Increased EPA Regulations and Resulting Economic Uncertainty/Increased Job Loss

by: Les Carpenter
Rational Nation USA
Birthplace of Independent Conservatism
Liberty -vs- Tyranny

Climate change. The result of man's ultimate selfishness and disregard for nature and the cosmos. The only solution is adherence to the questionable "science" of global warming and the pontifications of the oracle of wisdom. The man who invented the internet... Al Gore. Or as I fondly refer to him, Al Gorelione.

It should be apparent by now that our progressive President has bought into the arguments presented by Mr. Gorelione and his fellow climate change "scientists". While the U.S.A wisely opted out of the Kyoto Protocol and resisted overreaching climate change regulations and with Cap and Trade going no where, at least for now, our esteemed President has found it appropriate to do the ultimate end run around the opposition.

Given the powers granted to the EPA {I wonder if they are constitutional} our knowledgeable President, no doubt with the approval of Al Gorelione and associates, have determined the end game can be won through, surprise, government regulatory restrictions.

Of course what is important is just how all this will shake out and effect the pocketbook and thus the livelihood of the American middle and lower economic classes. My guess is Mr. Al Gorelione and associates, as well as Mr. Obama will weather the increased costs of the climate change assault just fine. The Uber wealthy usually do.

So you may ask just what is your point? Fair enough question. The answer... soon electric bill will up as much as 60% because of increased environmental restrictions. It is anticipated that some coal fired generating plants will simply shut down due to significant cost increases associated with the new regs. Anyone seeing rolling blackouts?

Another thing, just how many decent paying jobs will be lost as a result of the coal fired energy plants being shutdown? And what of the economic uncertainty and potential pain those who lose their jobs will suffer as a result of Obama's decisions?

But don't take it from me. Here is the skinny {reality} of the issue.

From the Chicago Tribune

Consumers could see their electricity bills jump an estimated 40 to 60 percent in the next few years.

The reason: Pending environmental regulations will make coal-fired generating plants, which produce about half the nation's electricity, more expensive to operate. Many are expected to be shuttered.

The increases are expected to begin to appear in 2014, and policymakers already are scrambling to find cheap and reliable alternative power sources. If they are unsuccessful, consumers can expect further increases as more expensive forms of generation take on a greater share of the electricity load.

"Each generator will have to decide for itself whether the investment required to meet environmental requirements can be justified based on its projection of market prices and the cost of its capital. In any case, those costs will be passed through to consumers," said Mark Pruitt, director of the Illinois Power Agency, which procures electricity for Illinois.

American Electric Power, one of the country's largest coal-burning electricity generators, said Thursday it will retire nearly a quarter of its coal-fueled generating capacity and that it will spend up to $8 billion to retrofit remaining units to meet regulations that start taking effect in 2014. Those moves will have an impact.

"The sudden increase in electricity rates and impacts on state economies will be significant at a time when people and states are still struggling,'' AEP Chairman and CEO Michael G. Morris said.

Exactly how much bills will go up is unclear.

One company that expects to benefit from the changes is Chicago-based Exelon Corp., which has a large fleet of nuclear power plants that have low emissions and are cheap to run compared with coal plants.

"The upside to Exelon is unmistakable," CEO John Rowe said last year. "Every $50 per megawatt-day as a change in capacity prices, translates to almost $350 million of additional capacity revenue for Exelon in 2014 and subsequent years."

Rowe said energy prices are also expected to rise if coal plants are retired and replaced with other energy sources, like natural gas. "These changes add up quickly," he said. "A $5 per megawatt-hour increase in energy prices would be $700 million to $800 million of incremental annual revenue to Exelon on an open basis. We expect that at least some of that upside will be realized in the next two to four years."
{Read More}

Hm, coal fired technology is being squeezed out of being competitive. Nuclear fired plants are under scrutiny as well with respect to nuclear waste disposal issues and safety concerns. ultimately they will be in the same predicament.

So... People, buckle up and prepare yourself for a higher cost of living. The result of Al Gorelione and associates fuzzy, questionable, and inconclusive science. The nation's Chief Executive has signed on and the government/media complex will be frantically selling the non existent benefits of the new regulations.

Via: Memeorandum