation. People must have reliable electricity around the clock, even when the wind doesn't blow or the sun doesn't shine.

"Although some would suggest that two good options to a coal-fired plant are: Next door, Michigan State University has a power plant generating excess energy. And fewer than 50 miles up the road, Alma proposes to build a 'clean energy plant.'"

The reality is something else.

First, Michigan State University imports energy from outside sources to meet its electricity needs. In addition, the largest plant it does have is fueled by... yes, you guessed it, coal.

Beyond this fact however, why would an entity whose core business is to provide reliable electric generation rely on an entity whose core business is to provide higher education to meet their electric need?

Regarding the Alma "clean energy plant" being an alternative to coal, lost in the argument is that the fuel for this plant is... yes, correct again, coal. In addition, the carbon capture and sequestration technology is commercially unproven, the costs for an IGCC plant are much higher then a hybrid biomass/coal plant, good-paying union jobs would be exported from Lansing to Alma, you will incur additional transmission costs, and the parasitic load on this plant is near 30 percent.

Despite the arguments presented in a recent viewpoint column, it's important to remember that all options for powering Lansing's future in an affordable, reliable, and environmentally safe way should be considered.

Clean coal needs to remain an option, and all options need to be fairly presented.

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Extreme Heat Boosts U.S. Electricity Bills

Extreme Heat and Rising Electricity Bills amplify energy costs as climate change drives air conditioning demand, stressing the power grid and energy affordability, with low income households facing outsized burdens during prolonged heat waves.

 

Key Points

Heat waves from climate change raise AC demand, driving up electricity costs and straining energy affordability.

✅ More AC use spikes electricity demand during heat waves

✅ Low income households face higher energy burden

✅ Grid reliability risks rise with peak cooling loads

 

Extreme heat waves are not only straining public health systems but also having a significant impact on household finances, particularly through rising electricity bills. According to a recent AP-NORC poll, a growing number of Americans are feeling the financial pinch as soaring temperatures drive up the cost of cooling their homes. This development underscores the broader implications of climate change and its effects on everyday life.

The AP-NORC poll highlights that a majority of Americans are experiencing increased electricity costs as a direct result of extreme heat. As temperatures climb, so does the demand for air conditioning and other cooling systems. This increased energy consumption is contributing to higher utility bills, which can put additional strain on household budgets.

Extreme heat waves have become more frequent and intense due to climate change, which has led to a greater reliance on air conditioning to maintain comfortable indoor environments. Air conditioners and fans work harder during heat waves, and wasteful air conditioning can add around $200 to summer bills, consuming more electricity and consequently driving up energy bills. For many households, particularly those with lower incomes, these increased costs can be a significant burden.

The poll reveals that the impact of rising electricity bills is widespread, affecting a diverse range of Americans. Households across different income levels and geographic regions are feeling the heat, though the extent of the financial strain can vary. Lower-income households are particularly vulnerable, as they often have less flexibility in their budgets to absorb higher utility costs. For these families, the choice between cooling their homes and other essential expenses can be a difficult one.

In addition to financial strain, the poll highlights concerns about energy affordability and access. As electricity bills rise, some Americans may face challenges in paying their bills, leading to potential utility shut-offs or the need to make difficult choices between cooling and other necessities. This situation is exacerbated by the fact that many utility companies do not offer sufficient assistance or relief programs to help low-income households manage their energy costs.

The increasing frequency of extreme heat events and the resulting spike in electricity consumption also have broader implications for the energy infrastructure. Higher demand for electricity can strain power grids, as seen when California narrowly avoided blackouts during extreme heat, potentially leading to outages or reduced reliability. Utilities and energy providers may need to invest in infrastructure upgrades and maintenance to ensure that the grid can handle the increased load during heat waves.

