Illinois Public Media News
Gov. Pat Quinn dealt a major blow to plans for two coal gasification plants Monday, using his veto pen to strike down legislation that would have locked in rates for the facilities.
In a veto message, Quinn said plans to build the synthetic natural gas facilities in southwest Jefferson County and in Chicago's south suburbs would result in higher utility bills for Illinoisans.
"Our investments in clean coal must not come at the expense of consumers," Quinn noted. "As we lead the way out of this historic recession, we must always be mindful of the effect our policies will have on the people of Illinois."
Both plants were touted as potential new users of Illinois coal, as well as major job creators. The Illinois Coal Association earlier estimated the facility near Waltonville to be built by Aurora-based Power Holdings LLC could use as much as 2 million tons of coal annually and employ hundreds of people.
The company was planning to use coal mined in nearby Washington County.
"It's a shame the governor chose to do this," said Sen. John Jones, R-Mount Vernon, who co-sponsored the legislation. "Governor Quinn has proved once again he's running jobs out of the state of Illinois."
A number of southern Illinois groups supported the plant, including Southern Illinois University, local chambers of commerce, state and federal lawmakers and mayors of towns from Mount Vernon to Marion.
The legislation would have allowed the company to enter into long-term contracts to sell the gas the plant would produce. Ameren and other gas suppliers would have had to purchase the synthetic gas for the next 10 years, even if cheaper natural gas was available elsewhere.
Quinn signaled he was committed to boosting clean-coal technology, but said the two measures would allow the companies to lock in unusually high rates.
The measures, which were approved in the lame duck legislative session in January, were opposed by the Citizens Utility Board and Attorney General Lisa Madigan's office.
Chicagoans are paying steep prices at the gas pump lately. It's prompted one Chicago congresswoman to call for action against the oil companies.
U.S. Rep. Jan Schakowsky, D-Chicago, said Monday gas prices are so high, they could create another recession.
"I think we need to put on the table everything, including dipping into the reserves, in order to avoid that," Schakowsky siad. She said the U.S. government should end its subsidies to oil companies because their profits are so high.
Meantime, new statistics from AAA show Chicagoans are paying an average of $3.72 per gallon at gas pumps. That's 37 cents higher than last month.
"We're seeing very, very high oil prices for, really, any time of the year," Beth Mosher, a spokeswoman for the organization, said. "The situation in Libya, the unrest in Libya, has prices very, very high."
Mosher suggests commuters stick to public transit - since prices aren't expected to come down for at least the next few weeks.
(Photo by Tony Arnold/IPR)
(With additional reporting from Illinois Public Radio)
The decision to pick Morgan County over three competing sites to host an underground carbon dioxide storage facility was a close one, according to FutureGen Alliance CEO Ken Humphreys.
The site --- announced by the FutureGen Alliance on Monday --- will store carbon dioxide produced at FutureGen's power plant in Meredosia, retrofitted with experimental low-emissions coal burning technology.
Humphreys said Morgan County's geology, and its proximity to the power plant made it a front-runner over competing sites in Christian, Douglas and Fayette counties.
"Any one of these four sites could be, would be amenable to storing the 39 million tons of CO2 from Meredosia," Humphreys said. "If one were to look at possibly expanding the storage site, there might be more differences."
But Humphreys said at this point it is premature to look at expanding the pipeline, adding that major construction should begin within a couple of years.
The site will be located about 30 miles away from the power plant North of Interstate 72 and west of Interstate Highway 123 on the eastern edge of Morgan County. FutureGen officials say this is not a pin pointed spot for the site, additional evaluations will have to be completed. The FutureGen project is expected to bring in 1,000 jobs to downstate Illinois and another thousand jobs for suppliers across the state.
U.S. Senator Dick Durbin said plans by FutureGen to store carbon dioxide in Morgan County should give the area an economic boost.
"Bringing together all the components of FutureGen 2.0 will be a boost for Morgan County and result in thousands of good-paying jobs," Durbin said. "As host of the storage site, Morgan County will be on the map as a leader in clean coal research and technology attracting visitors from around the world."
