Tag Archives: Georgia Power

Solar eating fossil fuels’ cake in Germany

Why is Georgia Power still peddling misinformation about solar power instead of moving ahead with it? What’s happening in Germany could be a clue.


Giles Parkinson wrote for Crikey.com 28 March 2012 (it’s tomorrow in Australia), Why power generators are terrified of solar,
The first graph illustrates what a typical day on the electricity market in Germany looked like in March four years ago; the second illustrates what is happening now, with 25GW of solar PV installed across the country. Essentially, it means that solar PV is not just licking the cream off the profits of the fossil fuel generators — as happens in Australia with a more modest rollout of PV — it is in fact eating their entire cake.
So solar is taking the profits out of coal and natural gas. So sad!
Deutsche Bank solar analyst Vishal Shah noted in a report last month that EPEX data was showing solar PV was cutting peak electricity prices by up to 40%, a situation that utilities in Germany and elsewhere in Europe were finding intolerable. “With Germany adopting a drastic cut, we expect major utilities in other European countries to push for similar cuts as well,” Shah noted.

Analysts elsewhere said one quarter of Germany’s gas-fired capacity may be closed, because of the impact of surging solar and wind capacity. Enel, the biggest utility in Italy, which had the most solar PV installed in 2011, highlighted its exposure to reduced peaking prices when it said that a €5/MWh fall in average wholesale prices would translate into a one-third slump in earnings from the generation division.

You know, if the utilities got out in front and generated energy from solar and wind themselves, they wouldn’t be having this problem.

Here in Georgia, even Georgia Power could get going and do that, instead of fighting this:

Continue reading →

Net Metering in California: Megawatts and jobs

Net metering of solar energy works fine in California, where it increasingly provides electricity to meet peak demand. Georgia has a 2001 law that requires power utilities to do a version of net metering, but it’s a weak version and there’s a low cap on how much you can sell back to the utility.

The Georgia version, according to GEFA:

Net metering is the process whereby an energy consumer produces energy and then sells some or all of this energy to the “grid”, or major energy producers in the state. Under Georgia’s net metering laws, state residents and businesses can purchase and operate green energy capital, including photovoltaics, wind energy and fuel cells, and use this energy on-site. These residents and businesses may then sell any un-used, additional energy produced on-site to their energy provider. There is a maximum of 10 kilowatts (kW) for residential applications and up to 100 kW for commercial applications.
As you can see by GEFA’s pie chart, solar energy was too small to chart as a source of energy in Georgia as of 2004. With solar, we can burn less coal and uranium.

Solar Energy Industries Association (SEIA) has a report, Solar Net Metering in California,

Protecting Net energy metering (NEM) is the top policy priority of the Solar Energy Industries Association (SEIA) for California in 2012. NEM is a billing arrangement that allows utility customers to offset some or all of their energy use (up to 1 MW) with selfgenerated renewable energy.
The definition sounds the same, except for the cap: 1 megawatt is 1000 kilowatts, so California’s current cap is 100 times the Georgia residential cap and 10 times the Georgia commercial cap, with apparently no distinction between residential and commercial.

The result is this: Continue reading →

Barnes and Richardson against Georgia Power’s CWIP

Two former big-time politicos join the fight against CWIP.

Melissa Roberts wrote for CBS Atlanta yesterday, Unlikely duo challenges Ga. utility over rates,

The unlikely duo of ex-Democratic Gov. Roy Barnes and former Republican House Speaker Glenn Richardson are heading to court to challenge Georgia Power over a surcharge they say has cost ratepayers as much as $100 million.

They're going after Construction Work in Progress (CWIP)!

Jim Galloway in the AJC yesterday noted the irony,

The gentleman knows of what he speaks, and that is only one of the ironies here. The legislation that has allowed Georgia Power, for the last 15 months, to charge ratepayers for financial costs associated with the construction of two new nuclear power plants, was passed in 2009 during Richardson’s final session as the second- most powerful man in the Capitol.

Maybe he can help undo the harm he helped do. Ditto Roy Barnes, who got coal-plant-building Cobb EMC former head Dwight Brown off on a technicality.

Melissa Roberts wrote:

The lawsuit contends the utility is charging sales tax on the finance surcharge and the franchise tax paid to cities. Richardson said in a phone interview he and Barnes are two "Davids against the Goliath."

Add those two Davids to the two Davids of Savannah, Drs. Sidney Smith and Pat Godbey and their Lower Rates for Customers LLC. Add a few more thousand Davids around the state paying their CWIP in separate checks with objections.

New Hampshire banned CWIP and their nuke-building utility went bankrupt. Missouri banned CWIP. Iowa is working on banning CWIP. Georgia can ban CWIP, too. Watch out Goliath!

-jsq

 

 

 

 

Missouri has defeated CWIP: so can Georgia

A veteran of the original No Nukes movement calls Plant Vogtle and CWIP like he sees it.

