The House Environmental Resources and Energy Committee Tuesday held a hearing on EPA’s proposed Clean Power Plan.  Click Here to watch a video of the hearing.

John Pippy, CEO, Pennsylvania Coal Alliance, addressed the obstacles facing the coal industry and the impact the CPP could have in Pennsylvania.

He said the proposed EPA rule will dictate the makeup of Pennsylvania’s electric generation mix, the amount of electricity available on a round-the-clock basis and the price in 2020 and beyond, affecting not just the coal industry, but Pennsylvania’s residents statewide.

An economic study by the Pennsylvania Economy League of Greater Pittsburgh showed that the state’s coal industry supports 36,000 jobs in the Commonwealth and adds more than $4.5 billion annually to the state’s economy.

Although touted by proponents as a flexible and achievable way to curb carbon emissions, the proposed federal power plant emission standards are merely a de facto attempt to transform America’s energy usage away from coal.

According to Pennsylvania DEP, CO2 emissions from Pennsylvania’s electric generating fleet declined by 12 percent from 2005-2012 and are projected to decline by 22 percent from 2005 through 2020.

These reductions were accomplished while Pennsylvania maintained a stable and reliable supply of electricity at competitively-priced rates, lower than the national average and lowest among its northeastern states.

Coal accounts for 40 percent of the electric market in Pennsylvania providing a stable base load supply of electricity year round and especially during peak usage times as experienced this past winter.

“Given the affordability and reliability of coal as a source of electricity, this regulatory attempt to displace coal will have profound and sweeping consequences, not just on the coal industry and its workers, but also on those communities that host coal-fired power plants, those employed at these facilities and every ratepayer who depends upon the reliable provisioning of electricity at competitive rates,” Pippy said.

The proposed standards would have virtually no impact on global greenhouse gas emissions and could even cause an increase because they would essentially kill any continued advancement in clean coal technology.

U.S. power plants account for only 4 percent of global carbon emissions, while China and India alone account for 20 percent.  They, and other developing countries are increasing their reliance on coal and it is predicted that by 2017 coal will be the number one source of energy in the world.

In closing Pippy commended the Committee and the full House for its overwhelming support for House Bill 2354 (Snyder-D-Fayette), which requires the state legislature to approve a state’s compliance plan before it is submitted to the EPA.

House Bill 2354 is now in the Senate Environmental Resources and Energy Committee.

Stu Bresler, VP Market Operations, PJM, said it will be conducting a study on the reliability of the grid and other information pertinent to the CPP and will finish the study prior to the October. Bresler said PJM is offering itself as a resource as the state begins to grapple the CPP but reiterated that the implementing authority lies with the states.

Jake Smeltz, Electric Power Generation Association, walked the committee the committee through an overview of the problems facing electrical generators as an entire entity.

Smeltz then said that 94 percent of the “anticipated new generation” would be derived from natural gas, while zero percent of the anticipated new generation would be derived from coal.

Smeltz said it is difficult for electrical generators to do what the EPA expects of the “inside the fence” because the technology to operate “inside the fence” is not currently available. Smeltz said the main concern should be when the state passes legislation that “distorts” the wholesale market, because abrupt changes are accompanied with unintended consequences and then flexibility can become severely limited.

Christina Simeone, Director, PennFuture Energy Center, gave an overview of the CPP and explained that the key to compliance was in the four “building blocks.” She said the EPA’s goals for Pennsylvania are reasonable and are based on a “Best System of Emissions Reductions,” which was developed and based on commercially available technologies.

Simeone said using the 2012 baseline in the proposal, the state is already halfway to achieving the goals proposed by EPA and said to meet the entire goal, more needed to be done.

Kevin Sunday, Manager, Government Affairs, Pennsylvania Chamber of Business and Industry, discussed how businesses, industries and economies will be unable to survive without affordable, reliable, stable and diverse sources of energy.  He said the Clean Energy Plan threatens the state’s biggest competitive advantage.

Phil Smith, Director of Governmental Affairs, United Mine Workers of America, AFL-CIO, discussed the impact the CPP will have on Pennsylvania coal and jobs and the miners and their families.

Jeff McNelly, Executive Director, ARIPPA, discussed Pennsylvania’s legacy to the environment, and the successes of ARIPPA over the past 25 years. McNelly discussed the impact of emissions on energy, and highlighted the necessary steps to remain in operation and viable.

Additional comments were submitted to the Committee by: Department of Environmental Protection, American Lung Association and FTI Consulting, Inc.

Click Here to watch a video of the hearing.

Rep. Ron Miller (R-York) serves as Majority Chair and Rep. Greg Vitali (D-Delaware) serves as Minority Chair.

DEP Holds Listening Session Sept. 25

The Department of Environmental Protection is sponsoring a listening session September 25 on the U.S. Environmental Protection Agency’s proposed Clean Power Plan regulations to reduce greenhouse gas emissions.

Sen. Solobay Introduces Resolutions

Sen. Tim Solobay (D-Washington) introduced two resolutions Thursday on EPA proposed Clean Power Climate Plan: Senate Resolution 438 urging EPA to respect the primacy of Pennsylvania and other states in developing performance standards for reducing carbon emissions- sponsor summary;  Senate Resolution 439 urging EPA to scheduled additional hearings on its proposed Clean Power Climate Plan and withdraw the proposed rule to eliminate the “economic shocks” that would occur to critical coalfield communities- sponsor summary.

EPA Extends Comment Period

EPA this week did extend the comment period for the plan to December 1.

NewsClips:

House Committee Holds Hearing On EPA Climate Plan

Corbett, Other Governors Oppose Greenhouse Gas Controls

EPA Extends Comment Period On Clean Power Climate Rule

Philly Group Recruting People For NY Climate March

Audubon Predicts Climate Change Will Shrink Bird Ranges

9/22/2014