Articles by Sean Casten

Another rate increase in the name of cheap coal

Duke Energy just got approval to raise rates 18 percent to cover the continued rising price tag for its 630-MW planned coal plant in southwestern Indiana.

The new price tag? $2.35 billion, or $3,730/kW.

By my highly unscientific but quixotically regular analysis, that's a new record, just topping AEP's $3,700/kW proposed facility in Virginia. Way to go, Duke!

One note: This plant will not sequester its CO2, and $2.35 billion does not represent the full cost being borne by Indiana ratepayers:

On Wednesday, the commission also approved Duke Energy's $17 million plan to study the plant's potential to capture a portion of its carbon dioxide emissions as part of the company's proposal to possibly store the gas permanently deep underground.

So not only is it expensive, but it's also environmentally dangerous. But if we throw a few million ratepayer dollars at "studying" CO2 sequestration, maybe we can put a nice report together showing that someday in the future, it will only be expensive.

This apparently was insufficient to appease the environmental community:

Environmental and government watchdog groups oppose the plant and have sued to try to halt it, calling the project a huge waste of money that would be better spent on renewable energy such as wind farms. They also warn that its price tag could go even higher if Congress acts to impose caps on carbon dioxide emissions linked to global warming.

Crazy hippies. When will they learn? We need to burn more coal and raise power prices because coal is cheap. Why is that so hard to understand?

End of year musings on coal and its competitors

Some thoughts as we get closer to a new energy policy. Our total U.S. electric grid has a peak capacity of just over 1,000 GW. (That’s 1 billion kilowatts or, if you prefer, enough to power 10 billion hundred-watt light bulbs.) Of that total, here’s what we’ve installed just since 1995: ~200 MW of solar […]

The VC models are to blame, not the green technologies

It’s worth reviewing this great presentation from the folks at @Ventures: [vodpod id=Video.16097730&w=425&h=350&fv=] If they’re right — as I believe they are — we are soon going to see lots of greentech venture capital funds lose money. Given the potential for that loss to be skewed as “green technologies aren’t profitable” rather than “greentech VCs […]

Falling commodity prices unlikely to reduce power costs

I find this E&E story on the costs of building power plants troubling ($ub. req’d). The lead is accurate, but dangerously and deeply misleading: The cost of building power plants and transmission lines have begun falling after years of steep increases, promising to temper electricity rate spikes for consumers, according to a new report. Are […]