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Who's Ready For Another Round of Permit Whack-a-mole?

9/23/2021

1 Comment

 
Let's take a look at the Grain Belt Express shenanigans that have transpired while I was on blogging break...

Perhaps the most significant thing is the way Invenergy wormed its way into a crucial energy bill in Illinois.  Illinois was facing the closure of numerous baseload nuclear generators that were no longer financially efficient to operate, but could cause reliability issues if closed.  It's never just about the issue at hand when legislation is created  to fix a particular problem, though.  Instead, all the grifters showed up to cut themselves a huge piece of the energy $$$ pie, tagging their particular want onto a piece of legislation that was needed.  Before you knew it, Illinois had created a monster energy bill, with plenty of money to be had for all the players who could afford entry to the party.  And, of course, Invenergy used the legislation as a vehicle to favor Grain Belt Express in the state.

Remember all that blather about not changing the law to impede a project that was already under development?  Well, apparently that does not apply if the changed law BENEFITS a project already under development.  Missouri was prevented from changing its laws because Invenergy didn't like the change, but Illinois was encouraged to change its laws because Invenergy liked the change.  What's the change Invenergy inserted into the Illinois energy bill?  It granted Grain Belt Express eminent domain authority to take property in nine Illinois counties.  Not only that, it also requires that the Illinois Commerce Commission make certain findings "if demonstrated in the application" and "without the taking of additional evidence."  So, now the Illinois legislature is dictating the decisions a supposedly independent regulatory body will make?  And it is removing due process for other parties who may participate in the regulatory process?  Who knows if this is even legal... I'm sure it will end up in the courts at some point.  Seems like a stretch to me.

So, GBE got what it wanted in Illinois.  I'm sure it's busy scribbling its "demonstrated" application as I write this.  Does anyone know where I can get a kangaroo to bring to the public hearings?

Meanwhile, GBE has been busy trying to be liked in Kansas and Missouri by sprinkling a little money around.  I had a dream last night that sort of went something like this:

*Insert Wayne's World dream sequence music here*
                  *Diddly-doo, diddly-doo, diddly-doo*
Citified PR Person:  These local yokels think it's fun to gather at the end of the growing season and throw big festivals that they call "fairs" to display the things they have wasted their time growing over the past year.  They give out awards and everything!  Here's where we come in:  The locals auction their projects off for money at the end of the festival.  It appears that purchasing one of these food things garners great respect for the purchaser.  Our idea is to have GBE bid on these things!

Executive:  Why would we have to compete to own one of these animals?  Can't we simply take it from the local using eminent domain?  Besides, what do we want with farm animals?  I can't keep those kinds of animals at my home in Chicago.

Citified PR Person:  Well, sir, it appears that the locals send these animals to the butcher and then feed off their flesh over the winter.  Also, our eminent domain authority does not cover the taking of farm animals, however, if you want that changed I'm sure it can be done, but maybe not as cheaply as buying a cow.

Executive:  *screams*  That's barbaric!  I demand allegiance from state legislatures everywhere!  Besides, everyone knows that meat is manufactured at supermarkets, not created by killing things. And you must know that eating meat is causing climate change.  Everyone must stop eating meat in order to save the planet!

Citified PR Person:  I was prepared for that... so I also have another option.  Sometimes they auction off vegetarian options, such as pies.  But pies don't cost as much or earn as much respect for the purchaser.

Executive:  I like pie!  But you may also purchase animals for the express purpose of disposing of them in order to end their planet-warming flatulence.  Here's $10,000.  Now go forth and buy some goodwill.
Wow, I need to find a sleep aid that stops such crazy dreams!  But GBE did manage to purchase a stunning array of farm critters at fairs across the region, however that decision was actually made.  Maybe Polsky can potty train a few and make them into family pets?  I'm just wondering what purpose Invenergy sees in trying to be liked.  It's not like purchasing animals at fairs will change the mind of any landowner to voluntarily sell a transmission easement.  So, what's the purpose of trying to buy favoritism with everyone else?  Invenergy must have some scheme in the works, because it is also trying to manufacture likeability by sending out pointless propaganda in the mail.
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Genius?  Sort of like Positive Energy?  I'm pretty sure the only people who care about GBE have already joined their neighbors... in opposition.  What's the point, Invenergy, what's the point?  What if you threw a party and nobody came?

GBE has also been busy making political contributions in Missouri.  What's next?  Special jackets for legislators with "Invenergy" embroidered on the lapel?  Hey, maybe they can hold a legislative barbecue to dispose of all those unwanted farm animals they purchased at the fair!  Whatever....

It's apparent that GBE still doesn't have enough customers to make its project economic, or it wouldn't be trying so hard.


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How would a new application in Illinois change things?  It would bleed Invenergy of even more cash trying to get GBE approved, that's for sure.

What if Invenergy stopped throwing good money after bad and re-imagined its project into something everyone didn't hate?  What if it could build a transmission line that didn't require eminent domain, and contentious siting battles?  It could if it went back to the drawing board and routed its project underground on existing rights of way.  Other developers have been smart from the start, and feel confident that the additional costs to bury will be offset by avoiding legal and regulatory battles caused by opposition, as well as avoiding costly project delays.  That business plan is a win for everyone!  Do you suppose Invenergy (and before them Clean Line) has already spent MORE trying to build above-ground transmission on new rights of way using eminent domain than it would have spent designing a better project in the first place?  It's never too late to do the right thing.
1 Comment

Grain Belt Express Moving Forward With Eminent Domain Threats

6/29/2021

1 Comment

 
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There, fixed the headline of this awful article on NPR that proclaims, "Grain Belt Express Moving Forward With Land Purchases."  How is it that this reporter gets everything wrong?  And I do mean everything.  I'm not sure there's even one sentence in this "news" article that is factual.  It's nothing but Invenergy's propaganda, and this lazy reporter bought it hook, line and sinker.  He did not talk to any other sources to verify any of the information he was given.  Did he learn that at journalism school?  Did he even earn a degree in journalism?  Or did he get a degree in political schmoozing?  Did he develop the lazy habit of simply reprinting corporate propaganda because it was quick and convenient?

Here's where the facts don't support the narrative in the article:
A project to generate electricity using wind turbines in Kansas and distribute the power in the Midwest and east coast is moving forward.
Invenergy has purchased nearly half of the land it needs in northern Missouri for the construction project that will begin in earnest in 2023. All of those deals have been the product of voluntary negotiations with landowners willing to sell, according to the company, although Invenergy could have used eminent domain to acquire the land.
Moving forward?  What does that even mean?  It's not fully permitted, it has no interconnection agreement to connect to the rest of the grid, and it has no customers.  It's been that way for pretty much the last decade.  It's not moving anywhere.

I seriously doubt that Invenergy has purchased nearly half the land it needs in northern Missouri.  Qu'est-ce que c'est "nearly," Invenergy?  Wasn't it something like 45% of the land in both Kansas and Missouri in Invenergy's recent letter to landowners (with nearly all of it in Kansas)?  So, 45% is "nearly" half?  Nearly only counts in horseshoes and hand grenades, Invenergy.  Did Invenergy really make this claim, or did the reporter misunderstand the information he was given and Invenergy hasn't bothered to correct him because they *like* the misinformation being presented?

What is "earnest" construction?  Is that unlike GBE's current quasi-construction on property purchased outright in order to avoid time and other constraints placed on its permit by the MO PSC in order to "protect" landowners?  Invenergy is currently engaged in apathetically building a bridge to nowhere.  Fact:  Invenergy won't be building anything anywhere until it is fully permitted, has interconnection agreements, and enough customers to make the line economic (GBE's loss leader pricing to Missouri municipalities doesn't count).

