To Coal or Not To Coal?

Tags: climate change, carbon sequestration, coal power, CPP, FE
12 Nov 3:29am
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by Richard T. Stuebi


A number of people recently have contacted me for my perspective on a large new coal powerplant being considered here in Ohio.


The plant is proposed by American Municipal Power of Ohio (AMP-Ohio), a nonprofit wholesale power supplier that provides electricity to several municipal utilities in Ohio, including Cleveland Public Power (CPP).


The implicit question is whether it's a prudent course of action for AMP-Ohio, and for its clients such as CPP, to commit to building a new coal plant in a world in which climate change appears to be accelerating, and in which future constraints on carbon emissions to combat climate change will be relatively more burdensome for utilities that rely upon coal for power generation. Many environmental advocates clearly think that this proposed coal plant is just plain a bad idea.

I lunched last week with CPP Commissioner Ivan Henderson to get a more detailed view of CPP's plans for subscribing to a portion of AMP-Ohio's new coal plant. And, from my discussions with Commissioner Henderson, it appears as if there are two underreported aspects of CPP's plan that merit consideration before objections are lodged.

First, CPP's go-ahead to their share of the AMP-Ohio coal plant is contingent upon the results of an independent assessment by an engineering consultant (to be selected) of the viability of implementing the ECO2 CO2 carbon capture technology developed by Powerspan Corporation of New Hampshire. This technology, essentially a CO2 scrubber, is designed to remove 90% of CO2 emissions from the plant's flue stream, and is being tested in pilot scale at the R.E. Burger powerplant owned and operated by First Energy (NYSE: FE). If the assessment indicates that the Powerspan ECO2 CO2 scrubber technology is not-ready-for-primetime, CPP is out of the deal.

Second, assuming the new coal plant is built, AMP-Ohio is committed to retiring its 1950's vintage Gorsuch coal powerplant. Clearly, replacing an old relic with a new plant benefitting from 90% CO2 capture will lead to substantial CO2 emission reductions, relative to the status quo.

Thus, there is more to the story than might initially appear to the casual reader. Assuming that both of the above conditions apply, the construction of this new coal plant is actually a good idea, not a bad idea. The moral of the story is that environmental advocates need not have a rabid knee-jerk reaction against new coal plants, if new coal plant construction results in substantial CO2 emission reductions.


Make no mistake: I love wind energy and photovoltaics. However, they only provide intermittent sources of generation. On the electricity grid, lacking truly economic large-scale electricity storage, wind and PV cannot fulfill the role of dispatchable (a.k.a. "firm") power.


I also love energy efficiency, and we should all do more of it. Energy efficiency can reduce our electricity generation requirements considerably. Ultimately, though, in our current society, we still will need some form of firm generation.



Coal power with 90% CO2 capture fits that bill pretty darn well. If the Powerspan technology works as advertised at reasonable economics, it might be a whole lot cheaper and more quickly available than zero-emission baseload technologies, such as IGCC with carbon sequestration or advanced nuclear designs. In which case, Powerspan is a company to watch.

Richard T. Stuebi is the BP Fellow for Energy and Environmental Advancement at The Cleveland Foundation, and is also the Founder and President of NextWave Energy, Inc.

