CATF wants federal PPA?

July 12th, 2010

Oh, how bizarre can it get.  Sometimes, I’m left speechless in disbelief.   We all know about Clean Air Task Force’s toadying for coal, they’re the Clean Air Task FArce, but this?  It’s just going too far.

CLEAN AIR TASK FORCE THINKS THE FEDS SHOULD SIGN A PPA FOR FUTUREGEN ELECTRICITY!

Really, here’s a quote from the Press Release:

Use an Executive Order or similar means to require the federal government to buy electricity from the proposed FutureGen plant in Mattoon, Illinois. This recommendation would provide the financial certainty needed for the project to break ground.

And I’m sure that Tom Micheletti, of Excelsior Energy/Mesaba Project infamy, is not happy about this, not happy about it because they’re proposing the FutureGen and not Mesaba:

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IGCC plants have problems getting Power Purchase Agreements because they are NOT economical, even with all the federal and state subsidies, with all the perks, with all the circumvention of regulation, as the ALJ’s noted in their Recommendation to the PUC on the Mesaba Project PPA, it’s just TOO COSTLY!  And, plus, it’s NOT in the public interest!

ALJ RECOMMENDATION – DENIAL OF PPA

But there goes Clean Air Task Farce saying the feds, US, we the taxpayers, should buy up the FutureGen electricity?  Give me a break!  Really, here it is from the horse’s mouth(the other end of the horse is further below) — this CATF press release just out:

REPORT CALLS FOR COMPREHENSIVE ARRAY OF NEW DEMONSTRATION PLANTS, $20 BILLION IN NEW FUNDING

Here’s the entire CATF report:

The Carbon Capture and Storage Imperative

Contact the White House, Executive Office of the President, and tell the staff what you think of CATF’s brilliant idea and what you think of CATF’s lobbying for coal:

CLICK HERE TO SEND A MESSAGE TO THE WHITE HOUSE

And this article about it:

Expert: Feds should buy FutureGen’s power output

A respected environmental advocacy group has recommended the federal government alter the funding strategy for FutureGen.

John Thompson, director of the Coal Transition Project of the CATF, a non-profit organization based in Boston dedicated to reducing atmospheric pollution, believes the Obama administration should commit $1 billion in stimulus money to another carbon capture sequestration facility in Indiana with a 630 megawatt electrical capacity and commit instead to purchasing the electrical output over 20 or 30 years of the 250 megawatt FutureGen power plant proposed for a site west of Mattoon.

“FutureGen needs a commitment from the administration that is ironclad. This is a way to ultimately break the logjam on FutureGen funding. The stimulus money would be better spent at the Edwardsport IGCC project in Indiana that is more than 50 percent complete,” Thompson said in a phone interview Friday morning, referring to recommendations on coal energy solutions in a 70-page report send to President Barack Obama’s Carbon Capture and Sequestration Task Force.

The final decision by the Department of Energy on FutureGen funding has been postponed by at least six months. Last month, FutureGen Alliance CEO Mike Mudd said there is a gap between funding commitments by DOE and the alliance corporate partners of several hundred million dollars for the clean energy project with an estimated price tag of more than $2 billion.

Thompson, who lives in Southern Illinois, and his colleagues on the CATF believe federal support through a full-term energy purchase totaling several billion dollars would overcome concerns on cost overruns and other factors holding up a final agreement on FutureGen so far.

“We’re not trying to say FutureGen is a lower priority. But the facts are what they are,” Thompson explained. “The dangerous aspect of using stimulus money is what if there are cost overruns on FutureGen. It could come up short on construction or during the early stage of operations. We are worried it will become an orphan.”

Thompson said a federal electrical output purchase agreement from a FutureGen plan means the project really has a future. It can be a key part of the effort to institute carbon capture and sequestration in energy production.

He said CCS efforts in the United States have felt pressure from different sources, ranging from utilities reluctant to commit on a major scale to environmental groups wanting to phase out coal use as soon as possible.

“This has been delayed too long. The federal government needs to finally step up. With a stroke of the pen, the Obama administration can say the controversy is over,” Thompson said.

The CCS Task Force is expected to offer its recommendations in coming weeks, possibly in August. Thompson fears the political climate might cause more delays due to opposition to global warming warnings.

“The response in Washington is to rein in spending just at the time we need to complete these CCS projects. Almost of of them are in an advanced stage to break ground or fold up and blow away,” Thompson said. “The Republicans are saying global warming does not exist and many Democrats are saying we can solve our energy problems with wind power. This will require uncomfortable truths that won’t go away. And the public must realize coal won’t go away.”

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A little birdie has been looking around at Mesaba — but first…

Here’s a report of an obvious problem with IGCC from John Blair, Valley Watch— the pipedream is just that, and the truth that those of us in the midst of coal gasification know too well is finally coming out publicly:

Carbon capture plans failing – IEA


2010-06-14 18:22

London – The world is failing to meet goals to develop carbon capture technology, the energy watchdog to industrialised economies said on Monday as it reported back to G8 countries on their past promises.

At a summit in Japan two years ago, eight of the world’s leading economies backed an International Energy Agency goal to launch 20 large-scale projects to demonstrate carbon capture and storage technology by 2010.

In fact there were only five such projects in operation, all commissioned before the 2008 summit, said the energy adviser to 28 developed countries ahead of next week’s G8 summit in Canada.

None of those existing projects tested the full chain of CCS processes, which involves trapping and then piping and storing underground carbon emissions from coal and gas power plants.

“(The 2010 goal) remains a challenge and will require that governments and industry work in concert,” the IEA said in a report to the Canada G8 summit.

Large projects

One new Australian project had launched, however, and was proceeding to construction to test the full CCS process.