Voluntary?  Didn't use eminent domain to acquire land? 

***BREAKING NEWS FLASH for Reporter Ahl***

Invenergy has been sending a vaguely threatening letter to all landowners who refuse to sign.  It says
In certain circumstances, for example when landowners have stated their intention not to
engage in a voluntary negotiation process or have repeatedly refused attempts to be contacted by the Project, the only option available to Grain Belt Express is to pursue a legal proceeding for right-of-way acquisition. Missouri law requires landowners be notified in writing no less than 60 days in advance of the intended initiation of any right-of-way acquisition legal proceeding. Kansas has no prior notice requirement, however the Project intends to inform landowners prior to beginning any legal proceedings. To be clear, this letter is being mailed to all landowners for informational purposes and does not constitute such notice.
That sort of looks like a threat of eminent domain action to me.  I suspect that's Invenergy's intention as well.  You can take your "voluntary" and "willing to sell" and line the manure pit with it.  Landowners are being coerced to sign agreements under threat of eminent domain.

And if that's not factual enough, perhaps Ahl might be interested in one of the actual 60-day condemnation notices being sent to "selected" landowners?  These notices say:
If we are not able to come to terms on an easement agreement within 60 days of this letter, Grain Belt intends to file a condemnation action regarding the referenced property.
Any easement acquired as the result of this letter is in no way a voluntary action by a landowner willing to sell.  It's just another threat, this one more ominous.

Will Invenergy actually file on day 61?  We haven't quite gotten there yet, and the letter only says it will file, not when.  Both letters also sort of insinuate that the condemnation filing ends negotiations and sets the price.  In my experience, the condemnation filing was only the beginning of serious negotiation to acquire property.  The condemning entity would most likely rather not have to engage in the whole process and be willing to settle just to prevent a price for your property being set by a board of your landowning neighbors.  In fact, the letter itself says:
As it relates to the proposed acquisition, under the Missouri law, you have the right to:

b. Make a counteroffer and engage in further negotiations;
The list of landowner rights after condemnation is filed are required to be included in the letter under state law.  Landowners have plenty of leverage and can settle at any time, not just before condemnation is filed.  Maybe Invenergy isn't going to make condemnation filings until some time down the road when it has county assents, a permit in Illinois, interconnection agreements, and customers to pay for the project?  I dunno... just trying to apply a little logic because Invenergy's land acquisition cart is way ahead of its project pony.  I wonder why Invenergy is so interested in signing "voluntary" easements  for a project that is years away from actual construction?  Something smells here...

Maybe it's this?
The issue could come up again next year, but Luckey said the company isn’t concerned with that, as Invenergy is open to talking with lawmakers.
“It’s about coming to the table and letting them know we respect their point of view and the constituents they represent,” Luckey said. “We want to be a partner with them, and we are going to continue education and outreach with citizens and lawmakers.”
Coming to the table with legislators and playing a little footsie?  Respect must be earned.  Everyone knows those legislators are not acting in the best interests of their Missouri constituents, but in the interest of an out-of-state company's profits.  Missourians will vote accordingly.

And then there's this bold faced lie:
Luckey said linking the Grain Belt Express to the power grid could have helped avoid the massive power outage Texas experienced in February.
“The line would have made it possible to import substantial amounts of excess electricity to supply from other regions to address those outages,” Luckey said.

Except Texas has its own grid that is not connected to the rest of us.  They like it that way so they can control their own energy policy and avoid federal meddling.  Texas can't import anything from Grain Belt Express or anyone else, and that's not going to change. 

And let's end with this, which indicates that Invenergy's broadband promises may be going the way of the monopole... just an empty promise that falls to the wayside in order to increase Invenergy's profits.
Invenergy also lists benefits to Missouri including  the possibility of using the infrastructure to improve broadband internet connectivity to underserved areas.
Possibility?  Seems like it's getting less possible as time goes on.  When are Missouri legislators going to wake up and realize they're being played for fools?

This is possibly the worst reporting on GBE... ever.
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Shocker:  Unreliable Renewables Cause Power Shortages

6/15/2021

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It wasn't even a month ago that I wrote about NERC's recent predictions that increased reliance on renewables, such as solar and wind, in both California and Texas would cause shortages this summer that could require calls for consumer conservation, and eventually rolling blackouts if it gets bad enough.

Well, guess what?  It's happening, just as predicted.

California tells public to prepare for heatwave; power prices soar.

The California power grid operator told the public to prepare to conserve energy next week if needed as homes and businesses crank up their air conditioners to escape what is forecast to be a brutal heatwave.

But the ISO said it will notify the public if it needs to take steps to reduce electricity use, including a call for public conservation and if the grid becomes seriously stressed, rotating outages.

The group responsible for North American electric reliability has already warned that California is the U.S. region most at risk of power shortages this summer because the state increasingly relies on intermittent energy sources like wind and solar...

And what did California do?  It added more solar.  Yay.  Seems like it's not helping.

And then there's Texas...  Texas grid asks residents to conserve power as heatwave hits.
Texas's embattled electrical grid operator warned residents to cut electricity use "as much as possible" for the rest of this week, as several days of heat over 90 degrees Fahrenheit (32°C), combined with generation outages, could strain the grid even before summer officially starts.

ERCOT was "supposed to have enough reserves to meet peak demand this summer, yet here we are in mid June with the first bout of high temperatures and they are already seeking conservation," said Matt Smith, director of commodity research at ClipperData, a provider of commodities data and analytics.
"It does not bode well for the months ahead," Smith said.
Adding more wind, or more power lines to move unreliable wind around the state, isn't a long-term solution to this problem.  This is what happens when states rely on unreliable renewables. 

Thanks to federal subsidies for renewables that artificially make renewables the cheapest power out there, unsubsidized baseload fossil fuel power that can run when called is priced out of market and closed.  It's no secret that our federal government wants to force all fossil fuel electricity generators to close.  When they do, the entire country is going to be in the same boat as California and Texas.

It is suggested that spending trillions on new transmission for these unreliable renewables will be able to fill in the gaps by importing/exporting enormous amounts of electricity around the country.  It relies on the presumption that wind or solar will be producing in excess somewhere.  This only works on paper, or in some wacky computer simulation where renewable production is averaged out to a set percentage of full capacity.  Except it doesn't actually work that way.  When renewables are not producing, there is no power.  Presuming that your neighbors have enough excess to power your entire state is a fool's paradise during widespread weather events... or the roughly 12 hours per day when the sun isn't shining.  We simply don't have the technology to build enough batteries that can carry urban loads for any sustained period.

If we build some supergrid that sucks power from other regions to feed places like California, what are the other regions going to use to power their own towns?  Who makes the determination of power priority?  Will it be the federal government, making political decisions for the party that's in power?  Will rural America turn into a power-producing serfdom for the big cities that is blacked out first?  We're heading for disaster.  Why won't politicians listen to reliability experts like NERC?  Whatever happened to "science?"
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Globalism and Electricity:  Taking Over the World

6/9/2021

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Ever since President Xi Jinping pitched the idea of a “global energy internet” to the United Nations six years ago, China’s been trying to persuade the world to build the high voltage highways that would form its backbone. That plan to wrap the planet in a web of intercontinental, made-in-Beijing power lines has gone pretty much nowhere. Yet the fortunes of so-called supergrids appear to be turning, if not on quite the spectacular, Bond-villain scale Xi first envisaged.
What could go wrong?  What could go wrong with a global electric grid powered by unreliable wind and solar electricity?  What are the chances that some country that's still building fossil fuel generators would jack up the global grid and then disconnect itself and rely on its alternative resources to take over a paralyzed, powerless world?
This is absolute madness being pushed by an increasingly bold mainstream media owned by the elite with a global agenda.  It's the elite, rich and powerful, vs. the rest of us.  The Have-Way-Too-Much vs. the Have-Nots.

