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Our Top Five Stalled Energy Projects
Jobs and growth take a backseat to petty activism and grinding bureaucracy.

By Nash Keune


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Energy projects that were delayed, postponed, or terminated in 2010 (Project No Project)


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In 2010, as a direct result of environmental concerns, NIMBY activism, and a sluggish permit-granting process, there were 351 energy projects that were being delayed, postponed, or outright terminated. This is according to a study published by the Chamber of Commerce entitled Project No Project. Together, these projects were estimated to be worth $1.1 trillion and expected to create 1.9 million jobs. The overriding lesson from the report was that, given America’s byzantine permit system, opponents of any project can find a violation somewhere within the mountains of paperwork a firm is required to submit. This lesson is still relevant today. Here are just five examples: 

 

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1. Harry Reid Protects Nevadans from Jobs: Coal is the most hated energy source in America. It’s not surprising that even though the U.S. Bureau of Land Management granted LS Power final approval for a $2.5 billion coal plant in White Plain, Nevada, in 2008, its opponents continued to appeal the decision. In its complaint, the Sierra Club argued that the environmental-impact study for the plant overlooked the plant’s effect on greenhouse-gas emissions, air quality, and several nearby national parks. They were joined in their criticism by scores of environmental groups, as well as Senate Majority Leader Harry Reid (D., Nev.), who sent a letter condemning the project to then-governor Jim Gibbons (R., Nev.). In 2009, LS Power postponed the plant indefinitely, citing economic conditions and “increasing regulatory uncertainty.”

2. Environmentalists Defeat Pernicious Goals of Environmentalism: Six years ago, Northwest Energy started planning a 32-turbine, 82-megawatt wind farm near Nasselle, Washington. The project, which would have been the first wind farm in the Pacific Northwest, was hailed by some as a great step forward in creating “a clean, renewable energy resource that is ecologically friendly and economically wise.” The Audubon Society, on the other hand, saw the project as a death trap for the Marbelled Murrelet, a local endangered bird species. Studies showed that the turbines would likely kill one Marbelled Murrelet every two years. Northwest Energy spent the next three years and most of $3 million studying the bird. But it was to no avail. As costs escalated, investors backed out. On November 16, 2011, Northwest Energy officially terminated the project. 

3. Montana Energy for Montanans: One of the most surprising facts about the current permit process is the difficulty faced by renewable-energy producers. Almost half of the delayed projects in the Chamber of Commerce study involved renewable energy, including the Mountain States Transmission Intertie Line. This 430-mile transmission line would carry energy from wind projects in Montana, and is designed to help the area reach renewable-electricity mandates. It’s estimated that the construction would employ 3,211 people, and add 547 permanent jobs once the facility is operational. Opposition has come from several angles: Local residents cited the potential health and aesthetic impacts of the pipeline; PPL Montana, a coal plant in the area, has accused MSTI of trying to gain a monopoly over energy transmission; and a member of the Public Service Commission has stated that he will kill the project, calling it “nothing more than a way to drain inexpensive Montana-produced power out of the state and into lucrative California markets.” The firm stated in 2010 that because of setbacks caused by this opposition, they didn’t expect the line to be completed for at least five years.

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COMMENTS   12

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   02/29/12 07:31

Thanks for confirming that environmentalists are going after wind (and solar). I (most of us) fully expected that to happen, but weren't sure if it was widescale. But you have to remember, they go after 100% of other energy projects with near 100% effort and they're just getting started on wind and solar.

Another question that readily presents itself is how many existing projects have been closed or are in the process of closing. How many megawatts are involved there?

Finally, at a rate of - say 82 megawatts per stalled wind project - how long will it take to replace the loss of a real project of - say 1500 megawatts?

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Anthony Smith
   02/29/12 16:37

The environmentalists (communists) are going after solar and wind power anything that would help capitalism be successful. Especially oil!

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   02/29/12 07:38

My comparison of 82 megawind watts to 1500 meganuke watts probably only scratches the surface of incomparability and ineffectiveness of the renewable project. Nuclear, coal and natural gas projects reach a lot more of their rated capacity a whole lot more of the time.

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surfcat50
   02/29/12 08:48

Obviously, if there's too much energy available to Americans it becomes more difficult for the government to control. If it's more difficult to control, it's more difficult to ration. If it's more difficult to ration, it's more difficult to trade for favors or reward supporters with.

Liberals talk out both sides of their mouthes? To quote the e-trade baby, "Lemme show you something...This is my shocked face."

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   02/29/12 12:17

I have come to a conclusion (not necessarily recently). Environmentalist are morons and they have no rational concept of logic or consistency. Not all of them. Just 99.9% of them - to be generous. And since environmentalist are almost without exception liberals - not necessarily Democrats - to be generous. . .

