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Wood-waste plant, meant to provide Austin with renewable energy, sits idle

Austin TX American Statesman -- For most of the 7 months since it rumbled to life, a wood-burning power plant in East Texas hasn’t been producing electricity for Austin Energy customers despite a $2.3 billion contract.

Simply put, the plant’s electricity is now too expensive to use. But, even as the plant sits mostly idle, Austin Energy pays a fee to cover its operating costs.

“It concerns me that customers are on the hook, paying for this plant to sit idle,” state Sen. Kirk Watson, D-Austin.

The city-owned utility agreed to purchase power from the “biomass” plant in 2008 as part of a plan to aggressively invest in renewable energy and curb the city’s contribution to global climate change. But the deal was based partly on the expectation that federal taxes would raise the price of carbon-based fuels, making wood waste

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Submitted Feb 14, 2013 By: DellDude2

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rjhenn Champion Author Des Moines Posts:22,419 Points:2,226,900 Joined:Aug 2005	Message Posted: Feb 19, 2013 6:14:54 PM Ignore rjhenn Report Abuse Actually, since all this started before the glut of NG, all it proves is that it's difficult to predict the future.
E-Squirrel Champion Author Orange County Posts:3,012 Points:819,060 Joined:Feb 2005	Message Posted: Feb 19, 2013 5:40:53 PM Ignore E-Squirrel Report Abuse tomok advises: "Be careful, very carful, how you write the contract when trying to get cheaper electricity for sale by using locally 'produced' fuel. The local city bus company contracted for plant bio-diesel years ago and now pays a high cost for a supply of local bio-diesel. Alternate sources of local energy or fuel is not always a good deal but can cost much more in the long run." Well, that is pretty much why they are called "alternate" fuels. If they were cheaper, they would just be "fuel". The fuels that we use now, are in use exactly because they are cheaper. This plant was built to "prove" that you could generate electricity from "biomass". What it has proven, is that the scheme is uneconomic, and, that building the plant was a waste of money and resources.
tomok Champion Author Portland Posts:32,934 Points:2,342,585 Joined:Aug 2006	Message Posted: Feb 19, 2013 4:37:37 PM Ignore tomok Report Abuse Wood-waste plant, meant to provide Austin with renewable energy, sits idle? Is there really that much waste wood in Texas to be able to produce that much electricity at a good price? The price of natural gas is so much cheaper then coal, wood or many other fuels for producing electricity. Also, be very mindful of what fuels are not very friendly to the environment and produce more greenhouse gases than necessary. Be careful, very carful, how you write the contract when trying to get cheaper electricity for sale by using locally 'produced' fuel. The local city bus company contracted for plant bio-diesel years ago and now pays a high cost for a supply of local bio-diesel. Alternate sources of local energy or fuel is not always a good deal but can cost much more in the long run. Drive vehicles with high MPG, are very safe, reliable, have a ‘reasonable’ cost and a good ‘value’ for the money. The price of fuel at the pump is too high!
blupupher Champion Author Houston Posts:3,534 Points:745,120 Joined:Feb 2011	Message Posted: Feb 15, 2013 7:16:13 AM Ignore blupupher Report Abuse Austin, the oddball liberal pocket in Texas.
kgbellman Champion Author Ann Arbor Posts:2,698 Points:728,915 Joined:Mar 2011	Message Posted: Feb 15, 2013 12:20:44 AM Ignore kgbellman Report Abuse repeat
Ray_10589 Champion Author New York Posts:4,931 Points:1,180,060 Joined:May 2009	Message Posted: Feb 15, 2013 12:03:38 AM Ignore Ray_10589 Report Abuse thanks for the article
Godozo All-Star Author Gary Posts:656 Points:555,765 Joined:Dec 2010	Message Posted: Feb 14, 2013 11:26:02 PM Ignore Godozo Report Abuse Biomass? Wouldn't waste wood be better used as chipboard for cheap housing? Heck, when both environmentalists and hard-core carbonists complain about a source of energy, then maybe it's time to put it aside.