Take a look at this proposed map of the new global grid.
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Let's focus in on the U.S.:
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In addition to the green and blue lines, there's also a network of black and red lines across the continental U.S.  What are those?
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How close does that come to this?
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That's a map of a proposed "overlay" high voltage transmission grid that's been bumping along unbuilt for years.  First it was for coal, now it's for renewables.

It also looks a lot like this more recent version used by "Breakthrough Energy's" front groups, ACORE and ACEG, to illustrate their "Macrogrid Initiative."
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What's The Macrogrid Initiative?  It's a group of global elite billionaires who want to invest in a new electric transmission "overlay" grid.  These billionaires think they know more about the power grid than professionals.  It includes characters such as Bill Gates, Michael Bloomberg,* Jeff Bezos, a couple of Chinese Billionaires, and a selected elite from around the globe.

Ya know, they say New World Order is a conspiracy theory, just like a lot of things poo-poo'd by the media lately as conspiracy theories that later turned out to be true.  The media merely covered them up because they didn't fit the desired narrative.  Ditto with believing that The Great Reset is an elite takeover.  But if you google Bill Gates + either of these "conspiracies" there's plenty to read that doesn't sound quite as crackpot as it used to.

What are the chances that the Chinese independently came up with a macrogrid idea at the same time as Bill Gates?  That making electricity bigger and costlier and centrally controlled isn't a plan to take over the world like Dr. Evil?  What's the one thing in the world our society can't do without?  Electricity.

Why is our Big Government so obsessed with centralized renewables and Big Transmission?  Why is democratic energy, such as microgrids, home generators, and distributed generation being squashed?  We could sit here all day and ask these rhetorical questions.  Is there really no such thing as coincidence?
*Must be a real coincidence that this crazy story about a global power grid was published by Bloomberg, right?
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Help Wanted!

5/21/2021

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Now here's an interesting twist...  Dominion Virginia Energy wants the public's "advice" in siting its new transmission connection to its new offshore wind farm in the Virginia Beach area.
Dominion Energy Virginia is seeking public feedback and advice about linking its planned wind farm, 27 miles off the Virginia Beach shore, to the 500 kilovolt backbone of its statewide power grid at the Fentress substation on Centerville Turnpike in Chesapeake.
Bravo for taking suggestion, Dominion!  Communities burdened by new transmission will absolutely, positively rebel against a fait accompli transmission proposal.
Is there a "good" way to present a transmission line proposal to the public?  Not if you're approaching the communities with a fully-formed idea of what you're going to build and where you're going to put it.  The only good way to involve a community in a transmission proposal is to approach them with a need before making decisions about what to build and where.  Presenting a community with a problem to be solved and allowing meaningful input into the solution selected is the only way a transmission company can get community buy-in and support for the proposal.  Everything else is nothing more than a battle to push a bad idea the community doesn't want off onto someone else.
But Duh-minion only gets it half right... no,  maybe even less than that.  They simply use the *idea* that they are seeking community advice in an attempt to trick the community into thinking they are involved in solving a problem.  When all the window dressing is removed, this is nothing more than your routine transmission siting exercise. 

Dominion has already selected 6 routes.  The community gets to pick its favorite.  Are you kidding me?  That's not how it works and it's not going to fool anyone.  Dominion would have done better to ask for help connecting its offshore wind farm and left the siting options hidden for the time being.  Must be a control issue.  Dominion can't stand not having complete control.


The power company has part of the route nailed down: the 27 miles of underwater cable to a landing point at the state military reservation at Camp Pendleton. It also has proposed an underground route through the southernmost reaches of Naval Air Station Oceana, to comply with regulations restricting structures near airfields, which the Navy must still review.

Its research into what’s on the ground, in terms of neighborhoods, wetlands, wildlife and historic resources has led it to six options for the final roughly 15 miles to the Fentress station.

“We can look at maps and desktop it, but it’s not until we talk to people that we’ll really understand these alternatives,” said Kevin Curtis, Dominion’s vice president, electric transmission.

Guess what alternative they're going to get from the community?  Bury it.  All of it.  On existing rights of way.  Without that alternative, opposition begins.  Why?  Because burial is already an option for portions of the route, such as the path through the air station.  If Dominion can bury it under the ocean, and through the air station, then it can bury it the entire length.
One option for one of these routes would be to bury the lines for a stretch. That could create much more disruption during construction and mean they were costlier to install and repair than running lines overhead but would mean that portion of the lines would not be visible.
Oh, please!  These are transparent excuses that don't even make sense.  Too disruptive... as if having 3 separate overhead 230-kV lines in parallel isn't disruptive at all.  One time disruption to bury the project?  Or 50 years of disruption from an overhead line?  Installing a buried transmission line isn't really that disruptive.  They do it on streets all the time.  It's a shallow, narrow trench, not a whole lot different than fiber optic cable installation.  Costlier to install?  Maybe, but cheaper to maintain, especially in a coastal area subject to extreme weather.  Dominion's excuses are plainly excuses and completely illogical in the face of their plans to bury it at the air station and along a portion of one of the route alternatives.

With this kind of deceptive roll out, Dominion is doomed.  Why?
Five routes would run along the never-built Southeast Parkway, now an open space corridor through the most densely populated neighborhoods between Oceana and an area southwest of Princess Anne Road, between the Virginia Beach National Golf Course and the Princess Anne Athletic Complex.
Two words... densely populated.  It's over before it begins when Dominion ham-hands its rollout like this.

Help wanted?  Not hardly... unless the "help" Dominion is looking for consists of wildfire opposition leading to an entrenched battle.

Well, there goes that offshore wind idea.
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Transmission Tax Credits Interfere With Negotiated Rate Authority

5/14/2021

1 Comment

 
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Well, someone's been doing a little reading, haven't they?  Stick around, fellas, and maybe you'll learn enough about transmission rates to finally admit that your stupid ideas about building a useless and super expensive "macrogrid" just don't work.

The silly schemers behind the "22 shovel ready transmission projects" have finally recognized that there are two distinctly different types of transmission, traditional and merchant.  Can we get a hallelujah, boys and girls?  I'm guessing that they got a little worried that someone might recognize their lies, and that regulators certainly aren't going to fall for them.  So, they issued a new "report."  There's more "reports" in there than a 7th grade Social Studies class!  However, their "we meant to do that" ass-cover report does nothing but make excuses for their ignorance.  Do they really think regulators are going to buy this nonsense?

ACORE says that investment tax credits for transmission can be used by either type of transmission project.

Traditional:  The tax credits lower the cost of the transmission project and lower the amount captive ratepayers must pay for cost-of-service rates. *

Merchant:  The tax credits lower the amount of money the transmission owner needs to recover through rates, therefore the transmission owner can "offer" lower rates to voluntary customers it negotiates with, making the project more likely to find customers and be built.