Just a little mud slinging there. Pretty much a summary of the article.

Save the whales. Which whales? I don't know, just save the whales. Well, what about the krill (sp?). Save the Krill. Well the whales eat the krill. Save the whales. But then the krill will die, didn't you see that animated movie where the krill just wants to be free. Well, save the red spotted yellow bellied black sap sucker. That sounds good, right? If I join Greenpeace, will girls go out with me then?

And let the trolls pile on about how conservatives hate the environment.

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   02/29/12 13:29

"...the pipeline could be the target of a terrorist attack. The Coast Guard admitted that it was not able to completely protect against this possibility. This logic could apply to any useful but imperfectly protected manmade structure — schools, roads, office buildings, stadiums, etc. — but the group’s complaint was sufficient warrant for the California State Lands Commission to terminate the application."

Wow, so the terrorists in effect permanently destroyed the pipeline without ever having to get off their rear ends.

It's like that episode of Star Trek where two civilizations conduct their war entirely by computer and the citizens meekly step into the disintegration chamber to carry out the results of the computer simulations. Except they only destroyed people, not buildings, or, one presumes, natural gas pipelines. The whole theory was that destroying the infrastructure of civilization was too horrific.

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   03/01/12 15:50

Excellent observation! You kinda lost me on the Star Trek analogy, but otherwise...outstanding!

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David S
   02/29/12 13:48

That also presumes that only the government can protect us from threats (even purely hypothetical ones).

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Greg Taylor
   02/29/12 14:02

to surfcat50 and Cloudbuster: Perfect comments!

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 RobL
   02/29/12 14:20

I grade your essay 60% as 3 of 5 points are valid (but don’t worry that’s a B- on most college curves).

But you lament environmentalists stopping wind energy projects? Good grief!
Those are win-win propositions.

Wind energy is nothing but hot air. More energy is exerted building the farms then will ever be retrieved thus they need to be subsidized at tax payer expense. The butter on the bread is that environmentalists are spending time ending these useless projects which means they have less time to spend destroying the ones we need.

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   02/29/12 16:58

Oh, how I like to see Harry Reid's job-killing "projects" make it to national media attention! (My captcha word was "rooftop" as in that which is hidden will be revealed from the rooftops.)

The mentioned coal plant, LS Power in White Plain, Nevada (eastern Nevada, not heavily populated but lots of water in the surrounding mountain ranges) also had the audacity to use lots of water to process coal. Was it coincidence that Harry Reid's son's real estate company(ies) bought up lots of water rights from eastern Nevada to export water to, let me think, where was it where Harry Reid was trying to build a voting kingdom for himself, of yeah, Las Vegas!

Can't relocate water for more Las Vegas housing and casinos if it is being used in a coal plant. But this is just my opinion...

I live in central Nevada where local agriculture still fights Harry Reid's monstrosity of an earmark from a 2005 energy bill that is trying to relocate (some call it "stealing") water from the producing farmlands that surround us (onions, garlic, organic vegetables, alfalfa) downstream to the Walker Lake. Walker Lake is a terminal desert lake (that has been losing water for the last 150 years it has been monitored) but Harry wants to save it. I am not joking. You, the American taxpayer have already paid a few local ranchers to sell their water rights so the water that has been used for agricultural production can go to Walker Lake. Save Walker Lake. External Link 

Did I mention that Walker Lake is closer to Las Vegas than White Plains? But maybe I am misunderstanding things. Senator Reid did say the water would not, definitely would not, go from Walker Lake to Las Vegas.

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   03/01/12 14:47

Out of curiosity I went to the ProjectNoProject to see if they were up to date on an energy project I am familiar with. They were not. The web site shows Weavers Cove in Fall River, MA as an ongoing project. This project was officially ended several months ago. The plan was to build an LNG facility on the Taunton River using and existing Shell facility as a starting point. It was opposed by every MA politician from day one. After 10 years of effort and many millions of dollars later Hess decided to pull the plug. Who could blame them? For those not familiar with Fall River, MA it is a town with an approximate unemployment rate around 17%. The jobs and much needed tax revenue that this new facility would have brought were not enough of an incentive for the brilliant local politicians. Fear of terrorists attacking the town was one of the opposition's biggest complaints. One of the most frustrating points was when the newly elected "Republican" Senator Scott Brown opposed the project. My disappointment is not with his actual opposition to the project but with the fact that to my knowledge he made no effort to meet with Weavers Cove and gain a clear understanding of what the project entailed. His approach was to simply meet with the opposition, assume they were a larger voting block than those that supported the project, and make his decision from that view point.
Hess is developing a similar project in County Kerry, Ireland. The people in that locale are desperate for the new jobs and the media there is continually hounding local government officials for holding up the project. What a difference!

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