Ohio is more heavily dependent on coal, so the price inflation on coal resources affects ratepayers more in those grids.  Carbon reg or tax on coal will also certainly punish OH and VA customers even more.  Throw in the cost of CCS technology, and the price per kWh from coal will start its march towards tripling, starting as early as 2020.

The increased cost of world-wide coal-generated electricity here today and forecasted for the future, places greater demand on natural gas.  Natural gas is a vital part to renewable generation's marketability, profit & penetration.  Expanding natural gas resources is economically important for the clean energy movement and the overall economy.  

Worse yet, before alternative resources are implemented in mass scale in regions like ours, enhancements to make the power grid more intelligent is required.  Otherwise, w/o a digital managed power flows, the utilities can not manage the intermittency of renewables in economic terms, which would then impede their usage and expansion.  

Va state price cap expire this New Years Eve.  Get ready for more rate hikes soon after, and if natural resources continue their steep climb upwards, more cost reimbursement thru rate hikes seen last month, are in store for the future.  As renewables and nuclear enter the grid, and coal is "cleaned", more transmission is required. All this spells "very expensive" electricity.  

With these economic developments, end-users' co-generation resources like pv solar roofing, enters into the equation.  With a smart grid and real-time pricing, co-generating along with some shifts in consumption habits will lessen the cost of our future electricity rates.

...are we going to be reactive or proactive about this situation?  I vote for proactive, let's start cranking on energy efficiency, conservation and renewables immediately.  If Dominion doesn't like it, our "leaders" should tell them to suck on a lump of coal.

We have been over this a ton.  Myself and most every average American doesn't disagrees with you Lowell.  But the problem is, most every American does not understand the complex problem facing the electric utility industry.  Consequently their opinions are inaccurate, and this includes are dear politicans.  

Why?  Maybe for one many drink from the same cup.  I sip that sauce quite frequently myself, but I also plug my nose and lap the wine the utilities and regulators provide.  Sure it doesn't taste good, but neither does good medicine.  You should try it and it'll help you.  

True advances from EEC need time, money and the smart grid.  Mass scale siting of renewables need time, innovation and utility specific testing, smart grid, transmisison, natural gas expansion, money and did I mention time?  

All of this has been initiate in most states, and I would say we have arrived at or will soon be arriving at first base safely.  

The problems facing the energy industry, is like the problems a ball club faces when future CY winner Tim Lincecum is on the mound.  You beat a pitcher like this with walks and sacrifice flies.  Walks have little glory in baseball, but against a pitcher like Lincecum who doesn't throw many balls, only the best skilled batters earn the right to safely stand on first base.  Walks are very good.  Sure a sacrifice fly results in an out, but put a couple of those together and that walked baserunner might be crossing homeplate.

But a player who arrives in the batter's box swinging for the fences, hoping for a lucky homerun, will not find much success and worse yet, sets back the entire team's effort to win.  If he/she does it a 2nd time, that player will end up watching the rest of the game from the bench.

Virginia isn't sunny Arizona or windy North Dakota or west Texas, so Dominion has opted for the smart grid; and new dirty coal and gas are still fossil, but they are better to replace old dirty coal which is more polluting and more costly to operate.  These are the proactive steps Dominion has taken or are trying to take.  Have you help them with that?

We need to stop thinking of power consumption and generation in VA in such a regionalistic way.  We don't have to produce every kwh in Virginia that we consume.  Federal coordination is going to be what is required to ensure that we have access to "green" power.  It is something that certainly can be done.  Just as we built the transcontinental pipeline to move oil from Texas to New York City, we can build transmission to bring wind power from the Great Plains to VA.  

Plus, there is so much technology out there.  I think we can overcome the cost and commercial production barriers given time and money.  It's just a matter of having a coordinated strategy at the federal level.  Then states can take that and run with it.  

Time and money, as you point out, are a necessity, but so is a strategy.  Tactical decisions can be handled completely by the private sector.  But the strategic decisions need to be on a national scale and that is through the federal government.

I think we can give Dominion credit for ensuring we have a reliable system.  But their thinking is on energy policy at large is provincial.  I'm not blaming them for that.  We set this system up, and they just operate within that framework.  Albeit, Dominion has a great deal of influence over the system in place in Virginia.

...except when there's a thunderstorm, in which case Dominion's wonderful system goes ka-blooey!

Have you seen that they have a usage comparison tool on their site?  If you have enrolled in their online service, you can run this usage report that shows a breakdown of how much more or less used than the prior month and prior year.  They break it down by weather, billing days, rates, and customer control.  It's really quite useful.  