Harvey Wasserman wrote Friday for EcoWatch, Nuclear Power’s Green Mountain Grassroots Demise,

The accelerating revolution in renewables has allowed solar, wind and other green sources to outstrip atomic reactors in cost, time to build, ecological impact and safety. As billions pour into Solartopian sources, private investment in atomic energy has all but disappeared—except where there are massive taxpayer subsidies.

Even that’s not enough. In 2011, President Obama handed $8.33 billion in federal loan guarantees to the builders of two reactors at Georgia’s Vogtle. But Peach State ratepayers are already being soaked for billions more in pre-payments, and the cost of the project is soaring. A parallel financial disaster looms at the Robinson site in neighboring South Carolina. Though the industry assumes these four reactors will eventually be finished, economic realities may say otherwise.

Cost estimates for new nukes have been soaring even before construction begins. Even with federal money, the builders still demand that state ratepayers foot the bill as the process proceeds, meaning consumers are on the hook for multiple billions even if the reactors never open. Pitched battles over this Construction Work in Progress scam have already been won by consumers in Missouri and are being fought in Iowa and elsewhere. As the years of building drag on, costs will escalate while renewables continue to become cheaper. Sooner or later, construction is likely to stop, as it did at numerous projects in the 1970s and 1980s which were never finished.

We can end CWIP in Georgia. It will benefit Georgia Power and the EMCs as well as all the rest of us when we stop wasting tax and customer dollars on boondoggles like Plant Vogtle or biomass or private prisons and get on with clean, profitable, job-creating renewable energy in Georgia: wind off the coast and sun inland.

-jsq

30 Megawatt solar plant opens near Austin

While Georgia Power continues to block solar deployment in Georgia, Austin Energy forges ahead in Texas with a utility-scale solar plant.

Here’s their PR, Austin Energy Activates 30 MW Solar Farm,

AUSTIN, Texas , Jan. 6, 2012 /PRNewswire/ — Austin Energy along with Austin City Mayor Lee Leffingwell , and Village of Webberville Mayor Hector Gonzales today announced the activation of a 30 megawatt (MW) solar power plant located within the Village of Webberville, Texas . The activation of the power plant marks the first utility-scale solar deployment for Austin Energy and helps bring the utility one step closer to achieving a 35% renewable energy mix by 2020. It is the largest active solar project of any public power utility in the country, the largest active project in Texas and among the largest of all operating solar projects in America. The project was activated on December 20, 2011

The key was a PPA:

The utility-scale solar project was made possible through a 25-year solar power purchase agreement in which Austin Energy will purchase the energy at a fixed rate along with the renewable energy credits.
In Georgia, PPAs can be made with municipal governments, universities, companies, or even individuals, if SB 401 passes.

An opportunity for EMCs: Continue reading →

Separate CWIP payments to Georgia Power —WACE call for action

We don’t have to wait for the Georgia legislature to ban Construction Work in Progress (CWIP) for Georgia Power’s new nukes at Plant Vogtle. WACE has put out a clever call for action about CWIP, Go Solar, Not Nuclear!

Here’s an excerpt:

  • Use two checks each time you pay your bill. One check covers the amount you are forced to pay for “Nuclear Construction Cost Recovery” (write “for solar construction” in the memo line). The other check covers the remaining amount of your actual electricity costs.
  • Include a note in the letter with your checks voicing your opposition to nuclear power and ask Georgia Power to invest your funds in solar energy instead. This note could read:
    • I oppose nuclear power because of its dangers to our health and our environment. (See the nuclear accidents at Fukushima, Chernobyl, and Three Mile Island)
    • I oppose the construction surcharge for nuclear power plants because they are too expensive and waste billions of our tax dollars. (Plant Vogtle was originally estimated to cost $660 million. Eventually, only 2 of its proposed 4 reactors were built, costing more than $8 billion, and resulting in huge rate hikes for Georgia residents.)
    • I ask that GA Power invest my money and any collected surcharges in solar instead.
The PDF of the call includes these addresses:
Tim Echols, Chairman
Georgia Public Service Commission
244 Washington Street SW
Atlanta, GA 30334
1-800-282-5813 		W. Paul Bowers, CEO
Georgia Power Company
241 Ralph McGill Boulevard NE
Atlanta, GA 30308
1-888-660-5890
And don’t forget Georgia Power’s parent company The Southern Company’s CEO, Thomas Fanning, said a year ago he’s “bullish” on solar. Let’s see some solar action from The Southern Company and Georgia Power!

Here are some more contacts.

You don’t even have to be a Georgia Power customer to write to these people. Most of them are elected or appointed officials who are supposed to represent you, the taxpayers.

-jsq

Why CWIP is a bad idea

Iowa is rejecting CWIP, and Georgia can, too. Here’s why.

