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Environmental Law & Climate Change Center
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Carbon Dioxide Emissions
8/28/2009 12:21:46 PM EST
Thomas H. Clarke, Jr.
Sierra Club claims 100 coal-fired powerplants cancelled since 2001; reasons for cancellations appear to be in dispute
Partner, Ropers Majeski Kohn & Bentley
With the cancellation of a coal-fired powerplant in Utah in July, the Sierra Club asserted that there have been 100 such plants have "been shelved" since 2001, when approximately 150 plants were at least a twinkle in someone's eye. However, the reasons for the cancellations are in dispute.
 
The Sierra Club points to increased action by environmental activists both administratively and in the courts. Also, there is no question that some state regulators are sensitive to the global warming issue, and are skeptical of the benefits of coal-fired plants. Others note that the cost of construction and other commodities has increased, uncertainty exists re the future of CO2 regulations, financing costs have escalated, and the falling price of natural gas makes coal less economically attractive.
 
Further, as noted in a prior post, a recent USGS study raises questions about the extent to which coal reserves are economically recoverable, casting doubt about the future viability long-term of low-cost coal fuel supplies.

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