While politicians and the business community cheer FutureGen's selection of Morgan County as the storage site, not everyone in the county is pleased with the decision. Andy Davenport owns farmland near FutureGen's selected area. When talks first started on where to put the leftover carbon dioxide he circulated a petition and got more than 300 people to sign. He said for a sparsely populated area, those numbers show people closest to the site do not want it.
"It's just very frustrating to be to have the people's voices ignored that own the land and live on the land out here," Davenport said. "We're going to be the ones that take the risk on this project, not the people in Jacksonville."
Davenport said the farmland he has owned for more than 30 years could be overtaken if the storage facility expands. He also said he is concerned about any environmental impact if the carbon dioxide leaks.
Meanwhile, this is strike two for Douglas County, which earlier lost out on its bid to host the original version of FutureGen.
But Brian Moody of Tuscola Economic Development in Douglas County says the work they did on their site proposal will help them compete for similar sequestration projects expected to come in the future.
"We've got a couple of those that look like they're going to be underway in Illinois," Moody said. "There's a project at ADM already. So we'll kind of wait and see what companies continue to look at the area. And again, I think we have a lot of the information that will spare them a lot of work in their site selection processes."
The U.S. Energy Department is committed to paying most of the cost of the $1.3 billion FutureGen project. The next step for FutureGen is an Energy Department environmental review, including comments from the public.
Developers of the FutureGen project have chosen Morgan County in western Illinois as an underground storage site for carbon dioxide generated by a nearby power plant they plan to refit with experimental low-emissions coal technology.
The FutureGen Alliance told The Associated Press on Monday that it picked Morgan County over sites in Christian, Douglas and Fayette counties. Project planners say the sequestration site will mean more than 1,000 short-term jobs and a few dozen permanent ones.
Carbon dioxide is linked to climate change. CO2 generated at the plant in Meredosia, which is in Morgan County, would be moved to the site through a pipeline that would be built. The current project was announced last year after the Energy Department scrapped plans to build a new experimental plant in Mattoon.
The wait is nearly over for the four Illinois counties hoping to be the FutureGen clean coal project's carbon dioxide storage site.
The FutureGen Alliance will announce its selection Monday. The alliance is a group of coal companies and other firms working with the U.S. Department of Energy on FutureGen.
The sites in contention are in Christian, Douglas, Fayette and Morgan counties.
Leaders hope the project could bring 1,000 construction and 150 permanent jobs to their communities.
The carbon dioxide would be generated by a power plant in Meredosia the project aims to refit with low-emissions technology. Carbon dioxide is a greenhouse gas linked to climate change.
The project was announced last year after the Energy Department scrapped plans to build a new experimental coal plant in Mattoon.
Plans for a wind turbine on the University of Illinois' Urbana campus could be in jeopardy if a funding plan isn't in place by Monday.
U of I Sustainability Coordinator Morgan Johnston said it needs to be set by then to place the item on the March agenda for the university's Board of Trustees. She said without that notice, bids for the project will expire, and a $2-million grant from the Illinois Clean Energy Foundation could also be lost. The U of I is seeking an additional $700,000 for the project, a cost Johnston said the U of I's Student Sustainability can handle. The proposed $4-point-5 million project now exceeds $5-million.
"They do have funds available right now that they're allocating for which projects to spend that money on this year," Johnston said. "What we're asking is that they would, rather than support new projects and additional projects, commit that $700,000 to this project to make it to be able to move forward."
Johnston said the U of I will provide more detail later this week on why it's seeking the additional funding.
Urbana City Council member Eric Jakobsson has been an advocate of the wind turbine project, but says he can't support the additional cost.
"It's all, in a certain sense, public money," Jakobsson said. "So the heart of my question was, how do you justify spending public money in a manner that is cost ineffective, especially when everybody is being either to pay more taxes or to tighten their belts?"
The Student Sustainability Committee is already putting half a million dollars into the project. Amy Allen, President of Students for Environmental Concerns, said that should be the limit.
"They've met their commitment to this project," she said. "We want to work with the University to get this done, but it's their responsibility to find that money."
Members with the student committee are requesting a meeting with the U of I's President and Urbana Chancellor about the turbine cost, including items that they don't think should be included in the project.
