Sep 26 - The State (Columbia, S.C.)

Santee Cooper is investing millions of dollars in avoiding a power struggle.

To meet the demand of some of the state's fastest-growing areas, the state-owned utility is considering a growing number of renewable and alternative-energy projects, such as burning garbage and wood, using wind turbines, and adding a new nuclear reactor.

The number of Santee Cooper customers and those customers' power consumption are growing so fast that it's like lighting an extra Charleston every four years, utility president Lonnie Carter said.

Carter said renewable energy is important because at the same time as fuel demand is growing, the supply of fossil fuels is declining and prices are rising.

Customer growth for Santee Cooper is expected to remain strong in coming years. "We have to plan well in advance to meet demand," Carter said.

The three coastal counties that get power directly from Santee Cooper -- Berkeley, Georgetown and Horry -- saw their population grow 5.3 percent between 2000 and 2003, while the state saw a 3.4 percent increase during the same time, according to U.S. Census data.

Carter said known reserves of natural gas will last about 50 years. In recent weeks, the cost of natural gas has nearly doubled, because of hurricane damage in the gas-rich Gulf of Mexico.

Meanwhile, the coal supply could last another 250 years, but coal prices also have risen in recent years as mines have faced tougher regulation, Carter said.

Currently, Santee Cooper gets less than 1 percent of its energy from renewable sources, not counting the roughly 3 percent the company gets from hydroelectric dams, Carter said. But the company's initiatives aim to get more power from sources other than fossil fuel.

Alternative energy sources could help consumers save money today and in the long run, but new energy projects require investments. Santee Cooper is spending $30.5 million on alternative-energy projects.

Whether renewable fuels become a major energy source nationally in the next decade or two depends on whether commitments to investment last, said energy expert John Van Zee, an engineering professor involved in developing hydrogen fuel cells at the University of South Carolina.

During the energy crunch of the 1970s, Americans got excited about several alternative energy projects that were dropped once oil became cheaper, Van Zee said.

Santee Cooper will remain committed to alternative energy, Carter said, but he noted that migrating to major use of such energy is a slow process.

"When you move an elephant, you move it one inch at a time," Carter said.

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