Tag Archives: Lower Rates for Customers LLC

Solar Dublin High School groundbreaking tomorrow

Dublin gets the jump on the rest of Georgia again: Dublin High School will get a megawatt of solar electricity through a lease agreement with a private company using local government bonds to get around Georgia’s special financing problem.

Kenny Burgamy reported for for 13wmaz.com Thursday, Solar Plant To Be Located at Dublin High,

Dublin High School of Dublin City Schools will soon implement 1 megawatt of solar energy.

The 4,000 panel solar power plant will be the largest in Central Georgia and is expected to save the school 40 percent in energy costs.

Dublin City Schools Superintendent Chuck Ledbetter told 13WMAZ, “The facility will be built and owned by private business and the school system will lease the solar power plant, saving us money in energy costs.”

The original plan was developed more than 15-months ago by German based MAGE SOLAR, which has a plant located in Laurens County.

The story has been carried by GPB by Athens Banner-Herald via AP.

This installation is similar to but slightly different from Continue reading →

Softbank’s Son to install solar in Japan: watch out, Georgia Power!

The same Masayoshi Son who shook up Japan’s Internet market and is about to do the same in the U.S. is moving to modify Japan’s power market from nuclear to solar. Watch out, Georgia Power and Southern Company! If you don’t get a move on, Son-san will eat your lunch, too.

Mariko Yasu wrote for Bloomberg Businessweek 23 June 2011, Softbank’s CEO Wants a Solar-Powered Japan,

Masayoshi Son Billionaire Masayoshi Son made a fortune taking on Japan’s phone monopoly. Now he aims to shake up its power utilities after the worst nuclear crisis in 25 years. The 53-year-old chief executive officer of Softbank says he will build solar farms to generate electricity, with support from at least 33 of Japan’s 47 prefectures. He’s asking for access to transmission networks owned by the 10 regional utilities and an agreement that they buy his electricity. No other company has secured unlimited access to the those transmission networks. The utilities would not comment. Japan’s main business organization, the Keidanren, called for “careful analysis” before any drastic change in the power system took place.

If Japan ever felt ready to back Son’s ambitious plan, this is the moment. Radiation has spread across at least 600 square kilometers (230 square miles) in the northeast since the Mar. 11 earthquake and tsunami led to meltdowns at the Fukushima Dai-Ichi nuclear plant. Outgoing Prime Minister Naoto Kan said in May he will rethink a plan to increase atomic power to 50 percent of the nation’s energy output from 30 percent. Renewable energy already accounts for 10 percent, according to Japan’s Agency for Natural Resources and Energy. Son wants to see that tripled by 2020. “The question is how this nation is going to survive after cutting nuclear power,” he said at a government panel meeting on June 12.

Complacent Georgia Power and SO, you maybe don’t think he can do it? NTT probably thought that, too:

Continue reading →

What Georgia Power is afraid of: GaSU and Dr. Smith; and you

So what is Georgia Power afraid of that made their CEO Paul Bowers double down on old-style baseload? Competition, that’s what! What could be more scary in the power-monopoly state of the 1973 Territorial Electric Service Act?

GaSU sun On one side, Georgia Power faces GaSU and its 80 or 90 MW solar plant proposal. Walter C. Jones wrote for OnlineAthens 24 September 2012, Proposed solar company could stir up Georgia’s utility structure,

A proposal from a start-up business promises to lower electricity rates by rebating profits to customers if given a chance to compete as Georgia Power Co.’s “mirror image.”

GaSU fb profile image To proceed with its long-range plan of developing 2 gigawatts of solar power, the start-up, Georgia Solar Utilities Inc., wants to start by building an 80-megawatt “solar farm” near Milledgeville as soon as it gets a green light from the Georgia Public Service Commission. GaSU filed its request last week, and as of Monday, it’s still too fresh for public evaluation.

So radical is the proposal that spokespersons for Georgia Power and the Georgia Solar Energy Association said they still were evaluating it and could not comment.

Groups that normally advocate for customers also are staying quiet.

GaSU executives recognize such a big change won’t come easily.

Continue reading →

Southern Company’s three-legged nuclear regulatory-capture stool

The failed EDF nuke project at Calvert Cliffs in Maryland makes it clearer why Southern Company (SO) was the first company to get a nuclear permit in 30 years: it was the only one big enough and monopolistic enough to pull it off. Even then it’s such a bet-the-farm risk that even “great, big company” SO only dared to deploy its “great big huge scale“ equipment with the regulatory capture triple-whammy of a stealth tax on Georgia Power bills, PSC approval of cost overruns, and an $8.33 billion federal loan guarantee:

  1. a legislated stealth tax in the form of a rate hike on Georgia Power customers for power they won’t get for years if ever. If you’re a Georgia Power customer, look on your bill for Nuclear Construct Cost Recovery Rider. You’ll find it adds about 5% on top of your Current Service Subtotal. Georgia is one of only a handful of states where such a Construction Work in Progress (CWIP) charge is legal thanks to our regulatory-captured legislature. Doubling down on bad energy bets, Southern Company is also trying to use CWIP to build a coal plant in Mississippi.
  2. A captive Public Service Commission that rubber-stamps costs for Plant Vogtle. In case there was any doubt as to the PSC’s role in legitimizing those new nukes, the very next day Fitch reaffirmed Southern Company’s bond ratings.

    Southern Company’s regulated utility subsidiaries derive predictable cash flows from low-risk utility businesses, enjoy relatively favorable regulatory framework in their service territories, and exhibit limited commodity price risks due to the ability to recover fuel and purchased power through separate cost trackers.