Say what?  This is the biggest bunch of misleading propaganda I've read in a while.  Does ACORE really think regulators are going to buy that?
The tax credit would stimulate both of the main types of transmission projects—regulated rate- based projects and “merchant” lines whose costs are recovered through negotiated or market- based capacity reservations. In the case of regulated lines, a utility or Regional Transmission Organization (RTO) would allocate the costs through a state or federal (FERC) regulatory process across a set of wholesale or retail customers. In that case, the tax credit would reduce the costs paid by those customers and make the cost allocation and approval process easier so more projects can move forward. In the latter case of merchant projects, the transmission capacity reservation costs that developers need to recover from wholesale customers would be reduced by the tax credit. This would allow the transmission developer to offer a more attractive price to customers, increasing the odds of success.
A merchant project will have a set amount of capacity to offer through negotiation with willing buyers.  The project offers that capacity, and then negotiates the highest price it can get in the open market with voluntary customers.  Lowering the project's costs does not affect the market, or the negotiating power of the project.  The transmission owner will still negotiate individually with a voluntary pool of customers to contract the highest rates it can negotiate.  Paying less for the project because of a tax credit only increases the merchant transmission project's profit, it doesn't lower its rates.  Whoever came up with that idiotic idea needs to belly up to the bar and think of something else because this dog don't hunt.

And while you're scheming up your new scheme, don't lose sight of the fact that merchant transmission accepts all risk.  Any subsidization of merchant projects invalidates their merchant status and ability to fairly negotiate rates.  You can't give government or other handouts to merchant transmission and still call it merchant.  If you want to do that, we're going to have to regulate merchant transmission rates.  So, which is is going to be?

*The schemers have turned traditional transmission rates into Robin Hood Rates by replacing the current system of beneficiary pays with a new system where taxpayers fund the electric system based on income.  This upends the way utilities are paid for, and wrecks the regulatory system.
By reducing the cost of electricity, a transmission tax credit can significantly reduce the burden of electricity costs on lower-income Americans. Electricity costs are regressive in that they hit the lowest income Americans disproportionately hard. Electricity accounts for 3.7 percent of total household expenditures for lower-income Americans, versus only 1.4 percent for the highest-income Americans. This is because electricity is a necessity for many aspects of modern life, so the poorest Americans can only reduce their electricity consumption to a limited extent. Unlike other products, it is not possible to use a lower-cost substitute, as a kiloWatt-hour used by a lower-income family is the same and costs the same as one used by a higher-income family. In addition, lower-income Americans have less ability to invest in cost-saving energy efficiency upgrades. As a result, those in the highest 10 percent income bracket only spend twice as much on electricity as those in the lowest 10 percent bracket; for other goods, those in the top 10 percent spend nearly six times as much.In contrast, the federal taxes used to offset the cost of a transmission tax credit are much more progressive, with the top 10 percent of earners paying 60 percent of total federal taxes, and the bottom 30 percent paying negative tax rates due to policies like the earned income tax credit. As a result, a transmission tax credit that moves costs from utility bills to tax bills is very progressive.

It's also very illegal!!!  A public utility with an obligation to serve must charge the same rate to all similarly situated customers.  This means by customer class (residential, business, industrial) and not by individual customer income.  A public utility is prohibited from charging different rates to different customers based on their income.  A rich person pays the same for a kilowatt hour as a poor one because both use the same system at the same rate, and the sale of kilowatt hours is for the purpose of building and maintaining the system that produces and delivers that kilowatt hour.  Regulated utility rates are not about how much the consumer can or wants to pay, but about the consumer's share of how much the system costs to build and operate.

You cannot change regulated electric rates into some Robin Hood system based on income, race, or political affiliation by shifting the cost responsibility for electricity from ratepayers to taxpayers.  I think this idea might just be laughed out of regulatory venues.  Again, belly up to the bar... more ideas, more reports, more spinning your wheels doing dumb things.

The "macrogrid" just isn't going to happen.
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Reliability Reality

5/13/2021

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Seems like the idea of "reliability" is a big thing these days.  When applied to electricity, what does it mean?  It means that when you flip the switch on the wall at your home, the lights go on.  And that may be the extent of what the general public knows about the "reliability" of their electricity.   These folks are gullible patsies for  greedy, electric industry propaganda.  The best propaganda disseminates a self-serving idea that plays on public fear.

How many stories have you read lately about things that fail without warning:  bridges... pipelines... electricity.  Bingo!  You're being fed a bunch of lies about "the electric grid" and its "reliability."
Developers of the Grain Belt Express say the massive transmission line remains on track to open up by 2025, connecting wind power in western Kansas with voracious demand in the East.
The 800-mile project promises to add more reliability to the electric grid — all the more enticing since rolling blackouts in February left millions of Americans without power. While the $2 billion overhead transmission line aims at exporting wind energy from Kansas, it will also be capable of moving electricity both directions, which could have helped mitigate the electricity crisis that hit the United States earlier this year.

Zadlo understands the opposition to the project. But he said the benefits for people here and across the United States are immense. Just like railroad cars transport coal from mines to refineries, the Grain Belt will move a much-needed resource to customers, while also strengthening the electrical grid.

"Reliability benefits all people, right? Increasing the reliability of the grid is a good societal impact," he said. "Whether you're in the city or in rural areas, you will benefit from the increased reliability that Grain Belt will bring."

Well, gosh, you might think that we NEED GBE to make sure the lights go on when we flip the switch.  However, this is nothing but propaganda designed to make you think we're just sitting around watching the grid rot and waiting for some non-utility corporation to build enormously profitable new transmission that serves their generation portfolio.  That would just be stupid!

Reliability is maintained through transmission planning by several independent regional transmission system operators.  Reliability planning is their main purpose!    In addition, utilities must meet rigorous reliability standards set and enforced by NERC, a federal reliability enforcement organization.  We don't leave reliability to chance!!!  Therefore when some vapid media piece tells you that our grid is "outdated," "creaky," "aged," "unreliable" you can be assured that none of that is true!  Our grid is kept reliable through strict regulation, planning and operation.  These are the organizations that deserve all the credit for keeping your lights on.

The regional transmission system operators have a robust transmission planning process that looks years into the future to ensure that the grid remains reliable in any scenario.  If we need new transmission for reliability purposes, then the buck stops there.  All transmission that we actually NEED for reliability is planned by the grid operator, assigned to a regulated utility, and ordered to be built, with the costs of the project allocated across the electric ratepayers who receive the benefit.  It works!

However, GBE is not one of these needed reliability projects.  No grid operator has planned, ordered, or allocated the costs of GBE to ratepayers.  Instead, GBE is an outside actor that is attempting to build transmission for its own purposes.  It is building transmission because it wants to make money.  It is not building transmission to be a public service.  GBE owner Invenergy has no obligation to serve electric consumers and it doesn't give a rat's patootie whether or not your lights come on when you flip the switch.  Invenergy simply wants to see lots of money in its bank account.

So when merchant transmission projects like GBE tell you that they will provide some necessary "reliability," it's nothing but bogus propaganda.  Any "reliability" provided by GBE is reliability we don't need.  If we needed it to keep the lights on, GBE would be a regional system operator planned, ordered and cost allocated project.  But it's not.  It's a private corporate foray into transmission whose only obligation is to its own balance sheet.

The reality of reliability is that we have an extensive, federally sanctioned system that ensures reliability.

Grain Belt Express is not part of that system.  We don't "need" it to make sure the lights go on when we flip the switch on the wall.
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Lies About The Energy Industry That Even Ron White Wouldn't Joke About

5/11/2021

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My eyes rolled so far back in my head this morning that it's taken half a day to regain their function.  It happened as a result of reading this article in the popular periodical, Institutional Investor.  Now, I'm not sure who actually reads this, but any readers should be aware that not only is the article full of energy fallacies that would make a junior high school science student laugh, but there is no "investment opportunity" for pensions and large companies to be found in electric transmission.  When the rubber of this grandiose brain fart hits the road of reality, it's going to be a giant blow out!