Climate change is a key driver of the rising temperatures that contribute to higher electricity bills. As global temperatures continue to rise, extreme heat events are expected to become more common and severe, and experts warn the US electric grid was not designed to withstand these impacts. This trend underscores the need for comprehensive strategies to address both the causes and consequences of climate change. Efforts to reduce greenhouse gas emissions, improve energy efficiency, and invest in renewable energy sources are critical components of a broader climate action plan.

Energy efficiency measures can play a significant role in mitigating the impact of extreme heat on electricity bills. Upgrading to more efficient cooling systems, improving home insulation, and adopting smart thermostats can help reduce energy consumption and lower utility costs. Additionally, utility companies and government programs can offer incentives and rebates, including ways to tap new funding that help encourage energy-saving practices and support households in managing their energy use.

The poll also suggests that there is a growing awareness among Americans about the connection between climate change and rising energy costs. Many people are becoming more informed about the ways in which extreme weather events and rising temperatures impact their daily lives. This increased awareness can drive demand for policy changes and support for initiatives aimed at addressing climate change and improving energy efficiency, with many willing to contribute income to climate efforts, about the connection between climate change and rising energy costs.

In response to the rising costs and the impact of extreme heat, there are calls for policy interventions and support programs to help manage energy affordability. Proposals include expanding assistance programs for low-income households, investing in infrastructure improvements, and promoting energy efficiency initiatives alongside steps to make electricity systems more resilient to climate risks. By addressing these issues, policymakers can help alleviate the financial burden on households and support a more resilient and sustainable energy system.

Debates over policy impacts on electricity prices continue; in Alberta, federal policies are blamed by some for higher rates, illustrating how regulation can affect affordability.

In conclusion, the AP-NORC poll highlights the growing financial impact of extreme heat on American households, with rising electricity bills being a significant concern for many. The increased demand for cooling during heat waves is straining household budgets and raising broader questions about energy affordability and infrastructure resilience. Addressing these challenges requires a multifaceted approach, including efforts to combat climate change, improve energy efficiency, and provide support for those most affected by rising energy costs. As extreme heat events become more common, finding solutions to manage their impact will be crucial for both individual households and the broader energy system.

 

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SDG&E Wants More Money From Customers Who Don’t Buy Much Electricity. A Lot More.

SDG&E Minimum Bill Proposal would impose a $38.40 fixed charge, discouraging rooftop solar, burdening low income households, and shifting grid costs during peak demand, as the CPUC weighs consumer impacts and affordability.

 

Key Points

Sets a $38.40 monthly minimum bill that raises low usage costs, deters rooftop solar, and burdens low income households.

✅ $38.40 fixed charge regardless of usage

✅ Disincentivizes rooftop solar investments

✅ Disproportionate impact on low income customers

 

The utility San Diego Gas & Energy has an aggressive proposal pending before the California Public Utilities Commission, amid recent commission changes in San Diego that highlight how regulatory decisions affect local customers: It wants to charge most residential customers a minimum bill of $38.40 each month, regardless of how much energy they use. The costs of this policy would hit low-income customers and those who generate their own energy with rooftop solar. We’re urging the Commission to oppose this flawed plan—and we need your help.

SDG&E’s proposal is bad news for sustainable energy. About half of the customers whose bills would go up under this proposal have rooftop solar. The policy would deter other customers from investing in rooftop solar by making these investments less economical. Ultimately, lost opportunities for solar would mean burning more gas in polluting power plants. 

The proposal is also bad news for people who already have to scrimp on energy costs. Most customers with big homes and billowing air conditioners won't notice if this policy goes into effect, because they use at least $38 worth of electricity a month anyway. But for households that don’t buy much electricity from the company, including those in small apartments without air conditioning, this proposal would raise the bills. Even for customers on special low-income rates, amid electric bill changes statewide, SDG&E wants a minimum bill of $19.20.

