Michigan's Governor Snyder eyes phasing out coal-fired power
generation, unlike counterparts
Louisville, Kentucky (Platts)--16Jan2015/617 pm EST/2317 GMT
Michigan Governor Rick Snyder is setting his energy stall out
early in the state's two-year legislative session, saying he
wants to look into weaning the state off coal-fired generation.
Currently, Michigan sources about 50% of its power from
coal-fired plants, but Snyder told the Michigan Conservative
Energy Forum Thursday that "now is the time to look at a
long-term transition away from coal."
In the long term, Snyder sees potential replacements for coal
such as natural gas and wind "as viable options for Michigan,
both of which have begun to build a presence in the state," Dave
Murray, the governor's deputy press secretary, said Friday.
And the former business executive and venture capitalist's
stance on potentially expanding the state's 10% by 2015
renewable portfolio standard during this year's session could
hold influence in the Republican-dominated state Legislature --
which began its session on January 13.
No timeline for the phasing out of coal-fired power
was provided Thursday, but Snyder -- one of the five
Republicans currently occupying the governor's mansion
in Michigan, Illinois, Indiana, Ohio and Wisconsin --
plans to deliver a special speech on energy in March.
So far, Snyder is the only governor in those five states
to publicly call for coal generation's eventual demise.
All five states get at least half of their electricity
from coal. In Indiana, it is more than 80%.
Indiana Governor Mike Pence, considered a potential
Republican presidential candidate in 2016, touted coal
in his January 13 annual "state of the state" address.
"We must bring this war on coal to an end!" he declared,
echoing a familiar refrain of coal backers who accuse
the Obama administration of orchestrating a regulatory
assault on coal, primarily through the US Environmental
Protection Agency.
On Thursday, Walker, also seen as a GOP presidential
hopeful, said Wisconsin is preparing to sue the Obama
administration over the EPA's controversial Clean Power
Plan that aims to reduce carbon dioxide emissions.
In Ohio, Governor John Kasich signed 2014 legislation
that froze until 2016 part of the state's 25% renewable
energy standard that required electric utilities to
secure 12.5% of their energy from renewables by 2025.
However, environmental groups are optimistic the
Michigan RPS will be raised this year. "The governor
seems to indicate this is mostly likely to be the year
for action," Sarah Mullkoff, energy program director for
the Michigan Environmental Council, said Friday. "It
seems like all the pieces are falling into place."
According to the Union of Concerned Scientists,
renewables could supply 32.5% of Michigan's electricity
needs by 2030 with virtually no effect on power costs
and providing significant economic benefits.
In addition to coal's portion of the Michigan generation
pie, nuclear accounts for 26% of the mix and natural gas
20.2%.
--Bob Matyi,
newsdesk@platts.com
--Edited by Keiron Greenhalgh,
keiron.greenhalgh@platts.com
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