LetemEatCake Champion Author Oklahoma City Posts:5,595 Points:1,202,835 Joined:Mar 2008	Message Posted: Feb 14, 2013 11:13:11 PM Ignore LetemEatCake Report Abuse Interesting article, thanks for posing!
bhuggsy69 Rookie Author Houston Posts:23 Points:6,110 Joined:Jun 2008	Message Posted: Feb 14, 2013 11:02:28 PM Ignore bhuggsy69 Report Abuse I bet the city still charges one of those miscellaneous charges for those folks that are in Austin, even though it does not produce electricity..
mfeldstein Champion Author Ottawa Posts:8,161 Points:1,928,430 Joined:Feb 2007	Message Posted: Feb 14, 2013 10:57:27 PM Ignore mfeldstein Report Abuse Not exactly a good portend for alternate fuel technologies.
Prodaddy Champion Author Houston Posts:8,365 Points:1,892,260 Joined:May 2007	Message Posted: Feb 14, 2013 10:56:35 PM Ignore Prodaddy Report Abuse I wonder how much money was wasted on this project
JCClark2012 Champion Author New Hampshire Posts:1,389 Points:392,970 Joined:Mar 2012	Message Posted: Feb 14, 2013 10:53:56 PM Ignore JCClark2012 Report Abuse Ok
bvrbill Champion Author Eugene Posts:3,193 Points:514,850 Joined:Jul 2011	Message Posted: Feb 14, 2013 10:53:05 PM Ignore bvrbill Report Abuse Who is making these decisions?
jorod55 Champion Author California Posts:1,460 Points:428,700 Joined:Dec 2011	Message Posted: Feb 14, 2013 10:49:26 PM Ignore jorod55 Report Abuse Use it or lose it. Make it produce or tear it down. Why pay for a dead horse.
DustyHorse Champion Author Virginia Posts:6,067 Points:1,387,845 Joined:Oct 2008	Message Posted: Feb 14, 2013 10:49:14 PM Ignore DustyHorse Report Abuse Based on incorrect assumptions says it all.
heydano67 Champion Author California Posts:1,651 Points:355,410 Joined:Feb 2012	Message Posted: Feb 14, 2013 10:48:20 PM Ignore heydano67 Report Abuse didn't quite pan out
floridakeys All-Star Author Columbus Posts:666 Points:269,330 Joined:Jan 2011	Message Posted: Feb 14, 2013 10:47:17 PM Ignore floridakeys Report Abuse So ,this is what we get from the smartest folks in the room. Green energy is not the answer now ,the technology just isn't there. What a sad waste in so many ways, a conventional power plant should have been built.
grt197 All-Star Author Illinois Posts:558 Points:122,560 Joined:Jan 2013	Message Posted: Feb 14, 2013 10:45:54 PM Ignore grt197 Report Abuse yes yes
Nshmidt Rookie Author New York Posts:75 Points:116,550 Joined:Oct 2012	Message Posted: Feb 14, 2013 10:43:51 PM Ignore Nshmidt Report Abuse ?
SavALot Champion Author Virginia Beach Posts:8,459 Points:1,708,910 Joined:Apr 2005	Message Posted: Feb 14, 2013 10:43:05 PM Ignore SavALot Report Abuse not helping Austin one bit
BREW9 All-Star Author Tampa Posts:866 Points:2,908,955 Joined:Jun 2004	Message Posted: Feb 14, 2013 10:40:01 PM Ignore BREW9 Report Abuse waste
OKRifle Champion Author Oklahoma City Posts:10,387 Points:1,807,360 Joined:Oct 2007	Message Posted: Feb 14, 2013 10:37:31 PM Ignore OKRifle Report Abuse I guess they will qualify for one of King Emperor Hussein Obama's stimulus handouts!
drz614 Champion Author Harrisburg Posts:2,289 Points:595,520 Joined:Aug 2011	Message Posted: Feb 14, 2013 10:35:56 PM Ignore drz614 Report Abuse this is the problem w/ green technology. the hype is there, with no business plan that follow thru w/o subsidies
TBRR Champion Author Jacksonville Posts:3,662 Points:598,170 Joined:Dec 2007	Message Posted: Feb 14, 2013 10:32:55 PM Ignore TBRR Report Abuse willing to bet the energy department under obummer provided a interest free loan or part of one of the ill gotten stimulus programs that fleeced the taxpayers.
animal63 All-Star Author Indiana Posts:950 Points:1,028,950 Joined:Oct 2008	Message Posted: Feb 14, 2013 10:30:27 PM Ignore animal63 Report Abuse that is too bad.
mstearno Champion Author Dayton Posts:8,048 Points:1,728,210 Joined:Jan 2008	Message Posted: Feb 14, 2013 10:27:54 PM Ignore mstearno Report Abuse sad
Dragnet Champion Author Arizona Posts:15,390 Points:2,905,735 Joined:Jul 2004	Message Posted: Feb 14, 2013 10:26:35 PM Ignore Dragnet Report Abuse There is the problem. A senator just shooting off his mouth and not doing a dran thing
