It is critical that we ensure our nation enjoys a reliable and resilient grid, and that consumers continue to have access to affordable and reliable electricity. But today, coal-fired power generating plants are being closed at an alarming rate. Since 2010, plants representing almost 108,000 megawatts of coal-fired generating capacity have shut down or announced plans to close. Indiana alone ranks second among all states with 39 coal-fired electric generating plants having already retired.
As a supporter of an all-the-above energy strategy, I believe that power generators should rely on a diverse mix of fuel sources. Coal-fired generation is one of the most reliable, resilient, and affordable sources of energy. Without this essential baseload fuel, the power grid may not be able to handle the electricity needs of American consumers during a sustained period of peak demand like those caused by 2014’s Polar Vortex or the recent Bomb Cyclone.
However, federal policies are distorting the energy marketplace and creating an uneven playing field that favors less reliable, less resilient, and less affordable sources of electricity. For decades, renewables have received substantial taxpayer funded subsidies and will continue receiving government support for the near future. In fact, the Joint Committee on Taxation estimated that between 2016 and 2020, renewables will receive $36 billion in subsidies.
Ideally, government subsidies would not exist and instead, market forces alone would determine which sources of energy are preferred for electricity generation. But since they do, Congress must level the playing field. In March, I introduced the Electricity Reliability and Fuel Security Act (H.R. 5270). This legislation creates a temporary tax credit applicable to a select portion of the costs needed to operate and maintain existing coal generation. I believe this temporary credit is necessary to avoid additional premature shutdowns of coal-fired generation while the Department of Energy, the Federal Energy Regulatory Commission, grid operators, and others continue working on solutions to ensure a reliable and resilient electric grid.
The national and economic security of the nation depends on the availability of reliable and affordable electricity. This legislation will continue to ensure that Americans will have secure electricity when they need it most.
1) No. Coal plants are failing in the marketplace and they weren’t cost-effective to begin with. 2) In a world of second-bests, sometimes that’s the best you can do. In… Read more »
Good day Congressman Bucshon We will be in DC on the 23rd to the 25th. We have a meeting scheduled with the Fossil Energy people on the morning of the… Read more »
Wow…just wow. The premise of this debate is absurd. Some important considerations: a) It is correct that dispatchable power plants (including coal plants, but also including natural gas, nuclear, and… Read more »
While I agree with the other comments that the demise of coal has largely been the greater use of natural gas, the whole issue of sufficient reliability is worthy of… Read more »
I agree with Matt and Brent above, but to put it in simple terms: Coal is about the most expense form of energy you can chose. The health impacts of… Read more »
If we think the grid reliability is a significant problem for our economy or society, we should be worrying about downed power lines, which are responsible for virtually all of… Read more »
Congressman, thank you for asking for our input. I am relieved to see that the tax help for coal you are proposing is temporary. As most of us conversant with… Read more »
Hi Jane: Could you please provide some citations/studies that provide evidence for your statement that growth in energy use and growth in economic activity are now uncoupled? I would love… Read more »
Bruce … I have read this in sseveral places over the last few years and have quoted the idea. This isn’t quite it but I will see if I can… Read more »
Bruce – These a re still a bit old but better. Bloomberg New Energy Finance: “Energy productivity – the ratio of US GDP to energy consumed – continues to grow,… Read more »
Thanks very much, Jane. The DOE link is just for the U.S., so it is possible/likely that the U.S. shifted some of its energy intensive industry off shore and thus… Read more »
The Monitor was my best pass on and I could not get back there today either. It was a nice chart of energy use and GDP over the years from… Read more »
I’m working on a project at NREL where we were looking at some of these issues. To say they are decoupled in the US is not entirely accurate, but not… Read more »
Well put. Thanks Brett
The PJM Grid has 11% overcapacity. According to the Energy Information Administration, “Coal-fired electricity generators accounted for 25% of operating electricity generating capacity in the United States and generated about… Read more »
The simple fact is: Coal is dead — because the economics don’t work. It cannot compete economically against natural gas (purely based on marginal cost). Moreover, the U.S. coal fleet… Read more »