Penalizing customers who don’t use much electricity would disproportionately hurt lower-income customers, raising energy equity concerns across the region, who tend to use less energy than their wealthier neighbors. In the region SDG&E serves, the average family in an apartment uses half as much electricity as a single-family residence. Statewide, low-income households are more than four times as likely to be low-usage electricity customers than high-income households. When it gets hot, residential electricity patterns are often driven by air conditioning. The vast majority of SDG&E's customers live in the coastal climate zone, where access to air conditioning is strongly linked to income: Households with incomes over $150,000 are more than twice as likely to have air conditioning than families making less than $35,000, with significant racial disparities in who has AC.

In its attempt to rationalize its request, SDG&E argues that it should charge everyone for infrastructure costs that do not depend on how much energy they use. But the cost of the grid is driven by how much energy SDG&E delivers on hot summer afternoons, when some customers blast their AC and demand for electricity peaks. If more customers relied on their own solar power or conserved energy, the utility would spend less on its grid and help rein in soaring electricity prices over time.

In the long term, reducing incentives to go solar and conserve energy will strain the grid and drive up costs for everyone, especially as lawmakers may overturn income-based charges and reshape rate design. SDG&E's arguments are part of a standard utility playbook for trying to hike income-based fixed charges, and consumer advocates have repeatedly shut them down.  As far as we know, no regulators in the country have allowed a utility to charge customers over $38 for the “privilege” of accessing electric service. 

 

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Relief for power bills in B.C. offered to only part of province

BC Hydro COVID-19 Relief offers electricity bill credits for laid-off workers and small business support, announced by Premier John Horgan, while FortisBC customers face deferrals and billing arrangements across Kelowna, Okanagan, and West Kootenay.

 

Key Points

BC Hydro COVID-19 Relief gives bill credits to laid-off residents; FortisBC offers deferrals and payment plans.

✅ Credit equals 3x average monthly bill for laid-off BC Hydro users

✅ Small businesses on BC Hydro get three months bill forgiveness

✅ FortisBC waives late fees, no disconnections, offers deferrals

 

On April 1, B.C. Premier John Horgan announced relief for BC Hydro customers who are facing bills after being laid-off during the economic shutdown due to the COVID-19 epidemic, while the utility also explores time-of-use rates to manage demand.

“Giving people relief on their power bills lets them focus on the essentials, while helping businesses and encouraging critical industry to keep operating,” he said.

BC Hydro residential customers in the province who have been laid off due to the pandemic will see a credit for three times their average monthly bill and, similar to Ontario's pandemic relief fund, small businesses forced to close will have power bills forgiven for three months.

But a large region of the province which gets its power from FortisBC will not have the same bail out.

FortisBC is the electricity provider to the tens of thousands who live and work in the Silmikameen Valley on Highway 3, the city of Kelowna, the Okanagan Valley south from Penticton, the Boundary region along the U.S. border. as well as West Kootenay communities.

“We want to make sure our customers are not worried about their FortisBC bill,” spokesperson Nicole Brown said.

FortisBC customers will still be on the hook for bills despite measures being taken to keep the lights on, even as winter disconnection pressures have been reported elsewhere.

Recent storm response by BC Hydro also highlights how crews have kept electricity service reliable during recent atypical events.

“We’ve adjusted our billing practices so we can do more,” she said. “We’ve discontinued our late fees for the time being and no customer will be disconnected for any financial reason.”

Brown said they will work one-on-one with customers to help find a billing arrangement that best suits their needs, aligning with disconnection moratoriums seen in other jurisdictions.

Those arrangement, she said, could include a “deferral, an equal payment plan or other billing options,” similar to FortisAlberta's precautions announced in Alberta.

Global News inquired with the Premier’s office why FortisBC customers were left out of Wednesday’s announcement and were deferred to the Ministry of Energy, Mines and Petroleum Resources.

The Ministry referred us back to FortisBC on the issue and offered no other comment, even as peak rates for self-isolating customers remained unchanged in parts of Ontario.

“We’re examining all options of how we can further help our customers and look forward to learning more about the program that BC Hydro is offering,” Brown said.

Disappointed FortisBC customers took to social media to vent about the disparity.

