India Orders From GE

GE Energy has received a three quarter billion dollar order for steam powered generators as well as gas fired turbines to be delivered before March 2012. The equipment will be installed in $2.3 billion expansion of a Reliance Power plant in Andhra Pradesh.

Informal Meetings Soften Waxman Leapfrog Threat

House Energy and Commerce Committee Chairman Henry Waxman met Thursday with Congressman Rick Boucher to talk over how the proposed carbon emission cap and trade rules will impact the manufacturing and coal mining sectors of the economy, and also with Congressman G. K. Butterfield to discuss proposed renewable electric power production mandates. Afterwards, Waxman softened his stance against a subcommittee markup of the American Clean Energy and Security Act of 2009, saying "if we have a subcommittee markup it would be very limited ..."

On the other side of the Capitol, Senate Foreign Relations ranking member Richard Lugar spoke out against USEPA's proposed calculation of Brazilian rain forest deforestation into the carbon effects of American corn based ethanol, even though Heather Zichal, Obama's deputy assistant for energy and climate change, promised on Wednesday that EPA will conduct peer reviews of its analysis before final rulemaking on corn based ethanol. Lugar, former Senate Agriculture Committee Chairman, said: "That we are responsible as corn farmers for cutting down trees in Brazil is ridiculous and outrageous." Senate Energy and Natural Resources Chairman Jeff Bingaman is delaying his committee work on permanent nuclear waste disposal sites and new electricity transmission grid locations, further delaying the actual construction of power production projects.

Bingaman is also still in negotiations with Senator Debbie Stabenow of Michigan, Evan Bayh of Indiana and Blanche Lincoln of Arkansas over renewable electric power mandates in the Senate version of climate change legislation.

Energy Policy Difficulties Put Power Plant Construction On Hold

The Navajo Nation planned to build a 1,500 megawatt coal fired power plant on its reservation in New Mexico, and expected to earn $50 million per year from sales of electric power produced by the new facility. Earlier this week the Obama administration's EPA Administrator Lisa Jackson moved to revoke the project's permit and block construction of the plant. John Walke, EPA's Clean Air Director, says the move was closely coordinated with the White House as part of President Obama's agenda to combat global warming. U. S. Chamber of Commerce Vice President for the Environment William Kovacs says there are between 60 and 70 power plant construction projects stalled by EPA permit issues.

Meanwhile, the debate over proposed cap and trade legislation limiting CO2 emissions, and over FERC authority to establish routing of new power transmission grid lines stalls legislation which will let the construction of new technology power generation facilities move forward. Finally, the debates over whether hydroelectric power plants and nuclear reactor generated power do or do not count as "renewable energy" production are delaying groundbreaking of facilities for power production using those modalities. Unless Congress and the related executive agencies can get their acts together, there won't be any new power plants or transmission lines built using either new or old technologies any time soon.

Interior Department Pushes Offshore Wind Farms

In an Associated Press interview March 9, Ken Salazar, Secretary of the Interior, promised aggressive support for offshore wind farms along the Atlantic coast. "The wind energy potential off the Atlantic may be greater than we have onshore, but what we don't have in place is the rules to move forward with energy offshore," Salazar said.

Along similar lines, Representative Bart Gordon, Chairman of the House Science Committee, predicted a single bill coming soon to address energy issues and climate change, which he says will include mandates to reduce carbon emissions, increase production of renewable energy, and promote development of new energy technology. Look for major appropriations of construction project dollars in this complex legislation sometime before Congress adjourns this year.

Congress Takes Up Electricity Grid Modernization

The next big Congressional appropriation for the construction industry will be funds for modernization of our aging electric transmission grid, according to Senate Majority Leader Harry Reid, House Speaker Nancy Pelosi, House Energy and Commerce Chairman Henry Waxman, Senate Energy and Natural Resources Chairman Jeff Bingaman, and House Global Warming Chairman Edward Markey. Speaking today at a gathering attended by Bill Clinton, Al Gore, T. Boone Pickens and other leading clean energy advocates and investors, Pelosi said: "The [stimulus legislation appropriations for] renewable energy resources will mean nothing if there's not a grid to transmit it. ... We have an opportunity to shape this framework."

Obama transition team leader John Podesta is looking for appropriations to fund the modernization of 2,000 miles of electricity grid, and installation of smart meters in 40 million homes.