Maine, 8 other
states, to set carbon dioxide pollution limits from power plants
Sep 21, 2005 - Portland Press Herald, Maine
Author(s): John Richardson
Sep. 21--Maine and eight other northeastern states are on the brink
of setting the nation's first limits on carbon dioxide pollution from
power plants.
After two years of discussion, state officials, energy producers,
environmentalists and consumer advocates are debating final details of a
proposed cap-and-trade program that is expected to be finalized at the
end of this month.
The plan -- called the Regional Greenhouse Gas Initiative, or
"reggie" for short -- would freeze carbon dioxide pollution at current
levels through 2015, then require a 10 percent reduction by 2020.
Power generators would have to use cleaner fuels or improve
efficiency to stay within the caps, or pay other power plants to make
the reductions for them.
"We very much support the concept," said Department of Environmental
Protection Commissioner Dawn Gallagher. "We need to make sure Maine is
treated fairly."
Gallagher said the pollution limits are projected to cost each
household in Maine an additional $9 a year by 2015. But, she said, that
is before accounting for efficiency gains, conservation incentives and
rebates that the plan also would make possible.
Carbon dioxide is a byproduct of fossil fuel combustion and can cause
global warming by trapping heat in the earth's atmosphere.
When the federal government rejected an international treaty to
restrict power plant CO2 emissions, the northeastern governors decided
to create regional rules. The proposal would put the states in step with
Canada, Europe and other parts of the world and is being called an
environmental rebellion by newspapers overseas.
Although only about one week from a vote on the plan, there are still
intense negotiations that could reshape the scheme. Maine officials are
meeting with various parties this morning in Augusta for feedback about
the impacts here.
If the agreement is signed as expected, each state will adopt rules
next year to begin implementation. Gallagher said she will take the plan
to the Legislature for a full public review.
Maine has six power generating plants that would be subject to the
rules. In southern Maine, they include Wyman Station in Yarmouth and
Westbrook Energy Center in Westbrook.
"We've been cautiously optimistic," said John Flumerfelt, a spokesman
for Calpine Energy, which owns Westbrook Energy and two other large
Maine plants that turn natural gas into electricity.
Flumerfelt is worried, however, that the company may not get any
credit for operating what are already clean and efficient plants,
including the 3-year-old Westbrook facility. And he said the company
objects to a provision that would allow the state to keep some of the
carbon dioxide allowances and sell them to the power plants to raise
money for energy-efficiency programs or ratepayer rebates.
That would just raise electricity rates, Flumerfelt said.
"At a minimum it's going to cost us a couple million dollars to go
out and buy the allowances we will need to operate. We look at that
piece of RGGI as a tax," he said.
Maine Public Advocate Steve Ward argues that the auction provision is
a critical part of the plan and will actually keep costs down for
customers.
"I've been seeing RGGI as an opportunity to greatly increase funding
for energy efficiency," he said.
Environmental advocates support auctioning off the allowances. They
also are pushing to tighten up parts of the plan that they say will
delay or weaken pollution restrictions.
Matthew Davis of Environment Maine said the proposal makes it too
easy for states to avoid cutbacks by claiming credit for other
environmental programs, such as planting or maintaining timberlands that
take carbon dioxide out of the air. "It was the program's original
stated intent to reduce greenhouse gas emissions from power plants
specifically," he said.
Gallagher, the DEP commissioner, disagrees, saying that putting tree
growth in the equation will reduce atmospheric carbon in the long run
and promote sustainable forestry in Maine.
Despite the last minute questions and debates, advocates are hopeful
the plan will become a model for the rest of the country.
According to Dan Sosland of Environment Northeast: "This could end up
promoting economic development and clean energy in a low- cost way."
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