I gotta wonder, do these investors actually drop cash into investment schemes they know nothing about, advised by a couple of yahoos who know nothing about how electric transmission is actually paid for?  Aaron Bloom and Richard Wiggins should be laughed right outta the room for suggesting that non-utility corporations can invest in electric transmission and earn a GUARANTEED 9-11% return on their investment from ratepayers.

NO!

Their understanding of the financial side of transmission is probably being laughed at in utility and regulatory circles.  I hope they're suitably embarrassed for this faux pas.  It's sort of like someone who has never had a child telling someone who has many children how to be a parent.  Aaron and Richard have no idea what they're talking about!!  Their article rings nearly every single bell in this dire warning about fraudulent investment schemes!  Maybe Aaron should spend less time trying to act like P.T. Barnum's long-lost grandson and more time being a humble student at NextEra's transmission rates department?  Then he could actually know his subject matter before he opens his mouth on the investment sideshow circuit.  Obviously Aaron is not the smartest guy in the room, no matter how much he may think so.

I'm going to split this into two parts, the rates/investment lies part, and the energy lies part.  Let's do the rates thing first, because it just bugs me so much!  Aaron (maybe with the help of Richard?) has completely scrambled two very different ways to pay for new electric transmission into one too good to be true investment "opportunity." 

Updating the grid is going to be expensive: at least $150 billion of investment and probably closer to $200 billion. That’s a lot of coin, but here’s the good news: These investments will earn 9 to 11 percent because that’s the regulated return on transmission assets. This is what’s allowed under the regulatory compact that was first laid out in the Binghamton Bridge Supreme Court case of 1865 because transmission is a natural monopoly. This isn’t like the deregulated power generation market; there’s actual competition there so independent power producers like Calpine Corp. can — and do — go bankrupt. Investors can lose everything. Not here — these returns are guaranteed.

The formula is pretty simple. I won’t bother to explain it:

Total revenue requirement = rate base × allowed rate of return + expenses

Biden just unlocked private investment in the grid. It is the most fundamental infrastructure there is — a giant power cord that connects supply with demand. These are valuable assets so the private sector should be lining up to invest. David Swensen made his reputation by championing investment in novel asset classes, and this one is sitting right in front of us: X marks the spot. Pensions and large companies like Apple, Alphabet, Microsoft, and Amazon are sitting on mountains of cash that should be jonesing for private finance initiative projects to build transmission for the federal government, give operational control to a regional transmission organization, and receive the approved return from ratepayers. Do more than consume the power — bank the returns!

Just last week, I blogged about politician, bureaucrat and media confusion over the distinctly different traditional, utility-owned transmission project vs. the more recent merchant transmission construct.  I'm guessing Aaron and Richard didn't read it.  If they had, they never would have made such a colossal mistake.  At least we should hope not, since trying to sell this "investment" if they knew it was fraudulent is... well... fraud!

Only regulated utilities can build and own regulated electric transmission (referred to as the "traditional" kind in my recent blog).  Amazon could not decide to build a transmission project and receive a return from electric ratepayers.  That's not how the regulatory compact works.  (Aaron needs to drop into NextEra's legal department, too, on his way back to the huckster department.)  Regulated utilities do not need "investments" from Amazon to build transmission ordered by grid planners (not the federal government).  Regulated utilities invest THEIR OWN money in transmission projects... and that's why they are allowed a regulated 9-11% return.  The regulatory compact balances low rates for ratepayers with a return that is just enough to keep the utility financially healthy.  There's nothing in there about corporations who are not regulated utilities.  Ratepayers are not money fountains for private corporations.  Utilities are for the purpose of serving the public.  Amazon is not.  Furthermore, utilities would never allow a company like Amazon to invest in their projects and collect the entire return.  The utility wants (needs?) that return to keep its own company healthy.  There's nothing in it for a utility to pass on all its profits to Amazon.  Let's really stretch Aaron's brain here, shall we?  A utility's equity in a transmission project is usually in the neighborhood of 40-60%.  It only earns a return on its equity.  The remainder of the project is financed with debt.  And that's not debt from Amazon.  It might be a bank, who gives really good rates to utilities - maybe 6% or less, based on the utility's credit rating and guaranteed regulated revenue stream.  However, debt is paid back to the bank by ratepayers at the utility's borrowing rate, not its equity rate (6%, not 9-11%).  There is no regulated profit for the utility there.  In addition, the "turning over operational control" of new transmission to regional transmission organization is purely figurative.  RTOs don't own transmission.  It's not like a utility could build transmission and then give it to PJM and wash its hands of the responsibility while collecting its juicy ratepayer return.  Saying something like that just demonstrates a complete lack of knowledge about transmission... or pushing a conniving and fraudulent investment scheme.

The only investment space for companies like Amazon in the electric transmission world is merchant transmission.  Non-utilities can propose, build and own whatever they want in the non-regulated world of merchant transmission.  Go for it, Jeff Bezos!  However, merchant transmission is not regulated.  This means there is no revenue stream from captive ratepayers.  This means there are no guaranteed returns.  This is a deregulated transmission project market.  There’s actual competition there so merchant transmission developers like Clean Line Energy Partners, can — and do — go bankrupt and their investors can (and did!) lose everything.  Merchant transmission can only recover its costs through negotiated rates in a free market.  Merchant transmission must have voluntary customers to be financially viable.  There are no captive ratepayers.  The allowed return is the difference between the cost of service and the rate that can be voluntarily negotiated.  It is not guaranteed.  Nothing about merchant transmission is guaranteed by anyone.  It's a risky business, but if Amazon wants to dabble in it nobody is going to stop them.  But Amazon has to accept the full risk of losing its investment in its entirety.  Is that a good investment for pensions and corporations?  No, it's not.

Biden did not "unlock investment in the grid."  The only thing that is actually operational is some transmission loan guarantees from DOE.  That does not mean that Amazon can invest in the new merchant transmission Clean Line, called Grid United, and recover all its investment from the federal government when Grid United fails.  Merchant transmission assumes all risk.  If the federal government is taking on the risk, then it's no longer a merchant project and we're back to square one with the regulated utilities that aren't interested in Amazon's money.

Bottom line:  There is no "private investment" in regulated transmission.  There is no opportunity for companies like Amazon here.  Trying to sell it as a high yield, no risk investment opportunity would make P.T. Barnum blush.