For the July bill, I used 391 kWh less than last year, and only 77 kWh was attributable to one degree cooler weather.  The rest was all me.  =)  And I haven't even bought a new A/C unit yet.  See, Big D is helpful, they are helping to determine how much my EEC efforts are paying off.  Though they may be understating the weather related impact on my usage, I'll have to check back on that in another year.

Seriously, I really can't.  Dominion's really helpful because they've got a usage comparison tool on their website?  Wow, what WILL they come up with next?!? :)

I was just commenting on this one thing I think is neat.  And it is a useful tool.  How would you know what specific impact weather had on your usage?  Dominion doesn't report CDDs on your bill.  And CDD information from NOAA at National Airport is not easy or free information to come by.  Equally, you may make improvements and your bill amount doesn't go down, that's another reason why this is helpful.  They include the rate change impact as well.  You may have been making some change that you thought was doing something, but it turns out there were just fewer days in this billing cycle.  

Information is power to the consumers.  You can't expect ignorant consumers to make all of the efficiency and conservation choices we want them to make if they don't have adequate information and tools at their disposal.

I know pooh, pooh on Dominion; all they do is evil.  ;)

I've used this too, it's not bad. But what percent of Dominion's customers even know it exists, never mind use it?

What would be really cool is if Dominion offered us these.

offering a power-cost monitor, home energy audits, and peak pricing programmable thermostats on a pilot basis.  If you think these are great ideas, encourage everyone and their mother to write the SCC and rave about it.  Tell the SCC commissioners that you love this program and you want them to expand it and you are willing to pay higher rates to fund it.

But you know some of this stuff is stuff Northern Virginians can do themselves.  An energy audit costs around $300.  The median household income in Fairfax County is $100k; it's $87k in Arlington, $80K in Alexandria, PW is $80k, Loudon is $99k.  We're talking about a large group of people who could do this for themselves.  They certainly have the economic resources to accomplish these things without free program from Dominion.

...dragging its feet in a/c load management.  NOVEC has been doing this since 1979.  Other rural Virginia electric co-ops have been also.  The SCC knows its merits.  Screw the pilot.  Why wait to see the response.  Advertise these switches to every single customer.  The utility controlled thermostat technology isn't something which should be introduced first, in my opinion.  To me its like they don't mind if the introduction of it, before the acceptance & success of a simple a/c smart switch, scares people and subsequently the program flops.  The CPUC freaked out the state of California last year, when it announced they were going to propose it, and within 1 month, they shelved the idea until the citizens of that state were ready & educated about conservation and a/c load mgmt.  Virginians are a long ways away from that point in my opinion.  

An a/c load mgmt program, is an absolute no brainer.  Its voluntary.  There's no physical inconvenience of warmer air, no less usage, and no cost to the end-user.  For the utility however, the results are decreased need to purchase expensive peak power on the open markets; therefore, there is less cost passed down to customers.  Most every utility load mgmt program offers a 24-hour a/c diagnosis service call if the system goes kaput for whatever reason.    

If any RK reader is in a state electric co-op, I'm sure they have an a/c load mgmt program, please inquire.  If and when Dominion users have it available, please do the same.  The more volunteers, the greater the impact.

Its so easy to blame Dominion but lets not forget they are a regulated corporation, handcuffed by higher authorities.  America was living la vida loca in the 1990's and early 21st century.  We were hooked on oil and expanded economically because that's what we wanted.  Both our republican and democratic politicans bragged they were part of those accomplishments.  They ran on those records and we voted for them because of it.  Now its time to pay the piper!

We need to stop thinking of power consumption and generation in VA in such a regionalistic way.

I have repeatedly stated an RPS is good, but it shouldn't be stated-based, rather it should be national-based or better yet regionally-based.  It should be controlled by a quasi-gov't entity much like regional transmission.  Aside from that point, Dominion does look for power outside of is distribution area, but you must realize our state sets limits on outside generation, because it prefers generation w/i its borders for jobs and revenue.   Dominion and BP have a 400MW windfarm under proposal in Ohio, half of which was just approved by that state's public utility board yesterday (or the day before).  50% of that power is coming here.  

we can build transmission to bring wind power from the Great Plains to VA

I'm all for that, but do you realize cost which the public has to bear?  Regulators have to see the truth in the economics before they force customers to pay for it.  Secondly, the grid infrastructure which to maximize that capacity does not exist.  Thirdly, the cost for this type of transmission is not only expensive, but no existing right-of-way is in place.  Like with all grid expansion, the some wing of the environmental-left will lead the charge against the utilities.  

