Americans for Balanced Energy Choices Statement Regarding WRA Petition to Suspend Permitting Process for New Coal-Fueled Electricity Plants

LAS VEGAS, Sept. 6 /PRNewswire

Americans for Balanced Energy Choices Executive Director Joe Lucas today issued the following statement ahead of the Nevada State Environmental Commissions (SEC) hearing tomorrow, Friday, September 7. The SEC is scheduled to rule on a Western Resource Advocates (WRA) petition that requests suspension of Nevadas air pollution control permitting process for proposed new coal-fueled electric generating plants.

We urge the Nevada SEC to deny the petition introduced by the WRA that suspends Nevadas air pollution permitting process for proposed new coal-fueled electric generating plants.

The state of Nevada currently gets over half (51%) of their electricity from American coal. The proposal would result in serious harm to Nevadas citizens by narrowing its options in developing future, lower-cost energy supplies; encouraging business to leave the state; and increasing the cost of electricity paid by Nevada citizens.

Currently, Nevada is the second fastest-growing state in the nation. Since 2000, the population of Nevada has grown 25 percent, four times the national average. Today, Nevada electricity consumption is growing 230 percent faster than the rest of the country. According to the Department of Energy, it is estimated Nevada will double its electricity consumption every six to seven years. It is critical that coal remains part of Nevadas energy portfolio in order to meet this growing demand for electricity for a growing population -- and do it affordably.

The WRA petition lacks both cost containment provisions and analysis of costs associated with proposal implementation. As a result, the petition fails to protect Nevada rate payers from the costs of the proposal.

Higher electricity rates resulting from the petitions request to displace coal-fueled electricity will have the same effect as a regressive tax, disproportionately harm lower and fixed income families through increased energy costs and encourage businesses to leave the state.

According to research, in Nevada alone, a 66 percent displacement will cost the state $2.5 billion in lost economic output, $1.1 billion in lost household income and 18,000 lost jobs.

The petition, if granted, would increase Nevadas dependence on natural gas to supply its power needs, would prohibit out-of-state power suppliers from competing in baseload Nevada power markets, and would eliminate or create disincentives for continued development of technology that provides cleaner coal-fueled electric generation.

Technology plays a critical role in allowing coal to burn more cleanly and, in turn, produce enough electricity to meet our global demand while capturing carbon dioxide and dramatically reducing emissions.

During the past 35 years, the countrys use of coal has nearly tripled, at the same time, air quality improved and emissions from coal-based electricity are 33 percent lower. This is due largely to the development and deployment of clean coal technology.

Technology advances have allowed industry to meet the requirements of the Clean Air Act and technology, given time, will again help our country and the world meet and balance its energy and environmental needs with the deployment of these technologies.

Moreover, SEC risks violating the laws of the state of Nevada and the U.S. Constitution if it were to grant the petition. The proposal cites no legal authority for the proposition that the state SEC has the authority to act as a surrogate for the EPA under the Clean Air Act. It also cites no specific statutory grant of authority beyond the general citation of the federal Clean Air Act and Nevada implementing statutes. The authority to promulgate such statutory amendments lies exclusively with the Nevada legislature and governor, not the SEC.

The proposals suggestion of prohibiting power purchases that do not meet WRAs proposed standard violates the Commerce Clause of the U.S. Constitution. By precluding out-of-state suppliers from competing in Nevada markets, the proposal violates constitutional law that says a state cannot block imports from other states, nor exports from within its boundaries, without offending the Constitution.

Instead of attempting to rid Nevada of one of Americas most abundant resources, the Nevada SEC should not hinder the progress made developing clean coal technology and using coal as a continued viable source to provide secure and affordable energy.

For these reasons, Americans for Balanced Energy Choices urges the Nevada SEC to deny the WRA petition.

About ABEC

Americans for Balanced Energy Choices (ABEC) is a non-profit, non- partisan group that promotes a dialogue with recognized community leaders across the nation to discuss balancing America's growing demand for electricity with the need to protect the environment. Because of its prominence in the nation's energy mix, electricity from coal is a major focus of the dialogue. For more information, go to www.BalancedEnergy.org.

SOURCE Americans for Balanced Energy Choices