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Electrical co-ops want affordable renewable energy

by Brent Mcrae
| November 24, 2014 4:14 PM

Recently, eight people served by electric cooperatives in Montana issued a joint letter — published online by this newspaper — urging electric cooperatives’ support for actions by the Environmental Protection Agency to reduce carbon emissions. Among these eight individuals was the former chairman of the Northern Plains Resource Council, a fairly aggressive Montana environmental organization.

These individuals wrongly assert the electric co-ops oppose a modest effort to reducing carbon emissions. We would not do so.

However, the Montana Electric Cooperatives Association, which represents 24 electric cooperatives providing power to more than 400,000 Montanans, strongly believes the EPA’s proposed greenhouse gas rule for existing power plants is anything but modest. Our position of concern is shared by consumer-elected co-op board members from across the state. In addition, in the past few months more than 4,000 Montanans have sent in comments to the EPA on behalf of the co-ops, expressing their concerns about the agency’s carbon proposal.

Why do we assert this proposal is not modest?

Most importantly, this proposed rule does little to deal with global carbon emissions, which are slated to rise by 55 percent by 2035 even if every coal plant in the U.S. shuts down tomorrow, according to the International Energy Agency. Instead of unilaterally leading the world in cutting carbon emissions, the U.S. needs to lead in developing technology to affordably capture carbon emissions. But because the EPA proposal fails to address global carbon emissions, it will result in severe economic pain with little or no environmental gain.

The EPA itself has acknowledged that its proposal will lead to widespread shutdown of low-cost power plants across the country. Shutting down plants producing reliable two-cent to three-cent power and replacing it with a combination of wind and natural gas at a cost close to double of that amount is of great concern to co-op members concerned with affordability of their power.

When it comes to renewable energy, co-ops love renewables — when they’re affordable.

Most co-ops in Montana currently purchase a considerable amount of clean, green, carbon-free, renewable hydropower. For co-ops in western Montana, this low-cost resource comprises about 95 percent of their energy-purchase portfolio. For most co-ops east of the Continental Divide, the hydropower percentage accounts for closer to half their energy purchases, and significant amounts of wind energy have been blended into their needs above this hydropower.

Regarding wind energy, the letter accuses western Montana co-ops of opposing wind energy development. They don’t. They are, however, aware of limitations in the Pacific Northwest to absorb additional wind energy.

Co-ops in Montana and around the nation have been leaders in all of the areas the EPA calls on utilities to use for carbon-emissions reduction. This includes installation of renewable energy and investments in energy efficiency, two key components of the EPA plan.

The EPA’s proposal, however, ignores affordability, ignores power reliability and would establish an entirely new national energy policy without fully understanding the ramifications. Why would co-ops subject their consumer-owners to that level of risk?

Brent McRae, of Jordan, is a member of the McCone Electric Cooperative and president of the Montana Electric Cooperatives Association.