Eversheds Sutherland Coop Law Blog
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Trash-Burning Plant Does Not Count Toward Renewable Standard

An Arizona court has overturned an Arizona Corporation Commission (ACC) decision finding that a trash-burning power plant counts toward state renewable energy goals.  Mohave Electric Cooperative proposed to build the plant near Phoenix as part of its effort to obtain 15 percent of its electricity from renewable resources by 2025.  The ACC may appeal the decision.  Click here for the full story.
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Kentucky Coop Proposes Innovative Solution to Air Emission Standards

East Kentucky Power Cooperative (EKPC) plans to install ductwork to tie a scrubber between two coal-fired generation units at the Cooper Station plant.  Rather than install separate scrubbers or convert to natural gas, the $15 million tie proposal will provide an affordable alternative that effectively meets new air quality regulations.  EKPC plans to have the tie in operation by 2015.  Read more here.
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USDA Announces Latest Round of Funding for Rural Electric Projects

The U.S. Department of Agriculture (USDA) recently announced more than $188 million in loan guarantees to upgrade the rural electric grid, including more than $18 million for smart grid initiatives.  This latest round of funding is part of a larger USDA effort to improve the reliability and affordability of rural electric service.  Click here for the full story.
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NRECA Endorses Bipartisan Legislation Enabling Cooperatives to Continue to Offer Pensions

The National Rural Electric Cooperative Association (NRECA) has endorsed the proposed bipartisan Cooperative and Small Employer Charity Pension Flexibility Act of 2013 that would make it easier for cooperatives to continue to offer pensions to their employees.  The proposed legislation would ensure that cooperatives, along with charitable associations, are not subject to the funding rules of the Pension Protection Act of 2006 (PPA).  The requirements of the PPA funding rules would cause cooperatives to divert funds from critical services and jeopardize the ability of cooperatives to provide...
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SMECO to Collaborate with LS Cable in Underground Cable Network Project

Southern Maryland Electric Cooperative (SMECO) will soon be getting underground cables and connectors for the power transmission and distribution networks SMECO operates, thanks to LS Cable’s $12.7 million deal to supply high-voltage underground cables to the United States.  The project will create an extra high-voltage cable network across the Patuxent River for a length of 1.5 kilometers at the riverbed.  Underground cables are now preferred to above-ground electric cables for environmental and safety reasons.  Read more here.
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FERC Rejects Challenge to Minnesota-Wisconsin Transmission Line

The Federal Energy Regulatory Commission (FERC) has rejected efforts to rescind federal approval for a proposed high-voltage transmission line connecting Rochester, Minnesota, with La Crosse, Wisconsin.  In rejecting a petition against the $500 million project, FERC found that the petitioners lacked sufficient support for their claim that the line would risk grid reliability.  Dairyland Power Cooperative is part of the consortium building the line.  Read more here.
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NRECA Asks FCC to Rethink Waivers for Technology

The National Rural Electric Cooperative Association (NRECA) has voiced concerns that the Federal Communications Commission’s (FCC) decision to allow the use of certain broadcast technology may be premature given the potential for interference in the operation of Supervisory Control and Data Acquisition (SCADA) systems, given the key role that SCADA systems play in the management of coop facilities.  Click here for more.
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Changes to Hydro Power Marketing Administrations Blocked by House of Representatives

The U.S. House of Representatives passed an amendment on July 10 to the energy and water appropriations bill that prohibits spending to expand the role of four power marketing administrations.  These administrations have historically provided low-cost hydro power to coops and others, but the Department of Energy has been considering expanding their role to include energy efficiency and renewable energy.  Electric Co-op Today has the full story.
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Arkansas PSC Approves New Environmental Controls for Coal Plant

The Flint Creek coal-fired generation plant in Arkansas will undergo a $408 million makeover to install air pollutant controls required by the Environmental Protection Agency.  The Arkansas Public Service Commission (PSC) approved the request made by Flint Creek’s owners Southwestern Electric Power Company (SWEPCO) and Arkansas Electric Cooperative Corporation.  Read more here.
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Colorado’s New Renewable Energy Law Under Review

A committee organized to review Colorado’s new renewable energy law will consider whether the law is feasible and how costs associated with compliance may be recovered.  The law requires that 20 percent of a utility’s power supply come from renewables by 2020 with no more than a 2 percent rate increase to pay for the associated costs.  At the committee’s first meeting, Tri-State Generation and Transmission Association reported that it would require 430 MW of wind power at a cost of $1 billion to satisfy the mandate.  For more information, click here.
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NRECA Supports FERC Proposal

The National Rural Electric Cooperative Association (NRECA) filed a formal comment in response to the Federal Energy Regulatory Commission’s (FERC) Notice of Proposed Rulemaking (NOPR) regarding the requirements of the Reliability Standard.  The NOPR proposes to reject and remand a proposed interpretation of BAL-002-1 Disturbance Control Performance, Requirements R4 and R5 filed by the North American Electric Reliability Corporation (NERC).  NRECA’s petition urges the Commission to reconsider its proposed rule and instead accept NERC’s interpretation.  Read more here.
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Coop Leads Campaign Against New EPA Plan

Basin Electric Power Cooperative (Basin) is leading a campaign against an Environmental Protection Agency (EPA) plan to reduce atmospheric haze.  According to Basin and other electric cooperatives, the EPA’s plan, which would place tighter restrictions on coal-fired power plants in Wyoming, would increase electricity rates for consumers by requiring additional pollution-control measures.  Click here to read more about this story.
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Cooperative Research Network Studies Potential Uses for Coal Ash

The National Rural Electric Cooperative Association Cooperative Research Network (CRN) and the University of Kentucky Center for Applied Energy Research have spent more than two years conducting research on coal ash.  The research is important because coops rely heavily upon coal-based generation, and the Environmental Protection Agency has raised the possibility of regulating coal ash as a hazardous waste.  Coal combustion produces about 140 million tons of fly ash per year.  CRN said that possibly some of that ash could be used to create marketable products, such as detergents, cements and...
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Proposed EPA Runoff Guidelines May Create More Costs Than Benefits

In compliance with a recent settlement agreement, the Environmental Protection Agency (EPA) has proposed effluent limitation guidelines for power plants.  The National Rural Electric Cooperative Association is concerned that the proposed guidelines, which will affect coal-fired units with wet flue gas desulfurization systems or wet ash handling, could cost electric cooperatives millions of dollars.  Despite proposing these guidelines on June 7, the EPA will close public comment on August 6.  To read more, click here.
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