Also on a positive note, the IEA estimated that governments had committed over the past two years to provide over $26bn in funding support for demonstration projects. That compares with an annual funding need of between $5bn and $6.5bn over the next decade.

The IEA argues that CCS is a vital technology to fight climate change because it could allow developing countries to continue to burn supplies of cheap coal and still curb carbon emissions, as they try to grow their economies. Developing countries are now the main global source of rising greenhouse gas emissions.

The IEA estimates that about 100 CCS large-scale projects are needed worldwide by 2020, about half in developing countries, to stay within safer limits of climate change.

The report calculated that governments are committed to support between 19 and 43 large projects by 2020, and cited other estimates of about 80 projects at various stages of development.

“Much greater effort will be needed to meet future deployment levels,” it said.

– Reuters

Meanwhile, the little birdie…  We’ve been in this odd and unenviable place, a big horrible coal gasification plant, the Mesaba Project, promoted by Excelsior Energy, a shell corp with nada for assets, which demanded a Power Purchase Agreement then denied by the PUC, and yet inexplicably granted a siting permit for not just “one” but TWO projects totalling over 1,000MW of IGCC!  OH… MY… DOG!  So it’s in limbo land, and we’re wondering how on earth this thing stays on life support as it rots away…

The little birdie had this report:

Excelsior Energy was supposed to have filed a new air permit, and the MPCA was supposed to have reviewed the 2006 air permit application “to assure that the protocol was acceptable to federal land managers.”  Well, that didn’t happen, the “review” by MPCA OR the filing of the new air permit, which was supposed to have been filed last week.

2006 Excelsior Energy Mesaba Project Air Permit

… and the little birdie while looking around found this in their “Frequently Asked Questions” on their site, then scroll down to “View common transmission misconceptions” to p. 2:

Myth: The Mesaba Project will force wind energy off from the transmission grid.

Fact: Mesaba will make upgrades to the transmission grid so that the electricity from the Mesaba Project does not interfere with any existing or planned wind energy.

This myth stems from a misinterpretation of the Mesaba Unit One G477 and G519 System Impact Reports. In preparing the reports, the engineers determined that their base case was unrealistic. Therefore, they used their engineering judgment to make some assumptions so the reports could provide meaningful results. Although those assumptions were made only for the purposes of the report, an internet “blogger” misinterpreted the assumptions to mean that the Mesaba Project would force wind energy off from the transmission grid. In fact, the transmission upgrades associated with the Mesaba Project will ensure that it will not interfere with any “network resources” such as wind farms.

Hmmmmmmmmm…

And this “Myth” section is a lot like their letter to Commerce regarding EIS Scoping Comments:

Excelsior Energy Response to EIS Scoping Comments 11-7-06

Anyway, I’d like to see this blog posting they’re referring to!  Misinterpreted?  Naaaaaaah, it’s all the interpretations of those presenting and reviewing at the MAPP meeting.  Their claims are sorta like the matter of using a site with existing infrastructure:

mesabadoesitevisit2

I wonder what it was that blew their dress up… could it be:

So now it’s deliverable??? SWAG! January 9th, 2007

They caaalll Mesaaaba liiiars… November 25th, 2006

It’s all about this study — READ IT FOR YOURSELF:

Deliverability Study Report G-519 12-15-06

Anyway, their air permit application was submitted, and it is a mess. The rules have changed.  We’re waiting for the next Air Permit application, which will be… when???

It’s out,  and although the court rejected the arguments of Excelsior Energy saying they didn’t get enough out of the PUC, and rejected the arguments of Minnesota Power and Xcel Energy, the bottom line is that the Public Utilities Commission won, their Order stands, and so in a small way, Excelsior Energy has “won.”

There were three issues before the court:

I. Did the commission err in determining that the Mesaba project is an IEP under Minn. Stat. § 216B.1694, subd. 1?

II. Does Minn. Stat. § 216B.1694, subd. 2(a)(7), require the commission to undertake its traditional public-interest evaluation?

III. Was the commission’s application of the IEP statute to Excelsior’s PPA arbitrary and capricious or unsupported by substantial evidence?

Bottom line?

We defer to the commission’s expertise as to the definition of the technical term ―traditional technologies.‖ The commission’s decision that the Mesaba project is an IEP is supported by substantial evidence.
The commission has the statutory authority to consider the public interest in evaluating the terms and conditions of an IEP’s PPA. Its decisions in this regard are supported by substantial record evidence and are not arbitrary and capricious. Accordingly, the commission did not err in concluding that Excelsior’s proposed power-purchase agreement with Xcel is not in the public interest under Minn. Stat. § 216B.1694, subd. 2(a)(7).

Here’s the full decision, issued today at 10:00 a.m.

May 18, 2010 Excelsior Energy-Mesaba Project Appellate Decision

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So what is Tom Micheletti doing in Senator Amy Klobuchar’s office?

Why is Senator Klobuchar entertaining more stories, fiction like “The Virtues of Coal Gasification in Northern Minnesota?”

Enough of Klobuchar and her pandering to fossils and their fuel – time to vote her OUT!

chimp_scratching_head

WTF?

The ALJ’s recommendation has come out in the Excelsior Energy Mesaba Project docket and he’s recommended that a permit be issued.  Really…

This is the judge who tossed out my client, Public Intervenors – Mesaba, Xcel Energy and Minnesota Power because we didn’t file testimony.  Show me in the rules where filing testimony is required…

THERE WERE NO PARTIES IN THIS DOCKET, JUST EXCELSIOR ENERGY.

Read it for yourself:

ALJ Report 12-28-09

I’m at a loss about what to say…

screamhomer