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There is a storm brewing in Mat-Su Valley - an electrical storm.
Three high-pressure fronts make up this storm. Matanuska Electrical Association is proposing to construct a 100-megawatt coal-fired generation plant in Palmer. MEA Ratepayers Alliance, Utility Watch and concerned residents are opposed to the idea. The Mat-Su Borough Assembly (on Tuesday approved a) proposed electrical power generation ordinance. The ordinance requires electrical generating plants to research the financial, health and environmental impacts of a project in order to receive a building permit.
Assembly Member Tom Kluberton and former member Bill Allen are sponsors of the ordinance. Borough Manager John Duffy researched regulations in other states and settled on good regulations developed in California, then tailored them to fit the Mat-Su Valley. This is an intelligent Alaska tradition used by the framers of our constitution, creators of our oil production systems and in countless other areas. MEA believes this same tradition is not suitable when it comes to electrical power generation. Now it appears MEA has an ally in this belief - a fast moving southerly system descending from the north reinforcing the MEA front.
Recently, MEA rate-payers received a large mailer from Alaska Clean Coal (aka Usibelli Coal Mine). The mailer cites that in 2001, California paid the price and “learned the hard way that electricity can't be taken for granted” and the culprit was “short-sighted government policies that allowed power to become scarce.”
California experienced 36 rolling blackouts in 2001. But wait, I seem to recall that in 2001 Enron, a now infamous energy company, manipulated the unregulated energy market in California for corporate greed and caused rolling blackouts. Surely, Alaska Clean Coal is not using Enron and corporate greed to argue against an ordinance seeking to protect Mat-Su Valley. But this appears to be the case. Prior to Enron exploiting California, that state experienced one rolling blackout. Alaska Clean Coal, which is supported by a for-profit coal mine, and MEA, an organization selling electricity, now tells MEA rate-payers they do not need regulations.
It was the absence of regulations that allowed Enron to take advantage of California. That was the shortsighted government policy. The Mat-Su assembly is avoiding the mistakes of California by implementing the proposed ordinance.
MEA and Alaska Clean Coal also argue that “California rules won't work for Alaska.” I agree; however, California regulations tailored to Mat-Su will. Alaska learns from the mistakes other states make. That is why this ordinance will work. If California rules do not work for Alaska, then why should MEA rate-payers believe coal-fired electrical plant technology developed in Indiana, Louisiana, Kentucky or Spain will work in Alaska?
This storm has the potential to spread beyond Mat-Su Valley. Mark Foster, a utility consultant, recently hypothesized that MEA's plan could derail a natural gas spur line into Southcentral Alaska. If MEA begins burning coal it lessens the demand for natural gas. The result drives down the price of natural gas, making the project economically unfeasible.
Kudos as well for our assembly.
I had only attended one borough assembly meeting before Tuesday and had no idea the time and effort the assembly members give. On that day, I sat through the work session and the assembly meeting beginning at 1 p.m. and ending at 8 p.m. This was only a small glimpse into the time the assembly members spend. There are hours reading and studying issues, time spent reading and answering e-mails, evenings at long community meetings, and time in person to person and telephone discussions. Many, many kudos for the work you do for us as an assembly. Thank you for giving such careful study and thought to the power generation ordinance and passing it.
Catharine W. Jones
Palmer