Bill Text: MO HCR30 | 2014 | Regular Session | Engrossed
Bill Title: Strongly urges the Environmental Protection Agency to reject any federal fossil fuel emission regulations that remove coal as a viable fuel option for new and existing electric generation
Spectrum: Partisan Bill (Republican 2-0)
Status: (Engrossed - Dead) 2014-05-13 - Senate Message (S) [HCR30 Detail]
Download: Missouri-2014-HCR30-Engrossed.html
SECOND REGULAR SESSION
House Concurrent Resolution No. 30
97TH GENERAL ASSEMBLY
INTRODUCED BY REPRESENTATIVES FRANKLIN (Sponsor), JONES (110), DIEHL, HOSKINS, HUMMEL, CRAWFORD, RICHARDSON, SPENCER, RIDDLE, DUGGER, WALKER, PFAUTSCH, GUERNSEY, LOVE, REMOLE, ALLEN, SCHATZ, MUNTZEL, ANDERSON, JONES (50), MCCAHERTY, ROWLAND, BERNSKOETTER, BERRY, HANSEN, NEELY, MCGAUGH, HAMPTON, HIGDON, KOLKMEYER, WOOD, JUSTUS, FITZPATRICK, ENTLICHER, ZERR, HOUGHTON, MOON, HURST, LANT, CORNEJO, LAIR, DOHRMAN, BROWN, CONWAY (10), LAUER, CROSS, MILLER, LICHTENEGGER, WHITE, FRAKER, FREDERICK, REDMON, SCHIEBER, SHUMAKE, PHILLIPS, SHULL, LYNCH, PIKE, STREAM, WILSON, BURNS, BLACK, HARRIS, MIMS AND MORRIS (Co-sponsors).
WHEREAS, domestically produced coal has been and continues to be used as a fuel to produce over 80% of the electricity generated by the state's investor-owned electric utilities, municipally owned utilities, and rural electric cooperatives; and
WHEREAS, the state's heavy reliance on coal as a fuel source for Missouri's base-load electric generation is due primarily to coal being abundant, available, reliable, and comparatively much less expensive than virtually all other available fuels; and
WHEREAS, on June 25, 2013, the President of the United States issued a memorandum to the Administrator of the United States Environmental Protection Agency directing the EPA to:
(1) Move forward with a new proposal to implement national standards for carbon dioxide (CO2) emissions from the new fossil fuel-fired electric power plants by issuing a proposed rule no later than September 20, 2013;
(2) Use the EPA's authority under Sections 111(b) and 111(d) of the federal Clean Air Act to issue no later than June 1, 2014, standards, regulations, or guidelines that address carbon pollution from modified, reconstructed, and existing power plants; and
WHEREAS, the EPA already has issued its proposed rules and regulations for new fossil fuel-fired electric power plants and is expected to issue its proposed rules and regulations for existing fossil fuel-fired power plants by June 1, 2014, with implementation by June 2015; and
WHEREAS, the EPA's proposed regulations for new power plants would require all new coal-fired electric power plants to utilize carbon capture and storage (CCS) technology, otherwise known as "sequestration", to capture and store CO2 underground in order to meet the EPA's new stringent emission limits, even though such sequestration technology is not yet economical or even widely commercially available; and
WHEREAS, according to the Congressional Budget Office, engineers have estimated this sequestration technology would increase the cost of producing electricity from new coal-fired electric power plants by 75%; and
WHEREAS, a significant amount of additional electricity, estimated to be approximately 30% or more and known in the industry as "parasite load", would have to be generated by the power plant solely for the purpose of operating such new sequestration technology, making such additional power unavailable for use but still paid for by Missouri's electric consumers; and
WHEREAS, even the EPA admits that "today's CCS technologies would add around 80% to the cost of electricity for a new pulverized coal (PC) plant"; and
WHEREAS, these regulations in practical effect will make it economically impossible to build new coal-fired electric power plants in the future in order to meet the future electric generation needs of Missourians; and
WHEREAS, these regulations will in effect completely remove coal as a domestic, abundant, reliable, and affordable fuel source for electric generation in the future; and
WHEREAS, a reliable, affordable energy supply is vital to the nation's future economic growth, security, and quality of life; and
WHEREAS, it should be clear public policy of the United States to pursue an "all of the above" approach by promoting, and not discouraging or eliminating, any one or more domestic potential fuel source for electric generation by new or existing power plants; and
WHEREAS, the EPA's proposed regulations for existing power plants, while not yet made public, can reasonably be expected to follow the approach taken by the EPA in its proposed rules for new plants, and in any event, certainly will be designed to drastically reduce CO2 emissions from existing coal-fired electric power plants; and
WHEREAS, stricter emission standards imposed by the EPA on Missouri's existing coal-fired electric power plants necessarily will translate into higher electric costs that necessarily must be paid for by all Missouri consumers, either directly in higher electric rates, or indirectly through higher costs for other goods and services; and
WHEREAS, higher electric rates translate into an economic competitive disadvantage for Missouri and added economic stress in an already struggling state economy; and
WHEREAS, electric rate increases in recent years continue to be a heavy burden for customers served by the state's investor-owned and municipally-owned electric utilities, especially low-income residential customers, small businesses, and large manufacturers who are struggling to survive in an increasingly competitive world market; and
WHEREAS, increasing costs for electricity will hit especially hard residential electric users living in rural Missouri who are served by Missouri's electric cooperatives where 50% of electric cooperative members are over 55 years old, 37% are retired or on a fixed income, 40% have gross household incomes of less than $50,000 per year, and 16% make less than $25,000 per year; and
WHEREAS, approximately 40 million American families nationally earn less than $30,000 per year and spend almost 20% of their budgets on energy costs; and
WHEREAS, Missouri currently enjoys some of the lowest electric rates in the nation due to its reliance on coal-fired electric generation while other states that do not rely on coal have some of the highest electric rates; and
WHEREAS, many states have implemented mandatory or voluntary renewable portfolio/energy standards, implemented energy efficient or peak load reduction programs, experienced significant retirements of coal-based generating plants, or mandated emission reduction programs - all of which have already contributed to a reduction in greenhouse gas emissions; and
WHEREAS, each state has different needs and should be permitted to primarily rely on its own state utility and environmental regulators to craft and implement emission performance systems that reflect the policies, energy needs, fuel resource mix, and unique economic considerations of each state and region:
NOW, THEREFORE, BE IT RESOLVED that the members of the House of Representatives of the Ninety-seventh General Assembly, Second Regular Session, the Senate concurring therein, hereby strongly urge the Environmental Protection Agency to use some basic common sense and reject any federal fossil fuel emission rules or regulations that would have the practical effect of removing coal as a viable fuel option for both new and existing electric generation in the State of Missouri and elsewhere, and to adopt only such rules and regulations that allow state utility and environmental regulators maximum flexibility and discretion in implementing the same; and
BE IT FURTHER RESOLVED that the Chief Clerk of the Missouri House of Representatives be instructed to prepare properly inscribed copies of this resolution for Gina McCarthy, Administrator of the Environmental Protection Agency, and each member of the Missouri Congressional delegation.
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