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Three California Gas Plants to Shut Thanks to State’s Green Push

Three California Gas Plants to Shut Thanks to State’s Green Push - March 11, 2018 EnergyNow Media (EnergyNow.com)

Mar 10, 2018 by Brian Eckhouse (Bloomberg)

The Golden State is increasingly inhospitable to fossil-fuel power plants.

In the latest development, NRG Energy Inc. plans to shutter three old gas-fired power plants in California, according to a Sierra Club statement Friday. The plants are operated by the company’s GenOn unit, which is expected to be spun off under a bankruptcy agreement that was approved last year.

GenOn intends to shut down the Etiwanda plant in Rancho Cucamonga as of June 1. The Ormond Beach facility in Oxnard is slated to go dark as of Oct. 1 and the Ellwood site in Goleta is set to close as of Jan. 1 of next year. An NRG spokeswoman declined to comment Friday.

California regulators are pushing utilities to ditch gas-fired power plants for clean-energy projects amid a state-wide effort to cut their greenhouse-gas emissions in half by 2030 from 2015 levels. In January, the California Public Utilities Commission approved an order that requires PG&E Corp., the state’s biggest utility, to change the way it supplies power when demand peaks, by using batteries or other non-fossil fuel resources.

“Closing these plants is more proof that clean energy is driving gas out of California,” Evan Gillespie, a Sierra Club campaign manager, said in the statement.

Observations:

This piece of news is almost 2 years old, but it does explain why the California electrical energy retails at about $300 / MWH ($0.3 kWh) vs. the promise of $30 / MWH ($0.03 kWh).

We hear about all the new renewable PV modules and wind turbine costs dropping like a rock in water and respective PPA’s (power purchase agreements) signed at $30 / MWH ($0.03 kWh).

Where have we ever heard on a product that costs $30 / MWH ($0.03 kWh) to produce being sold retail for $300 / MWH ($0.3 kWh)??  What am I missing in this “progress” picture??

I am hereby challenging anyone who understands this public fraud that has left the taxpayers and rate payers holding the bag and paying arms and leg for a basic consumer product as electric power.

 

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