Herman K. Trabish wrote for Green Tech Media 22 February 2012, The Nuclear Industry’s Answer to Its Marketplace Woes: Construction Work in Progress (CWIP) financing shifts the risks of nuclear energy to utility ratepayers,

A sign of the nuclear industry’s difficult situation in the aftermath of Fukushima is a proposal before the Iowa legislature
“Construction Work in Progress was intended to circumvent the core consumer protection of the regulatory decision-making process,”
that would allow utility MidAmerican Energy Holdings, a subsidiary of Warren Buffett’s Berkshire Hathaway, to build a new nuclear facility in the state using Construction Work in Progress (CWIP) financing (also called advanced cost recovery).

“Investment in nuclear power is the antithesis of the kind of investments you would want to make under the current uncertain conditions,” explained nuclear industry authority Mark Cooper, a senior fellow for economic analysis at Vermont Law School’s Institute for Energy and the Environment. “They cannot raise the capital to build these plants in normal markets under the normal regulatory structures.”

CWIP would allow the utility to raise the money necessary to build a nuclear power plant by billing ratepayers in advance of and during construction.

“Construction Work in Progress was intended to circumvent the core consumer protection of the regulatory decision-making process,” Cooper explained. “It exposes ratepayers to all the risk.” The nuclear industry’s answer to its post-Fukushima challenges, he said, “is to simply rip out the heart of consumer protection and turn the logic of capital markets on their head.”

And the Iowa Utilities Board staff agreed with Cooper and recommended against CWIP.
His message to policymakers is simple, Cooper said. “This is an investment you would not make with your own money. Therefore, you should not make it with the ratepayers’ money.”
Meanwhile, in Georgia: Continue reading →

Can Georgia ban Construction Work in Progress (CWIP)?

Georgia Power charges its customers Construction Work in Progress (CWIP) for the nuclear plants it is constructing at Plant Vogtle on the Savannah River. This while claiming a solar energy commodity market would raise rates for its customers. If nuclear is so great, why does it need to be pre-funded by customers? Can Georgia ban CWIP? Other states have.

This interesting survey by Wisconsin, courtesy of National Association of Regulatory Utility Commissioners (NARUC), says Illinois, Montana, New Hampshire, Ohio, and Oregon ban CWIP (except in certain cases for some of those states) and North Carolina and Washington in practice do not use it.

Appended below is the first question from the survey and the answers. The entire survey is on the LAKE website.

Here’s who in the Georgia state government you can contact about CWIP.

-jsq

CURRENT RETURN ON CWIP
VERSUS AFUDC [Allowance for Funds Used During Construction]
REGULATORY SURVEY RESULTS
March 2006

The Wisconsin Commission is relooking at its current practice for allowing a current return on construction work in progress (CWIP). We would appreciate it if you or someone else from your agency could respond to the following questions.
Continue reading →

Why and how you can help bring solar power to Georgia

Foot-dragging utilities have stalled SB 401, which would facilitate generating and selling of solar power in Georgia. Here’s why and how you can help fix that.

John Sibley wrote for SaportaReport Sunday, Solar power bill would give Georgians more choices Have you gotten used to thinking you have no choice on your power

Times are changing. More and more of us are discovering choices for managing our power costs. Beyond the time-honored practice of turning off the lights leaving the room, we can find light bulbs that pay for themselves in a year or so; and we can find appliances, water heaters, and air conditioners that pay for themselves in a few years. After that, the savings are like getting part of your power free.

Now, on-site solar power has become an economical option for many. Deals for rooftop solar panels can be done in Georgia today that will provide power for 25 years for as little as 10 cents per kilowatt-hour. Many Georgians can save money from day one. Since rates in Georgia have gone up 49 percent in seven years, they can also protect themselves against increases.

More and more Georgians are choosing on-site solar, but

Continue reading →

Georgia Power peddling old disinformation about solar power

On the same day as SB 401 revived as SB 459 gets a hearing in a better committee, Georgia Power trots out the same old tired disinformation it’s been peddling for years. As if we didn’t already know that almost all solar installations in Georgia are installed by certified solar installers. Or that pretty much every inverter these days comes with built-in automatic cutoff if the grid goes down to which installers add air-gap cutoff knife switches plus breakers. And as if Georgia Power didn’t know it and EMCs could charge a percentage on electricity arbitraged across their networks, which gapower could use to finance any needed grid improvements, while retaining a hefty profit for doing not much of anything else. Meanwhile, those of us who chose to participate in solar electricity arbitrage would get lower rates for customers. We do know all that, but maybe your state senator doesn’t, so maybe you should call your senator today and tell them you want to be able to buy and sell solar power without having to get it from the utility monopoly.

Greg Roberts, Vice President of Pricing and Planning for Georgia Power in Atlanta, wrote for the Savannah Morning News today, The solar sleight of hand. I’ll only quote part of his concluding paragraph.

Georgia Power is involved in many efforts to expand the use solar energy
Usually dragged along behind reluctantly, Continue reading →