 

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Demise of nuclear plant plans ‘devastating’ to Welsh economy, MP claims

Wylfa Nuclear Project Cancellation reflects Hitachi's withdrawal, pulling £16bn from North Wales, risking jobs, reshaping UK nuclear power plans as renewables grow and Chinese involvement rises amid shifting energy market policies.

 

Key Points

An indefinite halt to Hitachi's Wylfa Newydd nuclear plant, removing about £16bn investment and jobs from North Wales.

✅ Hitachi withdraws funding amid changing energy market costs

✅ Puts 400 local roles and up to 10,000 construction jobs at risk

✅ UK shifts toward renewables as nuclear project support stalls

 

Chris Ruane said Japanese firm Hitachi’s announcement this morning about the Wylfa project would take £16 billion of investment out of the region.

He said it was the latest in a list of energy projects which had been scrapped as he responded to a statement from business secretary Greg Clark.

Mr Ruane, the Labour member for the Vale of Clywd, said: “In his statement he said the Government are relying now more on renewables, can I put the North Wales picture to him; 1,500 wind turbines were planned off the coast of North Wales. They were removed, those plans were cancelled by the private sector.

“The tidal lagoons for Wales were key to the development of the Welsh economy – the Government itself pulled the support for the Swansea Bay tidal lagoon. That had a knock-on effect for the huge lagoon planned off the coast of North Wales.

“And now today we hear of the cancellation of a £16 billion investment in the North Wales economy. This will devastate the North Wales economy. The people of North Wales need to know that the Prime Minister is batting for them and batting for the UK.”

Mr Clark blamed the changing landscape of the energy market for today’s announcement, and said Wales has been a “substantial and proud leader” in renewable energy during the UK’s green industrial revolution over recent years.

But another Labour MP from North Wales, Albert Owen, of Ynys Mon, said the Wylfa plant’s cancellation in his constituency is putting 400 jobs at risk, as well as the “potential of 8-10,000 construction jobs”, as well as hundreds of operational jobs and 33 apprenticeships.

He asked Mr Clark: “Can I say straightly can we work together to keep this project alive, to ensure that we create the momentum so it can be ready for a future developer or this developer with the right mechanism?”

The minister replied that he and his officials would “work together in a completely open-book way on the options” to try and salvage the project.

But in the Lords, Labour former security minister Lord West of Spithead said the UK’s nuclear industry was in crisis, noting that Europe is losing nuclear power as well.

“In the 1950s our nation led the world in nuclear power generation and decisions by successive governments, of all hues, have got us in the position today where we cannot even construct a large civil nuclear reaction,” he told peers at question time.

Lord West asked: “Are we content that now the only player seems to be Chinese and that by 2035… we are happy for the Chinese to control one third of the energy supply of our nation?”

Business, Energy and Industrial Strategy minister Lord Henley said the Government had hoped for a better announcement from Hitachi but that was not the case.

He said costs in the nuclear sector were rising, amid setbacks at Hinkley Point C, while costs for many renewables were coming down and this was one of the reasons for the problem.

Tory former energy secretary Lord Howell of Guildford said the Chinese were in “pole position” for the rebuilding and replacement “of our nuclear fleet” and this would have a major impact on UK energy policy and plans to meet net zero targets in the 2030s.

Plaid Cymru’s Lord Wigley warned that putting the Wylfa Newydd on indefinite hold would cause economic planning blight in north-west Wales and urged the Government to raise the level of support allocated to the region.

Lord Henley acknowledged the announcement was not welcome but added: “We remain committed to nuclear power. We will look to see what we can do. We still have a great deal of expertise in this country and we can work on that.”

 

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U.A.E. Becomes First Arab Nation to Open a Nuclear Power Plant

UAE Nuclear Power Plant launches the Barakah facility, delivering clean electricity to the Middle East under IAEA safeguards amid Gulf tensions, proliferation risks, and debates over renewables, natural gas, grid resilience, and energy security.

