Is California's Resource Adequacy at Risk?

California is experiencing growing concerns over resource adequacy.  The CAISO took the unusual step of objecting to the proposed shut down of the Calpine Sutter natural gas power plant at FERC saying the plant would be needed as soon as 2017 to assure resource adequacy and thus is made no sense to shut it down now. Why is Sutter being shut down? Because California electric demand is weak along with its economy, but all that renewable energy being added to the grid is classified as “must take” …Continue Reading »

Low Gas Prices Rattle Renewables

In "Economic and Employment Contributions of Shale Gas in the United States" IHS Global Insight says shale gas production is producing significant benefits for the U.S. economy from lower natural gas prices, significant growth in direct and indirect jobs and substantial tax revenue. The impact of the growth of unconventional gas is staggering. In 2011, unconventional gas market share reached 34 percent of all U.S. natural gas production. By 2035 it is expected to be 60 percent of all U.S. …Continue Reading »

Is America’s War on Fossil Fuels Even Good Politics?

The conventional wisdom is that the US EPA’s virtual war on fossil fuels especially coal is part of a concerted policy prescription to reduce greenhouse gas emissions and save the world from the consequences of global warming, climate crisis or climate change as it has been variously called.  EPA has promulgated rules including the Cross State Air Transport rule, the Maximum Available Control Technology Rule and the Once thru Cooling Water Rule among others to give life to this policy regime.  …Continue Reading »