Now, let's move on to the energy lies...
  1. Environmentalists are not winning.  They're losing.  Probably because of lies like this.
  2. We don't need ONE unified electric grid.  The bigger it gets, the more connections it makes, the bigger its chances of failure.  Cascading outages are a real risk when everything is connected.
  3. California and Texas can't keep their lights on in a crisis because they don't have enough reliable baseload generation that can run when called.  Renewables are variable resources that must be backed up with adequate baseload.  Build too many subsidized renewables and baseload is forced out of market and closes.  When your baseload closes, it is not incumbent upon other states or regions to sell you their electricity because you didn't plan your system properly.  If California and Texas planned and built for their own needs, instead of planning to be a power parasite, they would be able to keep their lights on. 
  4. Remote renewables are NOT "distributed" generation.  They are the same centralized generation + transmission model criticized in the article.
  5. Fifteen states DO NOT account for 87 percent of U.S. wind energy potential, most geographically far from the urban load centers where most of the country’s energy is consumed.  The article leaves out offshore wind, which has much more potential and is conveniently located nearly all of the major urban electric load.  Turning the Midwest into "the Saudi Arabia of wind" while keeping your own sea views pristine is just another parasitic move.
  6. If Wyoming wants to tax wind power, bravo!  There's nothing bad about that.  It's good for Wyoming.  Why should Wyoming become the parasites' power plant for free?
  7. The physics of distributed generation do work!
  8. Wires are not cheaper than batteries in all instances.  Consideration must also be given to who pays.
  9. It's only "cheaper" to build renewables because they are so heavily subsidized by taxpayers.  The real problem is that transmission is not an asset that can or should be subsidized. 
  10. The U.S. transmission grid is not inadequate.  It is not congested and old.  It is a carefully balanced high-tech machine that is constantly updated and it keeps the lights on, even when the wind doesn't blow.  (Had to add that... hope it hit the spot!)
  11. You can't pump any more electrons on to certain places in the grid because they don't need power there!  Building generation in remote places where no one needs it and then demanding that those folks pay to build you a road to get your product to market defeats any cost savings from building the generator there in the first place.  How about concentrating on building generation near load and saving us all a lot of money and headaches? 
  12. We don't need to double or triple the size of the electric grid.  We simply can't afford it.  Electric bills are high enough for most people, without doubling or tripling them.  (Investment opportunity!!!  Who is supposed to be paying for this?  There ain't no such thing as a free lunch!)
  13. The grid is not collapsing.  People may find it boring, but that's because it's serving its purpose and nobody has to think much about it.  However, if you triple electric bills, make the grid unreliable, and put huge lattice transmission towers across working farmland and in everyone's backyard I guarantee you that nobody would find it boring anymore.  They'd be talking about it constantly... and they'd be coming for your head with torches and pitchforks.
  14. The sun shines brightest and the wind blows hardest?  WTF?  Do you know how juvenile this crap sounds?  How condescending of you!  You glib little shit.
  15. The overhead grid on huge towers is an old idea that requires sacrifice from landowners who receive no benefit.  We don't have to build transmission this way anymore.  It can be buried on existing rights of way, like railroads or roadways, and no one would have to sacrifice.  In fact, transmission like that would probably face little to no opposition and sail through regulatory proceedings.  Why aren't we building that?  Why are we stuck in the past continuing to build new versions of Nikola Tesla's grid?
  16. Nobody cares how many jobs you create building stuff we don't need.  Maybe we should just pay these people to sit on the couch and call it a "job."  Oh wait... that's already happened.
  17. If you want low cost energy to increase America's productivity, building a whole new energy source and grid while continuing to pay off the perfectly adequate one we have now, isn't the way to accomplish it.  Switching to renewables is only going to drive prices up.  I don't believe any "low cost renewables" hogwash.  It does not pencil out.
  18. The only ones who can afford electric cars are the wealthy.  The other 99% are going to cling to their gas cars as long as they can, and then simply do without.  Every American is not going to switch to an electric car.
  19. A Tesla charged in WV is not a coal-powered car any more than one charged in New York City.  The entire grid is a mix of both "dirty" and "clean" electrons, however there are much more "dirty" ones than "clean" ones.  They get all mixed up.  You can't segregate them.
  20. Electrifying everything is putting all our eggs into one energy's basket.  That's terrifying.  When the electricity goes out at my all electric house, nothing works.  Not even the water.  That's why I have a diesel generator for back up.... and a charcoal-powered grill!  Diversity is a wonderful thing!
  21. We don't have room for forests of wind turbines and oceans of solar panels.  Build that crap in your own backyard.
  22. The idea that a 3-hour time difference from coast to coast will act as a buffer for renewables failure to produce when needed is preposterous.  It's only 3 hours.
  23. Other countries use more renewables.  They also pay exorbitant electric bills and, as a result, use much less electricity.  They are not adding things to their electric load, like cars and heat pumps.  Other countries have robust offshore wind generation.  We have one.  Other countries use buried transmission. We do not.
  24. ZzzzzzZZZssss... oh pardon me, I think I fell asleep reading all this drivel.
What a joke!  A joke for Ron White.

Aaron Bloom got run over by a Volvo;
Coming home from transmission rates class last night;
Some folks say there's no such real investment;
But as for these two hucksters, they believe.
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22 Transmission Ideas + Free Government Cheese = Rat Infestation

4/30/2021

4 Comments

 
He's back!  Thought you were done with Michael Skelly for good when his Clean Line Energy Partners went belly up after wasting $200M of investors' money?  Sorry.  The smell of free government cheese was apparently too much for him.  He's back... as a "founder" of Grid United.  Grid United LLC was just created a couple weeks ago and registered in Delaware.  Gosh, where have we seen all this before?
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Isn't this the way the Clean Line money burner started?  I wonder if he's called up Jimmy and Jayshree to join him again?  So... what sparked this sudden interest to join the transmission world again after such a spectacular failure?

Free government cheese!  If you put out the cheese, the rats will come!

It appears that the people and corporations who will make enormous profits from overbuilding new transmission, along with "big green" non-governmental organizations who seek to fatten their own bottom line and reach their own political goals, have been elected to the White House.  It's no coincidence that the cabals seeking political power and riches beyond imagination have taken control of U.S. energy policy.  It's also no coincidence that the White House announced new actions to "upgrade America's power infrastructure" at the very same time that one of the cabals announced a new list of 22 "shovel ready" transmission projects.  It's quite clear who is in control here.  It's corporate interests.  The swamp has been rewatered and the creatures are multiplying.

Along with the 22 "shovel ready" transmission projects, the White House announced more than $8B of federal loan guarantees for "innovative" transmission projects.
“DOE is making financing available for projects that improve resilience and expand transmission capacity across the electrical grid, so we can reliably move clean energy from places where it’s produced to places where it’s needed most,” said Secretary of Energy Jennifer M. Granholm.
Holy Solyndra, Batman!  Gosh, what if Skelly could get his hands on $8B of free government cheese to spend on a new suite of Clean Line... err... Grid United... transmission ideas?  Since no private investor would be likely to give him another penny for his transmission ideas, it's up to the federal government to give OUR money away for Skelly to play with.  And where are those "places where it's needed most?"  I've been trying to get this meaningless platitude defined for years now without success.  I think it means turning rural America into an industrial power plant for urban needs.  For some reason, urban needs are "most" and rural needs are sacrificed.  Environmental justice?  No, just a bunch of hypocrites of the highest order who intend to place their energy infrastructure on precious farmland and through the backyards of hundreds of thousands of rural residents, even though these "peasants" won't get any benefit from it.  The DOE pretends that its free government cheese is only for "innovative" transmission projects, however the list of 22 "shovel ready" transmission projects includes mostly old technology  projects that have been bumping along unsuccessfully for decades.  There's nothing innovative here... overhead wires and hulking lattice structures hundreds of feet tall are something that Thomas Edison would recognize!  There are only a handful of quasi-innovative projects on the list -- those that are buried underwater or along existing rights of way.  And even then, they are based on the century-old idea of centralized generation and miles of transmission wire.  What's truly innovative?  This!  Distributed generation, making power where it's used, is our future however there is no free government cheese for this truly innovative new energy idea.