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Cleantech Blog was founded by Neal Dikeman, and all our columnists are experts in their fields. Some of them are available for media interviews and quotes, speaking engagements and consulting. You can find biographies, areas of expertise and contact information for the columnists who have agreed to be available for comments below. Contributing Columnists: * Neal Dikeman, Founder Cleantech Blog, Partner at Jane Capital Partners * Richard Stuebi, BP Fellow for Energy and Environmental Advancement, Cleveland Foundation * Heather Rae, President, Brae Consulting – Sustainability marketing expert * John Addison, Author of Clean Fleet Report, Director, California Hydrogen Business Council * Dr. Peter Beadle, CEO GreenJobs.com, former BP Solar exec Guest Contributors: * Joel Makower, World Leading Sustainability Advocate, Founder Clean Edge * Felix Kramer, Founder, CalCars.org * Nick Bruse, General Manager Clean Technology AustralAsia * Anne-Marie Fleming, President, Investor Ideas, and publisher of leading renewable energy stock web site * Mark Bitterman, Editor, Superconductor Week * Gerry Woolf, Editor, BEST Magazine We also welcome contact from PR firms looking to connect with green, sustainable, and cleantech bloggers. Neal Dikeman: I founded Cleantech Blog in 2005. I am a merchant banker and co-founder of Jane Capital Partners LLC, where I head the energy and environmental practice, and prior to that worked in venture capital, private equity and investment banking in the tech and energy sectors. We have co-founded four emrging startups in cleantech and IT (in superconductors, fuel cells, RF, and carbon credits) since the tech wreck, and advise the technology and venture investment arms of three multi-nationals. In all of it, I have been lucky enough to work with some amazing colleagues, bosses, and partners. Besides Cleantech Blog, I am a contributing editor of AltEnergyStocks.com, and contributing author to Inside Greentech. Along with our own, the blogs I regularly read include Jim Fraser's The Energy Blog, Rob Day's CleantechVC, Tyler Hamilton's Clean Break, Joel Makower's Two Steps Forward, and Inside Greentech. My areas of expertise are always a work in process, but I have been quoted, cited, or interviewed on energy, alternative energy, and cleantech issues by numerous online and print publications including Red Herring, Energy Intelligence, Time.com, Bloomberg, San Francisco Chronicle, Forbes.com, Ethical Investor, Wall Street Reporter, and FT.com among others, on topics ranging from: cleantech, solar, ethanol, blogging, technology commercialization, corporate venture investment, energy prices and policy, technology transfer, carbon trading, and renewable and alternative energy. Feel free to contact me at dikeman@janecapital.com. Mr. Richard T. Stuebi Richard Stuebi has nearly 20 years of experience as an executive, entrepreneur and consultant in the energy industry, with most of the past decade focused on advanced energy technologies. He is currently serving as the BP Fellow for Energy and Environmental Advancement at the Cleveland Foundation, one of the largest community foundations in the US with over $1.6 Billion in assets. He works with various public and private sector stakeholders to promote commercial activity in advanced energy in the Cleveland area. Mr. Stuebi has authored numerous articles that have appeared in such leading industry periodicals as The Electricity Journal and Public Utilities Fortnightly, and has presented at numerous major energy conferences. He is a contributing columnist to Cleantech Blog, writing on alternative energy issues, news and events. Prior to joining the Foundation, Richard founded NextWave Energy, a professional firm focused on capitalizing upon new business opportunities stemming from innovative energy technologies. As President of NextWave Energy, he assisted several emerging and established private-sector clients in various aspects of business development, including strategy and capital formation. Previously, Richard was a senior vice president at Louis Dreyfus, the global commodity trading firm and was a management consultant in the energy practice of McKinsey & Co. Richard earned degrees in economics from the Massachusetts Institute of Technology and Stanford University. His areas of expertise include: Economics in alternative and renewable energy, energy policy, trade, and development. Cleantech finance and technology strategy. You can contact him at rts@nextwave-energy.com. Ms. Heather Rae Heather is a green marketing expert and a long-time advocate of green technology and sustainable business. Through her consultancy Brae Consulting, Heather has worked for energy companies, cleantech startups, and nonprofits (she is currently working with a home energy efficiency program of the Maine Governor's office). Her previous corporate marketing experience includes Xcel Energy (demand-side management and green power) and Qwest Communications. A hands on expert - Heather has practiced what she preached. She is certified in high performance residential building (Green Advantage®) and has served as co-director of Colorado's Interfaith Power & Light. Readers of Cleantech Blog will know that Heather converted a retired school bus into the Brae Bio Bus, a recreational vehicle running on biodiesel (B100) with solar panels for auxiliary power, and recently drove it across the country blogging the experiences in finding biodiesel in different parts of the US. Having reached her destination at Maine Home Performance, a program of the Maine Governor's Office where Heather is helping design programs to certify and link Maine contractors with homeowners who want to "go green", Heather is now tackling the conversion of an 1880s Maine farmhouse into an energy efficiency and green showcase. Heather graduated from Wesleyan University and is a contributing columnist to Cleantech Blog writing on green and sustainable products and marketing from the consumer's point of view. Her areas of expertise include: Green marketing programs and strategies, grass roots green and sustainable programs for consumers, using green technologies in the home. You can contact her at heather.rae@braeconsulting.com Mr. John Addison John is an accomplished writer, speaker, and expert in technology marketing and strategy. He is one of the IT converts that are driving the cleantech industry. Since 1992, his marketing consultancy OPTIMARK, Inc. has provided educational programs, market intelligence, market development and partner development for technology and government leaders. A believer in cleantech's potential to change the world for the better, John is the Publisher of the Clean Fleet Report and serves on the Board of the California Hydrogen Business Council. He is a contributing columnist to Cleantech Blog. He is the author of the book Revenue Rocket on channel marketing in technology, and the upcoming book Save Gas, Save the Planet on what we as individuals can do to help save the planet. Earlier in his career John was an area channel manager for Sun Microsystems. For three years, he led a sales team to 300% annual growth in 15 states, increasing revenue from $4 to $110 million. He has taught courses about marketing and innovation at U.C. Davis and U.C. Santa Cruz Extension. He is a popular speaker in the Americas, Europe and Asia. You can find more of his speeches and articles on his websites Clean Fleet Report and Revenue Rocket. His areas of expertise include: Technology marketing and marketing strategy, channel marketing, fuel cells and the hydrogen economy, alternative fueled fleets, and California's energy tech corridor. You can contact him at johnaddison1@gmail.com. Dr. Peter Beadle Peter is the owner and CEO of GreenJobs.com. He is an is an experienced technology executive and an expert on a wide range of green and energy technologies, including photovoltaics, fuel processing, fuel cells, and oil & gas technologies. Green Jobs is one of the few dedicated job sites for the renewables and cleantech industry. They put out the online Green Directory, as well as a weekly newsletter on People News in cleantech. Peter is a contributing columnist to Cleantech Blog writing on renewable energy news and events. Peter holds a PhD in Physical Chemistry, and previously served President of BP Solar's North American division. Prior to that he held a number of positions in R&D and technology management within British Petroleum. His areas of expertise include: Solar, fuel cells, oil & gas, renewable energy job market You can contact him at Peter@greenjobs.com.