 

Key Points

The UAE Nuclear Power Plant, Barakah, is a civilian facility expected to supply 25% of electricity under IAEA oversight.

✅ Barakah reactors target 25% of national electricity.

✅ Operates under IAEA oversight, no enrichment per US 123 deal.

✅ Raises regional security, proliferation, and environmental concerns.

 

The United Arab Emirates became the first Arab country to open a nuclear power plant on Saturday, following a crucial step in Abu Dhabi earlier in the project, raising concerns about the long-term consequences of introducing more nuclear programs to the Middle East.

Two other countries in the region — Israel and Iran — already have nuclear capabilities. Israel has an unacknowledged nuclear weapons arsenal and Iran has a controversial uranium enrichment program that it insists is solely for peaceful purposes.

The U.A.E., a tiny nation that has become a regional heavyweight and international business center, said it built the plant to decrease its reliance on the oil that has powered and enriched the country and its Gulf neighbors for decades. It said that once its four units were all running, the South Korean-designed plant would provide a quarter of the country’s electricity, with Unit 1 reaching 100% power as a milestone toward commercial operations.

Seeking to quiet fears that it was trying to build muscle to use against its regional rivals, it has insisted that it intends to use its nuclear program only for energy purposes.

But with Iran in a standoff with Western powers over its nuclear program, Israel in the neighborhood and tensions high among Gulf countries, some analysts view the new plant — and any that may follow — as a security and environmental headache. Other Arab countries, including Saudi Arabia and Iraq, are also starting or planning nuclear energy programs.

The Middle East is already riven with enmities that pit Saudi Arabia and the U.A.E. against Iran, Qatar and Iran’s regional proxies. One of those proxies, the Yemen-based Houthi rebel group, claimed an attack on the Barakah plant when it was under construction in 2017.

And Iran is widely believed to be behind a series of attacks on Saudi oil facilities and oil tankers passing through the Gulf over the last year.

“The UAE’s investment in these four nuclear reactors risks further destabilizing the volatile Gulf region, damaging the environment and raising the possibility of nuclear proliferation,” Paul Dorfman, a researcher at University College London’s Energy Institute, wrote in an op-ed in March.

Noting that the U.A.E. had other energy options, including “some of the best solar energy resources in the world,” he added that “the nature of Emirate interest in nuclear may lie hidden in plain sight — nuclear weapon proliferation.”
But the U.A.E. has said it considered natural gas and renewable energy sources before dismissing them in favor of nuclear energy because they would not produce enough for its needs.

Offering evidence that its intentions are peaceful, it points to its collaborations with the International Atomic Energy Agency, which has reviewed the Barakah project, and the United States, with which it signed a nuclear energy cooperation agreement in 2009 that allows it to receive nuclear materials and technical assistance from the United States while barring it from uranium enrichment and other possible bomb-development activities.

That has not persuaded Qatar, which last year lodged a complaint with the international nuclear watchdog group over the Barakah plant, calling it “a serious threat to the stability of the region and its environment.”

The U.A.E.’s oil exports account for about a quarter of its total gross domestic product. Despite its gusher of oil, it has imported increasing amounts of natural gas in recent years in part to power its energy-intensive desalination plants.

“We proudly witness the start of Barakah nuclear power plant operations, in alignment with the highest international safety standards,” Mohammed bin Zayed, the U.A.E.’s de facto ruler, tweeted on Saturday.

The new nuclear facility, which is in the Gharbiya region on the coast, close to Qatar and Saudi Arabia, is the first of several prospective Middle East nuclear plants, even as Europe reduces nuclear capacity elsewhere. Egypt plans to build a power plant with four nuclear reactors.

Saudi Arabia is also building a civilian nuclear reactor while pursuing a nuclear cooperation deal with the United States, and globally, China's nuclear program remains on a steady development track, though the Trump administration has said it would sign such an agreement only if it includes safeguards against weapons development.

