Statewide reaction split on EPA carbon proposal | savannahnow.com

[The result of new federal carbon emission rules,] according to members of the Public Service Commission will be a definite hike in electricity rates, which will cost jobs from customers that won’t be able to afford new hires and from manufacturers that locate their factories overseas where rates are cheaper.

“This will raise electricity prices. There are no ifs, ands or buts about it,” said Commission Chairman Chuck Eaton, noting that in the last two rate hikes, half of the added expense was due to environmental regulations. “… I will be the one, and my fellow commissioners, stuck handing out the bill to pay for all of this.”

The proposal would require Georgia and other states to draft a plan for rolling back emissions to 30 percent lower than they were in 2005. But the country has already achieved a 12 percent reduction since then, in part because new technology has made it cheaper to burn cleaner natural gas to generate power.

In anticipation of these tougher standards coming, Georgia Power won the commission’s approval to close 15 of its older, coal-burning generation plants. Some others will be converted to natural gas.

As recently as 2011, 62 percent of Georgia Power’s generation came from coal, but it dropped to just 35 percent last year.

That’s why Gov. Nathan Deal remains hopeful the ultimate economic impact will be slight.

“I am told, however, that since the utilities in Georgia have been very proactive, that they have probably already taken many of the steps that these new regulations may in fact require. So, we are hopeful that is the case. And if it is, it should have minimal impact,” he said.

Commissioner Stan Wise is less hopeful. He warns that the eventual increase in the price of natural gas will force up Georgia electric rates.

via Statewide reaction split on EPA carbon proposal | savannahnow.com.