Posted By Steve LeVine Share

Duke Energy's proposed $13.7 billion purchase of Progress Energy announced this morning could be a blow to Big Coal, which has ambitions to remain the planet's preeminent fuel for electric power. Both Duke and Progress have big ambitions for nuclear-fueled power plants, and Duke CEO Jim Rogers is among corporate America's loudest advocates for sharply slashed CO2 emissions.

Here is Rogers getting grilled by comedian Stephen Colbert:

The Colbert Report Mon - Thurs 11:30pm / 10:30c
Jim Rogers
www.colbertnation.com
Colbert Report Full Episodes Political Humor & Satire Blog</a> Video Archive

Much in the climate change arena has gone topsy-turvy in the last two years. Back in 2009, China and India seemed to be among the main roadblocks to a global accord on reducing the emission of heat-trapping gases; now, China is aggressively lowering its growth of CO2 emissions absent corresponding cuts in the United States. Back then, it was an article of faith that the U.S. -- the world's second-largest CO2 emitter -- was going to put a price on carbon, and lead a global campaign against Arctic melting; among the leading such voices were corporate giants including ExxonMobil. Now, climate skepticism is ascendant, Republican leaders vow to halt Obama Administration policy to begin regulation of CO2 emissions, and corporate green-speak is heard much less in the halls of power, as Anne Mulkern reported at Greenwire.

The Duke-Progress deal illustrates how facts on the ground are nonetheless going a bit in the green lobby's direction in the United States. Steve Mufson of the Washington Post writes that for the second-straight year, industry has launched the construction of no new coal-fired plants. By comparison, he reports, construction started on 20 units in 19 plants from 2000 to 2008. But last year, plans were abandoned to build 38 coal-fired plants, and announcements were made on the retirement of 48 aging ones. And the U.S. Energy Information Administration says it doesn't expect any new plants to be built, apart from coal-fired generators already under construction or clean-coal demonstration projects, reports National Geographic.com.

Notwithstanding the assertions of James Fallows in the Atlantic, coal is on the defensive around the world. China, as we have previously discussed, is likely to attempt to cut back its plans for increased coal use because of the pollution, and turn far more heavily to plentiful and cheap natural gas.

Quite apart from these sectoral shifts, the Duke-Progress deal could not-so-subtly impact U.S. politics. If their deal is approved by regulators, the combined companies would be the country's largest single utility. One of the reasons for the victory of climate skeptics has been the lobbying of coal, oil and other industry lobbyists. But now Rogers' voice would become more influential in that lobby.

China Photos/Getty Images

 

HARRYWR2

7:15 PM ET

January 10, 2011

Coals dim future

Let us start with some basic economics.

Steam coal costs 70 cents/MMBTU in Wyoming, $4.00/MMBtu on much of the US Eastern Seaboard, $5.00/MMBTU in Western Europe and $5.50/MMBtu in Asia.

Nuclear Power is cheaper then coal for baseload power in Asia. Nuclear power has a problem, global build capacity was maybe 6 units/year 5 years ago and has managed to expand to 13 units/year in 2010. Even is someone wanted 100 nuclear plants tomorrow morning at 9AM they won't be delivired for a decade. Doubling the global nuclear industrial build capacity every 5 years is about as fast as we can go.

So that leaves asia with a problem. They need energy now and can't get their with nuclear.

Even the Saudi's have built coal fired generating capacity in order to 'fill the gap' between what they need now and when they can get nuclear. Natural gas is too expensive in Asia to be used as 'base load'.

India expects to have a 200 million ton/year shortfall in coal production by 2015. The Chinese are somewhat less open about their future expectations.
In 2010 they had 680 GW of coal fired generating capacity(twice the US). Various Chinese Officials have unofficially opined that they will have at least 900GW of coal fired capacity at some point between 2015 and 2020.

So even if the Chinese freeze their coal consumption, the Indians are waiting in the wings to pick up 200 million tons of coal. The equivalent of 20% of US production.

So coal is by no means 'dead' or 'dim' if one looks at a 10 year time horizon.

Beyond 2020, when global nuclear construction capacity manages to achieve a rate of 1 unit per week fossil fuels for base load will most likely begin to phase out.

As far as Mr Rogers voice on climate chnage, coal is not currently a particularly economic form of energy in the US Southeast. Much of the Southeastern US Coal fired capacity is old and needs to be replaced with something.

 

HVCHRONIC

7:50 PM ET

January 10, 2011

Media pals have coal on life support

Whatever it is, coal will never be "clean." It contains really bad toxins that in burning will either be spewed into the air or be concentrated in the ash or other solid toxic waste. The coal industry’s growing list of paid apologists now includes CNN, which, according to the following After the Press video report, aired a story recently about a giant coal ash dump on the W. Va./Penn border – with the “report” in fact sponsored by an airbrushed spot for The Coalition for Clean Coal.
http://www.youtube.com/watch?v=7Lwr2SA5Pec

 

HURRICANEWARNING

6:29 AM ET

January 11, 2011

My family farm in central

My family farm in central illinois has been dealing with the realities of the corrupt and morally bankrupt coal industry for decades. We sold them land around 50 years ago now under the legal agreement that they wouldnt dig under the farm, they wouldnt dig into the aquifer (where we get our well water), and that they would dispose of the "fly ash" (a HIGHLY toxic waste product of coal mining).

They have since then dug under our farm and farm house causing geological slippage, penetrated the aquifer, and created a mountain of flyash that literally towers above the country side at about 100 feet tall and thousands of feet long...it has got to be one of the largest structures between chicago and st. louis...composed completely of toxic fly ash. The small town and our farm has attempted to sue them on many occasions...every time, they simply declare bankruptcy, and re-organize under a new name...they have done it MANY times. the new name is...wait for it...the Viper Mine. They are owned by a massive west virginia coal company...the kind that table tops mountains.

Coal is No Good for anyone! Period. if you knew the true costs of the process you wouldnt support it. The coal companies are morally bankrupt criminal organizations who hide behind patriotism and the flag while simultaneously stepping all over peoples rights. RIP Coal. long live alternative energy.

 

Steve LeVine is the author of The Oil and the Glory and a longtime foreign correspondent.

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