29 Oct '14, 2pm

Are Environmental Regulations Causing US Utility Bills to Surge?

Are Environmental Regulations Causing US Utility Bills to Surge?

NEW YORK -- U.S. electricity markets face years of higher prices as clean-air regulations shut more coal-fired power plants than earlier forecast, cutting supply and forcing producers to rely more on natural gas. Standard & Poor’s estimates that 40 to 75 gigawatts (75,000 megawatts) of coal units may be shut by 2020, compared with announced permanent shutdowns of 27 gigawatts. About 18 percent of the closures expected through the end of next year will be replaced by natural gas and renewables, BNP Paribas SA forecast. The loss of the cheaper coal units will boost power prices by as much as 25 percent on grids that serve about a third of the nation’s population, according to the Brattle Group, a Cambridge, Massachusetts-based consulting company. The biggest impact may be in the Midwest and Northeast, where demand for gas for heating jumps during the cold-weather months. “We...

Full article: http://www.renewableenergyworld.com/rea/news/article/2014...

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