Energy company Dynegy will be closing its Vermilion Power facility near Oakwood by the end of March.
Company spokesman David Byford said mothballing the more than 50-year old facility largely comes down to economics.
"We have higher fuel costs at Vermilion because the plant is not located on a rail line," Byford said. "And that would be coupled with market conditions that would include reduced power demand and lower power prices that don't favor continued operations."
During a year-long review, Byford said company heads looked at options for the plant, including alternative fuel supply arrangements. But he said the price of fuel for supplying the plant with its coal also proved to be too much.
"We took a year exploring numerous options for the plant that included looking at alternative fuel supply arrangements," Byford said. "But in the end, we're still faced with poor plant economics."
Byford said the plant is no longer being used all the time, and he said a regional power grid ensures a reliable power supply to the area. The precise closure date for the plant is not known, but it is expected near the end of the first quarter of 2011. The company said the next step is for Dynegy to develop plans for suspending operations in a safe and reliable manner. The plant has about 50 employees, and Byford said it is not yet known whether they will be offered jobs elsewhere in the company.
The companies working with the U.S. Department of Energy to develop the FutureGen clean-coal project say they've cut the list of six potential carbon dioxide storage sites to four.
The FutureGen Alliance announced Monday the city of Quincy and Pike County north of St. Louis are no longer being considered, but Tuscola in Douglas County is still being considered. Other sites under consideration include Christian, Fayette and Morgan counties.
"This next step in the site selection process keeps FutureGen 2.0 on track," said U.S. Senator Dick Durbin (D-IL) in a press release. "While the geology was not ideal in the communities that received disappointing news today, the four communities that remain in competition will now have the opportunity to strengthen their proposals. Hosting FutureGen 2.0 in Illinois will create thousands of good-paying jobs and put our state on the forefront of clean coal research and technology."
Morgan County in western Illinois is the location of the power plant FutureGen plans to refit with newer technology. Carbon dioxide from the coal used at the plant in Meredosia would be piped to the underground storage site. The Energy Department earlier this year scrapped plans to both build a new FutureGen plant and store CO2 in Mattoon.
The FutureGen 2.0 project and pipeline network is expected bring in around 1,000 jobs to downstate Illinois and another 1,000 jobs for suppliers across the state.
The alliance said it expects to pick a site in February 2011.
Wind Turbine Project Gets Smaller As Urbana Residents Learn About Energy Plan
A plan to generate renewable energy by constructing three wind turbines on the University of Illinois' South Farms site has been scaled down to one turbine located on the corner of Old Church Road and Philo Road.
The project is estimated to cost $4.5 million, and the university said it can only afford to support one tower with that budget.
"It's unlikely we'll be able to do more than one at this time," said Morgan Johnston, the University of Illinois' sustainability and transportation coordinator.
A company that's now building a wind farm in Iroquois County hopes to receive permits next week to build a second facility that would straddle the Iroquois-Ford County line.
E.ON Climate and Renewables wants permission to build up to 111 wind turbines in Ford and Iroquois Counties near the towns of Loda and Paxton. Most of the turbines would go up in Ford County.
Ford County Zoning Officer Larry Knilands said E.ON officials would like to start work on the project next year.
"They wanted to get a contract signed, as far as a road agreement, construction permit, you name it --- everything taken care by warm weather, so that they might be able to start construction by, say, October (of 2011)," Knilands said.
But Knilands said the signing a road agreement could be the difficult part of the process. He said negotiations on road agreements for two other wind farm projects in Ford County has delayed their construction --- one has been on hold for two years.
"We have to make sure that whatever road agreement we establish the first time around is something that will apply to any other wind farm company that comes along," Knilands said.
E.ON is currently building a separate wind farm in eastern Iroquois County. Both the Ford and Iroquois County Boards are scheduled to vote on zoning permits for the 2nd E.ON wind farm project at their regular meetings next week.
The Ford County Board will meet Monday, December 13th at 7 PM at the Ford County Jail in Paxton. The Iroquois County Board meets Tuesday, December 14th at 9 AM, at the county Administrative Center in Watseka.
Page 15 of 21 pages ‹ First < 13 14 15 16 17 > Last ›