Bacon's Rebellion

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Opposition Builds to “Big Grid”

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by

James A. Bacon
in

Bipartisan opposition in Virginia is building to create a National Interest Electric Transmission Corridor that would allow electric power companies to obtain the power of eminent domain to build transmission lines.

The latest statement comes from Attorney General Bob McDonnell, who has voiced his support for Wolf-Hinchey Amendment, co-sponsored by U.S. Rep. Frank Wolf, R-10th. The legislation would defund implementation of National Interest Electric Transmission Corridor legislation over the next fiscal year, allowing time for the additional input from the states and discussion with the federal government.

This is one of the great public policy battles of our era, even though it has garnered little attention from the national press: Big Grid vs. Distributed Energy. The business models of the major East Coast power companies are predicated on building massive power plants in isolated areas and distributing electricity to population centers with obtrusive transmission lines. The alternate model is based on incentivizing conservation and encouraing local, small-scale (and, often, renewable) power sources.

Where is Virginia’s leadership on this issue? The Kaine administration is due to publish its statewide energy plan soon. It will be interesting to see how the Kaniacs address this critical issue.

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10 responses to “Opposition Builds to “Big Grid””

  1. Ray Hyde Avatar
    Ray Hyde

    The business models of the major East Coast power companies are predicated on building massive power plants in isolated areas and distributing electricity to population centers with obtrusive transmission lines, WHILE NOT PAYING FOR THE INTRUSION.

    As a result, thos population centers will not be paying their full locational costs.

  2. Spank That Donkey Avatar
    Spank That Donkey

    This should also be addressed in terms of National Security and disaster management. Look at New Orleans and Florida after major disasters have struck…

    Redundancy implemented into our grid should be an element of our national security, and of course emergency management in the Commonwealth…

  3. Groveton Avatar
    Groveton

    NIMBY Alert!!

    “The business models of the major East Coast power companies are predicated on building massive power plants in isolated areas and distributing electricity to population centers with obtrusive transmission lines.”

    That’s pretty clear.

    Now the NIMBY alternative:

    “The alternate model is based on incentivizing conservation and encouraing local, small-scale (and, often, renewable) power sources.”.

    Clear as mud.

    Even if you don’t like Dominion’s plan – at least they have a plan. The NIMBYs have nothing but hyperbole.

  4. Spank That Donkey Avatar
    Spank That Donkey

    Groveton:
    That reminds me of a Henry Ford Comment on the production of his Model T’s (i.e. Dominion Power):

    “The Customer can get any color he likes, as long as it is black!”

  5. Jim Bacon Avatar
    Jim Bacon

    Groveton, Unfortunately, Dominion’s “plan” does virtually nothing for energy conservation. Their “plan” calls for allowing electric demand to grow unchecked and make lots of moolah for meeting that demand with new power plants and transmission lines. I’m all in favor of increasing electric supply. But I think the commitment to do that also has to be matched by a commitment to provide electricity consumers the tools to save money by curbing electricity consumption, especially during periods of peak demand.

    The idea is to empower consumers by offering them a wider range of choices. If they do not exercise the choice to conserve energy, then, fine, crank up the nukes. (I’m not a no-growther.) But right now, Virginia is lagging big-time from a regulatory perspective in providing consumers those choices.

    Spank That Donkey, Your analogy is spot on.

  6. Groveton Avatar
    Groveton

    As long as people recognize the near inevitability of needing more power generation and more power transmission – I agree with the push for conservation.

    However, I sometimes fell that people have unrealistic views regarding conservation. Namely, they believe that conservation will end the need for additional generation or transmission.

    I just don’t see that.

    Also, why does P,G&E in CA have such a different perspective than Dominion. Aren’t they in similar situations?

  7. Spank That Donkey Avatar
    Spank That Donkey

    Why doesn’t Dominion Power get into Distributed Energy also. I see in the bills where you sell generators for homes in case the power goes off…

    Why not make a division to sell equipment like microturbines, solar panels, fuel cells etc.. and help integrate them into the grid..

    Surely DP can make $$$ off of it, and improve the grid reliability, and maybe we can sell excess to other states, and not vis versa.

  8. Ray Hyde Avatar
    Ray Hyde

    “I sometimes fell that people have unrealistic views regarding conservation. Namely, they believe that conservation will end the need for additional generation or transmission.

    I just don’t see that.”

    I agree. The argument applies to highways, etc., just as well. Eventually we will need more, and it will cost more than what we bought previously. Cost is a function more of density thatn it is of sprawl.

    Unless you are talking about transistors. In that case, the recent history is that the costs of increased density are more than offset by the reduction in volume required.

    It isn’t an analogy that applies well to people.

  9. Ray Hyde Avatar
    Ray Hyde

    “I see in the bills where you sell generators for homes in case the power goes off…”

    Dominion is really doing that? I didn’t know.

    If that is true, then STD (Ooh, bad initals!) is correct. domionion could make money by taking a different and more distributed approach.

    The problem is that if they sell a generator, then the owner is responsible for depreciation and operation. It is difficult for them to rent that capacity for enought to cover the costs.

    But, if it is a question of nothing, higher costs, and convenience, or paying for deepreciation and operation, then the latter starts lookng a lot better.

    Maybe if Metro offered to sell cars along with their farecards, then they could make money. After all, it is a question of deprcieation and conveneince, just the same.

  10. Spank That Donkey Avatar
    Spank That Donkey

    STD could mean ‘stimulating thoughful discussion’ 🙂

    Dominion is probably getting a kick back from advertising directly to it’s customers a company that sells, installs and services the generators.. I suspect, they do not do it themselves…

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