It's just a matter of having a coordinated strategy at the federal level.

I have also posted that we can meet our goals, even beforehand, if a miracle were to happen - that miracle is a united Congress.  You have the pro-energy strategies, you have pro-environmental strategies, and you have regulator-initiated strategies.  I think the latter is the most accurate as it considers both the environment from the left, and the realities from the right.  It has taken awhile for Congress to agree with thismiddle position as we have just seen the first hints of their proposals released yesterday.  Look here at RK, you get ridiculed if you aren't 100% safe, clean and green.  Dominion only operates w/i parameters passed down from the federal and the state gov'ts, which is enforced by FERC and the SCC, and advised in part (transmission) by the PJM, so why the heck do we want to blame Dominion?  Virginia isn't Arizona, west Texas or Newfoundland.  

Dominion has a great deal of influence over the system in place in Virginia.

And rightfully so, aren't they the main utility provider in our state?  They know, we don't.  The SCC, FERC and the members of the energy committees in both the state and federal gov't are no dummies, they all know - its the rest of the politicans who are the problem.  Why because neither they nor most of their supports know.  People need to pay attention to regulators just as they pay attention to Fed Chairman Bernanke.  Read FERC and SCC reports and read regulator testimonies to Congress; this sort of truthful discussion in energy diversity has been going on since the late 90's.  The problem is the issues back then weren't so bad and neither side trusted the other's warnings.  Today we see both sides were right, but it has taken them that long to trust the other, so now the problem is bigger requiring more time and money.  Blame eachother for being deaf and for having little respect for the otherside.  

We know some states have been blessed by Mother Nature, while others have not, and some states have higher rates of growth than others which hampers this transition.  Therefore, some states will be able to do more than other, in comparison to their overall power needs.  On the otherhand, states like Virginia who need an enhanced infrastructure to optimized intermittent renewable resources and who have a higher growth rate, will not see (much) mass scale investments for renewables in the near-term; but this doesn't mean the energy revolution is slowed in our state.    

Take my baseball strategy to defeat Tim Lincecum as an example.  A strategy which includes battling at the plate for a walk and a sacrifice hit, is boring and seem futile.  But in the end, that's the best strategy to defeat a tough pitcher like Lincecum.  And if you are a fair-weather fan of baseball, you wouldn't want to be seated in a stadium watching such a "boring" game.  But if you know baseball, you'll take that type of game, if that's what it takes to earn a victory over a pitcher like Lincecum, every game in the season.  

The clean energy revolution is happening here in Virginia.  Many or most just don't see it because they only equate solar arrays and windmills as clean energy.  Retiring old coal plants, retrofitting efficiency to others, new gas generation, smart grid investments, commercial demand response contracts, air-conditioning load management programs, are all pretty much invisible to the environmental left.  That's because these people only drink from the same cup.  I think its time for them to expand their beverage consumption, don't you?

is in the hands of the consumers though.  The difference though is that the cost of the power used to be low enough that people didn't care quite so much about the price of power.  It is sort of like how cheap gas used to be - people won't conserve unless it hurts their pocketbooks.

On another level though, government can mandate things like minimum efficiency standards.  It could ban the use of the old style of wall warts that consume power even if nothing is connected to it.  It could ban incandescent bulbs.  It could ban HOA rules that forbid clotheslines.

I need to get my fiancee to think about turning the thermostat back up.  She likes it at a temperature that I find to be freezing.  When I am working from home, the temperature will climb a bit more, and she will walk in and complain that it feels like she is in a sauna.

We've heard politicians like Boucher, Kaine, and Warner say that we don't do much mountaintop removal in Virginia, and I think that the industry wants us to believe that we don't "do" much coal here in Virginia.

But, the bottom line is that Virginia is already importin coal from Indonesia, and we are blowing up our mountains in southwest Virginia to send coal to China. So, while Ohio may use more coal than us, we are definitely going to GREAT lengths for our own supply. Thats a lose-lose situation for Virginia. Not to mention the costs we will have to pay if Dominion builds another coal plant in Wise County.

Since its pretty obvious that electricity is going to be costing more, the least we could do is invest as a state in conservation and efficiency measures. As of now we rank dead last. No extra cost to the consumer, no extra hassle for the utility.

they say stuff like that?  Obviously, it's false, so what the hell?

if people realized the incredibly drastic measures we were taking to get coal, and that places in Virginia like Wise County are being obliterated for coal, we would ask our elected officials to stop using it immediately. And then they'd have to stand up to the coal industry.

