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WHO WE AREThe Coalition for a Secure Energy Future has been officially established to get the message out to businesses, policymakers, and residents in the Upper Midwest that retaining coal as a regional energy resource will help keep electric rates low, jobs plentiful, and the economy robust. We are funded by the Lignite Energy Council, which is made up of the utilities with power plants in North Dakota and the mining, engineering and contractors that support their operation.
ENERGY POLICY TODAY
The Revolution In Generation
What’s Driving It
What’s Being Accomplished
Concerns Ahead
What We Can Do
MIDWEST ENERGY MIX
CHANGE IN ENERGY MIX
KEY DRIVERS OF CHANGE
Regulation Federal Clean Air regulations State policies and mandates
New Technology Fracking Advances in wind and solar
Market Forces
NOT YOUR FATHER’S COAL PLANTS
MINNESOTA AIR QUALITY
According to the Minnesota Pollution Control Agency:
Smokestacks are often synonymous in people's mind with air pollution. But research shows that permitted sources of air pollution — power plants, factories, and other facilities where air emissions are regulated — contribute less than a quarter of the air pollutants of major concern in Minnesota. The majority of air pollutants come from smaller, unregulated sources, such as vehicles and wood burning.
WHERE DOES AIR POLLUTION COME FROM?
ECONOMIC GROWTH
Source: EPA
ARE WE GOING TOO FAR
EPA’s Clean Power Plan Threatens Economic Viability of Coal Plants
Danger of Putting All of Eggs In One Basket
Distortion of Regional Markets
Makes Technological Solutions Less Likely
CHANGES ARE DRIVING PRICE INCREASES
EPA RULES IN 2015
EPA proposed rules in 2014 regulating carbon dioxide emissions.
Thousands of comments were submitted
Final rule was released in early August
Under the proposed rule, the average MN household electric bill will increase by $475 in 2020
Natural gas generation will almost double in MN at the same time.
Average increase in electric bill 18%
Average increase in gas bill 45%
Industrial rate increase at 38%Source: Energy Ventures
IMPACT ON REGION
EPA Rules were crafted to allow states to adjust their energy policies to meet goals.
Each state is charged with creating its own State Implementation Plan (SIP)
States have until 2018 to comply with rules by crafting their own SIP
Regional plans possible, but face hurdles
Over 25 States have filed suit against the EPA Rules - Minnesota not included
ENVIRONMENTAL IMPACT OF EPA RULES
The Clean Power Plan would reduce atmospheric carbon dioxide concentrations by less than one-half of a percent
Equating to reductions in global average temperature of less than 2/100th of a degree (based on EPA computing models)
The reductions achieved by the United States in 2030 – at costs nearing half a trillion dollars – would be offset by projected emissions in China in just 13 and ½ days.
SOLUTIONS FROM THE POWER INDUSTRY
Carbon Capture – Norway & Australia have promising technologies Australian model captures Carbon Dioxide using liquid – reduces emissions by
85%
The ALLAM Cycle is a novel power system that produces electricity from natural gas or coal that is cost competitive with current technologies. Generates zero atmospheric emissions
Continued use of our diverse energy portfolio including: Wind, Solar, Natural Gas, Nuclear, Biomass, and Coal