Thursday, August 21, 2008

DNR "90% Rule"--HOW Costly?

Something doesn't figure right.

P-Mac blogged about a proposed rule from DNR which would require utilities to reduce mercury emissions by 90% in the near-term.

Leave aside, for a moment, the alleged benefits--and focus on the costs.

Pat cited an article here, which quotes DNR as saying the increased cost would be 65-75 cents per kWH.

The agency did prepare a slightly expanded cost estimate for the Natural Resources Board this week, including costs for the multipollutant option for the state's 16 largest electric generating units. Those costs, the DNR stated, would range from between 65 cents and 75 cents per kWh

Umnnnhhhh...that increase will effectively close Wisconsin down, tomorrow.

Current per kWH charges are around 10 cents.

Don't get me wrong: I'm sure that DNR (Damn Near Russia) would be happy to get all those stinking people and factories out of Wisconsin. "Pristine environment", and all that...


Headless Blogger said...

Dad - I read that figure yesterday and assumed they meant megawatt-hour. But that is not a term that is generally used in power generation rate cases (a $0.0007 increase per kWH is still too much). I can only assume that someone misplaced a decimel point somewhere along the line.

Both this and WE-Energy's capitulation to the eco-fascists will need approval of the Public Service Commission for implementation in our electric rates. The PSCW will not automatically provide rate relief for cases where there is no benefit to the ratepayers.

The PSCW may tell WE to have it's shareholders eat that $100 million expense that is unrelated to power generation. Thay could also determine that costs of this magnitude for mercury reductions are not a prudent expense.

We can have a voice in the public hearings for the rate increases (just be sure to include a large check to Doyle-2010 with your testimony).

Dad29 said...

I think it's a decimal error, too, and have contacted P-Mac on the matter.

As to the $100MM--not so fast. Recall that WE caved and approved the Commission report (90 ways to shut down Wisconsin.)

THAT will earn them a chit with the PSC.

And yes, it's all related to the money in Doyle's hands.

Jeff Miller said...

So I guess mercury is bad unless it is in a compact fluorescent bulb they push on us.

Headless Blogger said...

The PSCW was not a part of the Governor's Task Force on Global Warming.

I believe the PSCW is required by statute to review rate cases on a cost-benefit basis. $100 Million to pay for no new power being produced sounds like a tough sale to me.

I hope to see Klappa take this one in his stock options.