Lizzylou Champion Author Stockton Posts:8,818 Points:2,357,285 Joined:Oct 2005	Message Posted: Feb 14, 2013 10:25:20 PM Ignore Lizzylou Report Abuse YES electricity extremely high!
NO_SWEAT Champion Author Toronto Posts:4,330 Points:1,076,390 Joined:Jul 2008	Message Posted: Feb 14, 2013 10:23:13 PM Ignore NO_SWEAT Report Abuse Another way to maintain high gas prices.
abacus44 Champion Author Toms River Posts:3,465 Points:744,815 Joined:Jan 2011	Message Posted: Feb 14, 2013 10:21:39 PM Ignore abacus44 Report Abuse Subsidies skew the market. If it can't pay for itself, dump it!
MG_Sputnik Champion Author Philadelphia Posts:7,295 Points:1,957,705 Joined:Apr 2006	Message Posted: Feb 14, 2013 10:21:36 PM Ignore MG_Sputnik Report Abuse Big time waste.
msf1527 All-Star Author San Bernardino Posts:536 Points:130,445 Joined:Nov 2012	Message Posted: Feb 14, 2013 10:20:12 PM Ignore msf1527 Report Abuse Ok
The_DR Champion Author New Jersey Posts:2,770 Points:582,140 Joined:Aug 2011	Message Posted: Feb 14, 2013 10:19:32 PM Ignore The_DR Report Abuse What a waste
Brucevanf Champion Author New Brunswick Posts:1,341 Points:241,360 Joined:Aug 2012	Message Posted: Feb 14, 2013 10:17:34 PM Ignore Brucevanf Report Abuse Someone made a really bad judgment call.
sydb7 Champion Author Atlanta Posts:3,542 Points:1,916,730 Joined:Mar 2003	Message Posted: Feb 14, 2013 10:15:49 PM Ignore sydb7 Report Abuse This was bad planning, "green" or not!
snagged Veteran Author Akron Posts:396 Points:110,230 Joined:Oct 2012	Message Posted: Feb 14, 2013 10:13:29 PM Ignore snagged Report Abuse Was Obama in on this?
smoketown Champion Author Cincinnati Posts:6,216 Points:1,378,975 Joined:Feb 2008	Message Posted: Feb 14, 2013 10:11:09 PM Ignore smoketown Report Abuse What a rip off.
NorthglennBill Champion Author Denver Posts:7,417 Points:1,469,820 Joined:Oct 2008	Message Posted: Feb 14, 2013 10:07:24 PM Ignore NorthglennBill Report Abuse Only $2.3 billion to build an oversized fireplace? Wow!
Bleeder Champion Author Virginia Posts:8,038 Points:1,697,375 Joined:Jan 2008	Message Posted: Feb 14, 2013 10:07:05 PM Ignore Bleeder Report Abuse Sad story.
Minutefan Champion Author Springfield Posts:3,300 Points:1,243,605 Joined:Aug 2004	Message Posted: Feb 14, 2013 10:07:00 PM Ignore Minutefan Report Abuse nice and gas prices remain inflated
abcdMA Champion Author Worcester Posts:7,907 Points:1,571,955 Joined:Nov 2008	Message Posted: Feb 14, 2013 10:05:34 PM Ignore abcdMA Report Abuse How much taxpayer money was wasted here
Carol7777 All-Star Author Houston Posts:707 Points:144,960 Joined:Dec 2012	Message Posted: Feb 14, 2013 10:05:19 PM Ignore Carol7777 Report Abuse Sometimes you win; sometimes you don't.
nimpy Champion Author Indianapolis Posts:8,120 Points:1,698,080 Joined:Oct 2007	Message Posted: Feb 14, 2013 10:05:14 PM Ignore nimpy Report Abuse Good idea but it needs to work
lippoe_sokan All-Star Author Provo Posts:602 Points:179,150 Joined:Nov 2012	Message Posted: Feb 14, 2013 10:03:32 PM Ignore lippoe_sokan Report Abuse Oh so many things wrong in this story! (Wrong, but not at all surprising.)
Lukus Champion Author Halifax Posts:8,268 Points:1,671,605 Joined:Nov 2007	Message Posted: Feb 14, 2013 10:02:47 PM Ignore Lukus Report Abuse ok
John747 Champion Author Chicago Posts:471,963 Points:3,621,985 Joined:Aug 2001	Message Posted: Feb 14, 2013 10:00:55 PM Ignore John747 Report Abuse Yet one more 'Green Energy' success story!
bearzz Champion Author California Posts:1,417 Points:416,645 Joined:Mar 2011	Message Posted: Feb 14, 2013 9:59:07 PM Ignore bearzz Report Abuse Gee . . . this sounds so familiar . . . another failing green energy project.
30mpg80 Champion Author Lexington Posts:10,003 Points:1,484,930 Joined:Nov 2008	Message Posted: Feb 14, 2013 9:58:03 PM Ignore 30mpg80 Report Abuse Not plagued with too many forests in that area, are they?
suzmar Champion Author Texas Posts:2,210 Points:869,975 Joined:Jun 2006	Message Posted: Feb 14, 2013 9:58:01 PM Ignore suzmar Report Abuse That sounds about right, typical renewable energy project, not cost effective.
wayoung56 Champion Author Alabama Posts:2,785 Points:815,310 Joined:Oct 2006	Message Posted: Feb 14, 2013 9:55:56 PM Ignore wayoung56 Report Abuse Hmmm...