 

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Enbridge Insists Storage Hub Lives On After Capital Power Pullout

Enbridge Alberta CCS Project targets carbon capture and storage in Alberta, capturing emissions from industrial emitters to advance net-zero goals, leveraging carbon pricing, regulatory support, and a hub model despite a key partner's exit.

 

Key Points

A proposed Alberta carbon capture hub by Enbridge to store industrial emissions and support net-zero targets.

✅ Seeks emitters across power, oil and gas, and heavy industry

✅ Backed by carbon pricing, regulation, and net-zero mandates

✅ Faces high capex, storage risk, and anchor-tenant uncertainty

 

Enbridge Inc., a Canadian energy giant, is digging its heels in on its proposed carbon capture and storage (CCS) project in Alberta. This comes despite the recent withdrawal of Capital Power, a major potential emitter that was expected to utilize the CCS technology. Enbridge maintains the project remains viable, but questions linger about its future viability without a cornerstone anchor.

The CCS project, envisioned as a major carbon capture hub in Alberta, aimed to capture emissions from industrial facilities and permanently store them underground. This technology has the potential to play a significant role in reducing greenhouse gas emissions and mitigating the effects of climate change, alongside grid solutions like bridging the Alberta-B.C. electricity gap that can complement decarbonization efforts.

Capital Power's decision to shelve its $2.4 billion Genesee Generating Station project, which was designed to integrate with the CCS hub, threw a wrench into Enbridge's plans. The Genesee project was expected to be a key source of emissions for capture and storage, and its status is being weighed as Ottawa advances the federal coal plan to phase out unabated coal.

Enbridge, however, remains optimistic. The company cites ongoing discussions with other potential emitters interested in utilizing the CCS technology, amid new funding signals such as the U.S. DOE's $110M for CCUS that highlight momentum. They believe the project holds significant value despite Capital Power's departure.

"We are confident in the long-term viability of the project and continue to actively engage with potential customers," said Enbridge spokesperson Rachel Giroux. "Carbon capture and storage is a critical technology for achieving net-zero emissions, and we believe there is a strong business case for our CCS project."

Enbridge's confidence hinges on several factors. Firstly, they believe there is a growing appetite for CCS technology amongst industrial facilities facing increasing pressure to reduce their carbon footprint. Regulations and carbon pricing mechanisms, including new U.S. EPA power plant rules that test CCS readiness, could further incentivize companies to adopt CCS solutions.

Secondly, Enbridge highlights the potential for capturing emissions from not just power plants but also from other industrial sectors like oil and gas production and clean hydrogen projects in Canada, where reforming processes can generate CO2. This broader application could significantly increase the captured carbon volume and strengthen the project's economic viability.

However, skepticism remains. Critics point to the high upfront costs associated with CCS development and the nascent stage of the technology. They argue that without a guaranteed stream of captured emissions, the project might not be financially sound. Additionally, the long-term safety and effectiveness of large-scale carbon storage solutions remain under scrutiny.

The success of Enbridge's CCS project hinges on attracting new emitters. Replacing Capital Power's contribution will be a significant challenge. Enbridge will need to demonstrate the project's economic viability and navigate the complex regulatory landscape surrounding CCS technology.

The Alberta government's position on CCS is crucial. While the government has expressed support for the technology, the level of financial and regulatory incentives offered will significantly impact investor confidence, especially as the IEA net-zero outlook underscores Canada's need for much more electricity. A clear and stable policy framework will be essential for attracting emitters to the project.

The future of Enbridge's CCS project remains uncertain. Capital Power's withdrawal is a setback, but Enbridge's continued commitment suggests they believe the technology holds promise. Whether they can find enough emitters to justify the project's development will be a critical test. The outcome will have significant implications for the future of CCS technology in Alberta and Canada's broader efforts to achieve net-zero emissions, including Canada-Germany clean energy cooperation that seeks to scale low-carbon fuels.

 

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