What projects are on the list?  Of course, Grain Belt Express makes the list, but it's not the project Invenergy is trying to build.  The project on the list includes the leg through Illinois, although Invenergy has announced that it only wants to build the portion through Kansas and Missouri.  It seems the "list" only includes Skelly's version of it.  Is he going to buy it back from Polsky?  Stab him in the back this time?  Completing Skelly's dream is the Plains and Eastern project.  It's on the list, although it was abandoned more than 4 years ago!  Is Skelly going to buy that one back from NextEra?  Adding to the mystery is the "new" Plains and Eastern's route.  It ends abruptly at the Arkansas border.  It does not continue through Arkansas to make the connection at Memphis that Skelly originally envisioned.  In fact, Skelly never envisioned a connection point at the Arkansas border.  What's there?  Is that a strong connection point where a gigantic 4,000 MW converter station can be built?  Nobody knows... it all seems like simple artwork fantasy.
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Observing the report’s map, Skelly said, “If you squint a little bit, you can see the beginnings of what would be a nationally connected system. Obviously, there are plenty of gaps here, but … if these lines get done, then we have the beginnings of a something” that could “grow organically into a national grid.”
Ahh, geez, if you squint a bit you can also see an infestation of fat rats swarming the cheese.  A squinting transmission plan and free government cheese?  Is this what now passes for national energy policy?  Stop the crazy!  But wait, there's more...
Among the projects are a few originally proposed by Michael Skelly’s defunct Clean Line Energy Partners, including the Grain Belt Express and the Plains & Eastern Clean Line.

“The reason we put these projects on the list is because they’re sited, and they’ve got interconnect agreements, and they’ve got studies; they’re ready to go,” said Skelly, now a senior adviser at Lazard, who joined ACEG Executive Director Rob Gramlich and several representatives of the listed projects’ developers in presenting the report.

Say what?  These projects have interconnection agreements?  That is a BIG FAT LIE.  Neither of these projects have signed interconnection agreements for both ends of the extension cord.  In fact, Grain Belt Express seems to be hedging its bets about where it will interconnect lately.  Will it be Ralls County?  Will it be Randolph County?  Will it be Indiana?  Invenergy says it has no idea.  No idea at all.  In addition, nobody knows what NextEra intends to do with the Oklahoma portion of Plains and Eastern that it purchased.  It's done nothing to make a new project out of the ashes of the old one.  However, Skelly's new cabal has some more policies it wants to put in place using its new perch at the White House.

Given the scale of transmission need discussed above, other policies to enable large-scale expansion of transmission over the longer-term are also needed.

Anchor Tenant

Legislation could be enacted to direct the federal government to directly invest in new transmission lines as an “anchor tenant” customer, and then re-sell that contracted transmission capacity to renewable developers and others seeking to use the transmission line. This would help provide the certainty needed to move transmission projects to construction and overcome what is called the “chicken-and-the-egg problem,” in which renewable developers and transmission developers are each waiting for the other to go first due to the mismatch in the length of time it takes each to complete construction.

FERC Transmission Planning and Cost Allocation Reform
The Federal Energy Regulatory Commission (FERC) has authority over how transmission is planned and paid for. FERC can use that authority to break the transmission planning and cost allocation logjams that are preventing large regional and inter-regional lines from being built. Legislation to direct FERC to use that authority could also be helpful.

Streamlined Permitting
While most authority for permitting transmission lines is held by states, federal agencies have authority over lines that cross federal lands. Steps can be taken to streamline and expedite that process, which can currently take a decade or more.

Hey, remember why Plains and Eastern failed in the first place?  It was because the TVA (federal power marketer) refused to sign on as an anchor tenant and be Clean Line's customer.  Skelly aims to fix that by requiring that the federal government hold the hot potato of transmission capacity nobody wants or needs.  The government would pay Skelly for his project and then maybe re-sell capacity to someone else as a middle man.  And if the government is as unsuccessful as Skelly at selling transmission capacity to a utility that wants it?  Well, then, no harm done.  The government can just continue to fund unneeded transmission that nobody uses... forever.  This is absurd, uneconomic and just plain stupid.

There's so much free government cheese here it makes my head spin!

Free transmission tax credits.
Free government loan guarantees.
Guaranteed purchase of new capacity.
New federal government siting and permitting.
Wider cost allocation so consumers don't notice how expensive it is.
New rate incentives for transmission.
New federal planning to increase transmission expansion.

It's like different branches of the federal government are trying to out-do each other by providing layer upon layer upon layer of new cheese handouts for transmission developers.  None of it is coordinated and designed to work together.  It's a buffet line of government handouts for transmission.  A tax credit here, a loan there, a customer contract on the side, a handful of new federal permitting authority, a bowl of new rate incentives.  This is the epitome of bloated, ubiquitous government controlling your life and your wallet.  Nose to the grindstone, little serf, we've got lots of big government to pay for!!

Let's take a sanity break for just a moment, shall we?  Nearly all of the 22 transmission projects on the "shovel ready" list are merchant transmission projects.  What are merchant transmission projects?  Merchant transmission projects are distinguished from those planned by traditional public utilities in that such projects assume all the market risks, and have no captive pool of customers from which to recoup the project's costs.  Merchant projects assume ALL market risk!  They pay for themselves.  They do not have any guaranteed stream of revenue from any captive customers.  Because they have no captive customers, they are not regulated.  Transmission with captive customers (such as the proposed federal government anchor customers, or perhaps the taxpayers who are paying for all the free cheese being handed out) must be regulated because the regulation serves as stand-in for competition in a free market.  You cannot allow these monopoly constructs to charge as much as they want when there is no competition.  But, yet, that is exactly what the federal government is now proposing.  It is proposing to make itself a captive customer of an unregulated monopoly.  It is proposing to make U.S. taxpayers captive customers of an unregulated monopoly.  If we're going to start handing cash and guarantees to merchant transmission developers, THEY MUST BE FULLY REGULATED!  When they are regulated they can no longer charge negotiated rates, and they must pass cost/benefit tests that guarantee consumers will receive more benefit than the project costs to build.  There must be a fully vetted reason to build them, aside from corporate profit.  You cannot hand public money to unregulated monopolies!

And let's end, for the time being, with a little irony, shall we?  After he flamed out in the world of transmission, Michael Skelly became an activist against highway expansion in his own hometown of Houston.  Let's take a look at his comments in a recent news article about the highway project:

Community opponents of the highway expansion said TxDOT’s only solution to ease traffic problems and congestion is to build more highways, which, besides allowing more cars on the road, also covers more city area with asphalt and concrete. This has considerably increased flooding in areas surrounding highways, many of which have suffered disproportionately since Hurricane Harvey in August 2017, they said.
Michael Skelly, a local activist with the Make I-45 Better Coalition, said TxDOT has consistently ignored residents’ input on project design despite several public hearings. “In 2015, a few of us residents got together and submitted our comments to TxDOT on a 2017 draft project,” he said. “It soon became clear they were not going to commit to anything.”

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The Assault on Rural America Has Begun

4/14/2021

1 Comment

 
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Have you ever really contemplated the crackpot conspiracy theory fleshed out on various TV shows that there is some secret entity actually running our country?  That elected officials are mere puppets of some secret global cabal?  Why is it that most of the wealth is concentrated within a very small group of people?  Does money buy power?  If you've ever wondered about these things, pull up a chair, this blog is for you...

Last week I told you about Biden's plan for investment tax credits for electric transmission lines, though there was actually little information to be had.  My Alexa must have been on the job reading my mind, because the very next day the text of new legislation introduced in Congress to make the transmission investment tax credit a reality was revealed.  Thanks, Jeff Bezos, what would I do without you and your AI spy?  If I can think it, you can deliver it!

Here's a link to the bill.  Go ahead, click through.  It's amazingly brief and facile.  Not what you'd be expecting for a complicated giving away of hundreds of millions of dollars of your money.  The real "guts" are contained in the IRS code -- this just establishes a transmission investment tax credit at 30%.  The IRS has to figure out how to run the program.  The legislation just sets the parameters for it, such as what kind of electric transmission qualifies for the tax credit?