Our current representation (except for maybe Bobby Scott and Jim Moran) aren't ready to lead us there yet. And we've only just begin to effectively organize around energy issues in Virginia in the last 12 months, IMO.

Who can stand to stand up to coal?
Mark Warner?
Absolutely. He is coasting to a safe election, and has a lot of credibility with the people of SW Virginia. He's never made energy a signature issue, but has made a strong reputation as a "business manager." On those grounds, Warner could safely come out strongly against mountaintop removal and new coal plants. But his old Chief of Staff is on Dominion's lobby team, and when asked his opinion on mountaintop removal, his answer is that "we don't do that much in Virginia."

Kaine?
Too late. Kaine is WAY far gone.
1) Supports more coal plants.
2) Says the commonwealth has only five surface mines, and that they make up a small amount of acreage compared to other states. What a bunch of bullshit.

Webb?
Absolutely. But like Warner, I don't think Webb has yet made it a priority to be out in front on energy issues.

Check out this Webb quote from "Born Fighting":

"The ever-hungry industrialists (realized) that (Appalachia) sat atop one huge vein of coal.  And so the rape began.  The people from the outside showed up with complicated contracts...  Soon the (local folks) were treated to a sundering of their own land...  The Man got his coal, and the profits it brought when he shipped it out.  (The Appalachian people) got their wages, black lung, and the desecration of their land.'

I don't know the Richmond folks as well as some of yall might. Do you think we may have any takers in Brian Moran, Creigh Deeds, or even Gerry Connolly, Judy Feder?

I know that Tom Periello in VA-05 would be right there pushing for positive change away from coal, and I plan to work my ass off to get him elected.

Other than that, its gonna be up to us blogging, organizing, and working our connections.

As a percentage of Ohio's total net megawatt-hour generation, 85.86% of their generation comes from coal.  In Virginia, only 46.95% of our total generation comes from coal.  So, like floodguy was saying: night and day.

Percentages were my own calcs, but generation data was courtesy of the Energy Information Administration (http://www.eia.doe.gov/cneaf/electricity/epa/generation_state.xls).

But that its a bad investment for Virginia consumers to use as much as we do.

n/t

I thought you were contending floodguy's point that Ohio uses more coal than we do.  Based on the VA doesn't use much coal was BS statement.  Sorry if I misunderstood.

I'll try to be more specific next time. Thanks :)

...the higher the affects related to fossil resource inflation.  That's not what one calls economic sustainability.  

I didn't think you're post was a reply to mine because it didn't relate. I thought you merely had attached your reply to my post by mistake.  

My point is higher fossil prices, moves to close the gap b/n it and more expensive alternatives.  I only gave you my interpretive domino affect of what higher coal will soon lead to.  

what would people think if you weren't here and I was the only one left to respond?  Jeesh.  If you are not dead left on the ritcher scale, you ain't green and so you'll find no honest ears here willing to listen, especially not when you have the RK founders play the game of posting rating scores against you.    

...and say the RK founders are "playing rating scores."

C'mon!

I said:

Nobody was arguing that Ohio uses more coal, but that its a bad investment for Virginia consumers to use as much as we do

I stand by that.

and not the part.  It's not just a bad investment for Virginia consumers.  It's a bad investment for all consumers.  But we are under an interstate regulatory structure that ensures that consumers in large regions of the country receive reliable electric service (that's both the Reliability Councils as well as the Regional Transmission Organizations as well as NERC and FERC).  You can't deal with Virginia generation in a vacuum; we are part of a much larger picture.  About the only state that has that luxury is Texas which has its own grid with limited connectivity to other states.

Ultimately, this is a question that the feds will have to answer for us when they put in place a cap-and-trade system.  If they want consumers to pick up the tab for changing generation, then that will be a heavy burden on consumers in all but 13 states where coal generation is less than 20%.  And all but two states in the union have coal fired generation that would require replacing.  Lucky for Virginians, we are in the middle of the 50 states.  So our burden will not be as great as others.  

Lowell and Miles endorsed your comment as though your point somehow overrode my reply, when it wasn't even on topic because you simply misperceived mine?  You guys are getting silly.  

especially since this is your blog.  Energy is a touchy subject for you.  

Heres my take from Monday: http://www.raisingkaine.com/sh...

Great stuff. We need to continue blogging on this issue!  

peace,
faithfull

Great work!