November 25 Colorado Energy Cheat Sheet: CO residential rates skyrocket, could get worse; AG Coffman responds to Gov. Hickenlooper challenge over authority to challenge EPA
Filed under: CDPHE, Environmental Protection Agency, New Energy Economy, preferred energy, solar energy, wind energy
Check out the latest Independence Institute research on electricity rates in the state of Colorado:
The cost of electricity for Colorado residents skyrocketed 63 percent between 2001 and 2014, far outpacing median income in the state at just 24 percent over the same time period, according to Independence Institute analysis of electricity rates provided by the Energy Information Administration and census data from the U.S. Census Bureau.
Retail residential electricity rates increased from 7.47 cents per kilowatthour in 2001 to 12.18 cents per kilowatthour by 2014, a 63.1 percent hike. Coloradans’ median income, however, went up just 24.1 percent, from $49,397 to $61,303. Median income in Colorado actually declined between 2008 and 2012.
“The saddest part of all is that it’s as yet uncertain whether any of Colorado’s rateshock would help stave off the worst of the Obama administration’s climate initiative, were that regulation to survive judicial review. That means that it could get much worse,” said William Yeatman, senior fellow of environmental policy and energy markets at the Competitive Enterprise Institute and author of the Independence Institute’s 2012 Cost Analysis of the New Energy Economy.
If you enjoy and support the important research and outreach work on issues ranging from hydraulic fracturing to the EPA’s Clean Power Plan that Amy Oliver Cooke and I do here on energy policy at the Energy Policy Center, please consider the following message from the Independence Institute’s Alexandra King:
Colorado’s Attorney General Cynthia Coffman responded to Governor John Hickenlooper’s legal filing over authority in the pushback against the Clean Power Plan:
Colorado’s Republican attorney general, Cynthia Coffman, filed a brief Friday in the state’s high court defending her authority — through case law — to challenge the Clean Power Plan in spite of the governor’s wishes.
“Even when the governor and the attorney general split along party lines, the attorney general has not only the authority but also the public duty to seek judicial review to protect the legal interests of Colorado,” the filing says.
Coffman cited a 2003 dispute in which the Colorado Supreme Court ruled that then-Attorney General Ken Salazar, a Democrat, had the power to file lawsuits independent of former Republican Gov. Bill Owens.
Coffman’s brief is in response to Democratic Gov. John Hickenlooper’s recent filing in the high court asking them intervene and declare he “has ultimate authority” on whether to sue the federal government.
According to the article, the dispute may take the Colorado Supreme Court months to decide, meaning resolution is unlikely before 2016.
Speaking of the Clean Power Plan, the Institute for Energy Research has the latest on the analysis of the rule’s costs to the nation’s ratepayers:
Energy Ventures Analysis (EVA) just released its analysis of the EPA’s “Clean Power Plan” (CPP), which mandates a 32 percent reduction of carbon dioxide emissions from the electric generating sector by 2030 from 2005 levels. While EPA claims the regulation will be virtually cost free, this study finds:
Consumers will pay an additional $214 billion by 2030;
45 states will see double digit increases in wholesale electricity costs; and
16 states will see a 25 percent or higher increase in wholesale electricity costs.
Further, 41,000 megawatts of perfectly good electric generating capacity will be forced to prematurely retire, costing the nation $64 billion to needlessly replace. While the costs of the regulation are high, the carbon dioxide reductions are almost non-existent. The regulation would reduce global carbon dioxide emissions by less than 1 percent and global temperatures by 0.02 degrees Celsius by 2100, according to EPA’s own models.[i] The CPP appears to be more of an excuse to fundamentally transform the nation’s electrical generating system from a reliable and affordable one to one that burdens Americans with costly and unreliable energy, consistent with President Obama’s promise to make “electricity prices necessarily skyrocket.”
Colorado’s rates will increase approximately 20 percent by 2030, easily the highest increase among its Rocky Mountain west neighbors, tied with Wyoming. Replacing capacity in Colorado will cost $3.3 billion or more.
The EPA’s disastrous Gold King mine spill on the Animas River continues to affect those downstream:
Three million gallons of contaminated water from the Gold King Mine poured into Colorado’s Animas River in August, laden with cadmium, lead and arsenic. The water eventually found its way into the San Juan River, the primary source of irrigation for Navajo Nation farmers.
The U.S. Environmental Protection Agency admitted that it accidentally caused the spill while trying to prevent leakage of toxic materials.
The spill was one of the biggest environmental disasters in the region and came in the middle of growing season for hay and alfalfa. Some communities reopened their gates to water from the river. Others, including one of the largest Navajo chapters (similar to a county), voted to keep their gates closed for at least a year to avoid contaminating the soil, despite reports from the EPA that the measures of chemicals had returned to pre-incident levels.
Navajo Nation Council Speaker LoRenzo Bates, a farmer, spoke to the Los Angeles Times about the effect of the spill on his life and the Navajo Nation.
What did you think when you first saw the river?
By the time it reached us, you know, it was quite diluted. We didn’t see the orange water; it was more yellow-brown.
My farm is 200 yards from the river, so I saw it coming right down toward us. No one knew the impact if we kept the water on. There could be any one of deadly metals in the water. We knew it was going to change things.
Results from a recent Quinnipiac poll on Colorado’s attitudes to climate change:
Thirty-four percent of Colorado voters surveyed say they’re very concerned about climate change, and 26 percent say they’re somewhat concerned, versus 23 percent who say they’re not concerned at all and 15 percent who say they’re “not so concerned.”
The Obama administration has made combating climate change a top priority, while many Republicans in Congress and elsewhere as have objected to climate-control steps as harmful to the economy, and some question whether climate change is caused by human activity or is just a natural phenomenon.
Meanwhile, 52 percent of surveyed voters say the U.S. should be doing more to address climate change.
Concern about climate change doesn’t necessarily translate into support for rules like the Clean Power Plan, as results from an August survey show.