Are you ready?
‘‘(c) QUALIFYING ELECTRIC POWER TRANSMISSION LINE PROPERTY.—The term ‘qualifying electric power transmission line property’ means— ‘‘(1) any overhead, submarine, or underground transmission facility which—
‘‘(A) is capable of transmitting electricity at a voltage of not less than 275 kilovolts,
‘‘(B) has a transmission capacity of not less than 500 megawatts,
‘‘(C) is an alternating current or direct current transmission line, and
‘‘(D) delivers power produced in either a rural area or offshore, and

‘‘(2) any conductors or cables, towers, insulators, reactors, capacitors, circuit breakers, static VAR compensators, static synchronous compensators, power converters, transformers, synchronous condensers, braking resistors, and any ancillary facilities and equipment necessary for the proper operation of the facility described in paragraph (1).


Power produced in a rural area?  So transmission for power produced in an urban area  cannot qualify for this tax credit?  You may be thinking that they don't need transmission for power produced in an urban area because it can be used where it's produced.  But think a little harder... this discourages any future power production in urban areas and encourages lots of future power production in rural areas.  It provides the carrot on a stick to a future where rural areas operate as the power production serfs that serve their powerful masters in the cities.  Power production in rural areas is encouraged through a giveaway of your tax dollars. 

But what if they used that money instead to develop power production in the cities and suburbs that use so much of it?  That would probably be a cheaper scenario, by far.  But our government is pushing for a different reality where the cities are mere power parasites feeding off the sacrifice of rural areas.

Let's peel this onion to see just how many layers there are to this bold plan to enslave rural areas...  and discover that they're not even trying to hide it anymore.  When the elites control every aspect of the narrative, plus the puppets who will carry it out, there is nothing to fear from plebeians.

This article in Renewable Energy Magazine ties this legislation to ACORE, the American Council on Renewable Energy.  Of course the legislators who are sponsoring this legislation are nothing but lobbyist puppets, doing what they're told.  If they don't buck the system, they are rewarded with campaign contributions that keep them in office.  If legislators don't do any real work writing or reading legislation, what do they DO all day?  Run around like remote-control robots making sure things happen like they are ordered to happen, preening for the cameras, feeding their egos.

ACORE put out a brief press release.  Very proud of themselves and their legislative puppets.  ACORE says this tax credit will serve their Macro Grid initiative.
“Sen. Martin Heinrich, Rep. Steven Horsford and Rep. Susie Lee’s introduction today of the Electric Power Infrastructure Improvement Act adds to the growing momentum for a federal transmission investment tax credit (ITC). As we saw this winter, America’s outdated grid infrastructure is hurting consumers and our economy. With a transmission ITC, we can enhance grid reliability, create jobs, save consumers money, and provide developers with the long-term certainty they need to invest in a 21st century Macro Grid that’s capable of delivering the clean energy future Americans want and deserve. We look forward to working with lawmakers on both sides of the aisle to pass this critically important legislation this year.”
So what, or who, is ACORE?  Here's a lovely photo collage of their rather extensive Board of Directors (for even more fun, there's also a doubly large Board of Directors Emeritus).  24 people on the BOD.  24!  How do they ever manage to get things done?  But, all that aside, look at who these 24 people are, and what "member companies" they represent.  NextEra, Pattern, Avangrid, Invenergy, Berkshire Hathaway -- all companies who stand to profit significantly by building new renewable generation and transmission to serve it.  The list also includes equipment suppliers of renewable energy technology and equipment.  But perhaps most disturbing of all is that it also includes lots of big investors such as BlackRock, JP Morgan, Bank of America, Morgan Stanley, Goldman Sachs.  And then there are some really odd, but powerful, additions, such as Facebook and Amazon.  Hang on... my Alexa is going crazy trying to take my order for renewables right now...

ACORE's mission pretends it's just an educational, tax exempt organization that doesn't lobby.
The American Council on Renewable Energy (ACORE) is a 501(c)(3) national nonprofit organization that unites finance, policy and technology to accelerate the transition to a renewable energy economy.
I guess they don't have to actually lobby... just place an Alexa in every legislator's home, office and car.

But isn't it funny that all these companies stand to make a bundle of money from new legislation that enables their business and profits?  And legislators get so "educated" about it that they write bills about things they know nothing about?  Wow!  Serendipity!

But wait... let's see what's in the next layer of this onion.  ACORE's Macro Grid initiative.  Who came up with that?  ACORE's 2020 Annual Report reveals:
Thanks to generous support from Breakthrough Energy, ACORE and Americans for a Clean Energy Grid (ACEG) launched the Macro Grid Initiative to promote investment in a 21st century transmission infrastructure that enhances reliability, improves efficiency and delivers more low-cost clean energy.
And is extremely profitable for ACORE's Board of Directors, don't forget that part.  Your beneficent pose isn't working for me.

Who is "Breakthrough Energy?"  Here's the layer where you really start to smell the rot that pervades this entire charade...
Breakthrough Energy Ventures is an investor-led fund that aims to build the new, cutting-edge companies that will lead the world to net-zero emissions.
Our strategy links government-funded research and patient, risk-tolerant capital to bring transformative clean energy innovations to market as quickly as possible.
Again, it's not about beneficence, it's about making money, lots of it.  And in order to do that, they have to influence government policies and programs at the highest level.

Even more revealing, take a good, close look at Breakthrough Energy's Board & Investors.

There you'll find some very familiar names... multi-billionaires you've heard of, along with a host of other filthy rich people from around the globe that you've never heard of.

The cast of characters includes:  Bill Gates, Michael Bloomberg, Jeff Bezos (Alexa, shut up, I'm trying to work here), and some Walton family members. 

And it also includes a huge list of other multi-billionaires from around the globe and includes members from Saudi Arabia, India, England, China, Canada, Germany, South Africa, France and Japan.  And China.  Did I mention China?

These folks who funded ACORE's Macro Grid initiative are intending to invest in renewable energy projects in order to get even richer.  But it's not just that... let's dial back out.

Where did the transmission investment tax credit first get mentioned?  In President Biden's "Infrastructure" thing.  Do you suppose he independently came up with that idea and it was just happy coincidence that it lined up with what the global elite wanted?

Or do these global elites, who control a substantial portion of the world's wealth, also control our elected officials?

Who really wants to make sure all energy of the future is produced in rural areas, and not in the cities?  Is it really about climate change, or is it simply a rent seeking operation?  And how would the .00001% distract the hoi polloi from their bold scheme?  Maybe they buy up the media, control the narrative, and create a crisis that pits the average American against his neighbor and uses up all their energy and attention fighting each other while the robber barons help themselves to what little wealth we have left.

So... transmission investment tax credits.... yes or no?
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    About the Author

    Keryn Newman blogs here at StopPATH WV about energy issues, transmission policy, misguided regulation, our greedy energy companies and their corporate spin.
    In 2008, AEP & Allegheny Energy's PATH joint venture used their transmission line routing etch-a-sketch to draw a 765kV line across the street from her house. Oooops! And the rest is history.

    About
    StopPATH Blog

    StopPATH Blog began as a forum for information and opinion about the PATH transmission project.  The PATH project was abandoned in 2012, however, this blog was not.

    StopPATH Blog continues to bring you energy policy news and opinion from a consumer's point of view.  If it's sometimes snarky and oftentimes irreverent, just remember that the truth isn't pretty.  People come here because they want the truth, instead of the usual dreadful lies this industry continues to tell itself.  If you keep reading, I'll keep writing.


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