    Translation: Georgia Power customers subsidize SO’s bonds and SO shareholders’ stock dividends. The PSC also approved cost overruns being passed on to Georgia Power customers, and those nukes are already over $400 or $900 million, depending on who you ask. What do you expect when 4 out of 5 Public Service Commissioners apparently took 70% of their campaign contributions from utilities they regulate or their employees or their law firms, and the fifth commissioner took about 20% from such sources? Hm, there’s an election going on right now!
  3. An $8.33 billion federal loan guarantee. Even that’s not good enough for SO and Georgia Power: SO is asking for less down payment.

And what if even one of that three-legged regulatory capture stool’s legs went away? Continue reading →

Fixing the illusion of certainty in Georgia Power’s decision-making

Why is it so hard to get a company like Georgia Power or The Southern Company to get on with solar and wind power for clean energy, for national energy independence, and, most importantly to such corporations, for their own profit? Why instead do they keep investing in coal and natural gas and wasting our tax and customer dollars on nuclear financial boondoggles? Why did Cobb EMC back new coal plants until they had their nose rubbed in national shame about corruption and do nothing about solar until their shareholders revolted and changed a majority of their board? We don’t even need to wait for that forensic audit the new Cobb EMC board wants to get the big picture. Such companies consider what they’re used to to be low risk, and anything new to be risky. Why are they so stodgy, and how do we change that?

These companies have many decades of experience with coal and natural gas, so they consider them less financially risky. (Details like neighbors dying disproportionately from cancer cost a little bit to buy up property, but that’s nothing compared to readily predictable profits.) Even nuclear such companies consider not risky to them, since they’ve got the federal government and their own customers guaranteeing all the financial risk through Construction Work in Progress charges on their bills for power they’re not even receiving from the new nukes and agreement from Georgia PSC that cost overruns like those caused by concrete sinking into the dirt can be passed on to the customers.

Neal Stephenson wrote for World Policy Journal September 2011, Innovation Starvation,

The illusion of eliminating uncertainty from corporate decision-making is not merely a question of management style or personal preference. In the legal environment that has developed around publicly traded corporations, managers are strongly discouraged from shouldering any risks that they know about—or, in the opinion of some future jury, should have known about—even if they have a hunch that the gamble might pay off in the long run. There is no such thing as “long run” in industries driven by the next quarterly report. The possibility of some innovation making money is just that—a mere possibility that will not have time to materialize before the subpoenas from minority shareholder lawsuits begin to roll in.

But if the old ways turn out to be suddenly risky, change can come. Funny how Cobb EMC changed its tune after subpeonas started raining down for its former CEO Dwight Brown. Sure, he got off on a technicality, but it turns out Cobb EMC shareholders didn’t like Continue reading →

We’re just ripe for solar power –Cobb EMC

We already saw that private investment is funding a 100 acre 10 MW solar farm with Cobb EMC as a customer. What does that mean for Cobb EMC’s direction? How big is Cobb EMC, anyway? And what does all this mean for Georgia Power, and for solar power in Georgia and all the jobs it can produce? What does it mean for everyone running for the Georgia legislature?

Chip Nelson, CEO of Cobb EMCKristi E. Swartz wrote for the AJC 16 April 2012, Solar project could be a catalyst for more if policies allow it,

“I always thought solar power was something further out for Georgia. We just weren’t in the right time,” said Chip Nelson, chief executive officer of Cobb EMC. “The way things have been moving in the utility industry, particularly the last two or three years, I find that we’re just ripe for it.”

Ripe indeed! Coal is dead. Nuclear is going down. 30 MW solar farm near Austin Solar will eat the lunch of utilities that don’t start generating it. It’s time for utilities to get out in front and generate their own solar power. Austin Energy continues to show the way in Texas with a 30 MW solar farm. Now Cobb EMC can do the same for Georgia.

Nelson isn’t some fresh outsider: he’s a Cobb EMC lifer. According to Patty Rasmussen in Georgia Trend February 2012, Power Players: Taking Over At Cobb EMC,

Nelson worked for Cobb EMC for 37 years, most recently serving as chief operations officer. He stepped in as interim CEO in February 2010 and decided to apply for the full-time position.

And Cobb EMC is not small. According to Kim Isaza in MDJonline.com 20 July 2011 New Cobb EMC chief Nelson ready to ‘turn page’ on past costly litigation, divisiveness,

Continue reading →

Georgia Energy Trust Fund —Dr. Sidney Smith 2012 02 17

After the ribbon cutting for a new solar installation in Bryan County, Dr. Sidney Smith talked about a distributed commodity market in solar power, plus large private investment utility-scale solar plants, and then he told LAKE about the Georgia Energy Trust Fund.

Here’s the video:


Georgia Energy Trust Fund —Dr. Sidney Smith 2012 02 17
South Eastern Pathology Associates,
Selling Power, Lower Rates for Customers LLC (LRCLLC),
Richmond Hill, Bryan County, Georgia, 17 February 2012.
Videos by Gretchen Quarterman for LAKE, the Lowndes Area Knowledge Exchange.

We donate 1.5% of the money we make to this trust fund for the county…. Now we invest that money in Georgia bonds for the county. And then the county only gets half of the interest So the funds we donate for these counties will grow forever as a result of what we’re doing with the trust fund…

It’s invested in us, roads, airplanes, deep water, stuff like that.

And that’s the key actually.

Continue reading →

Private investment in utility-scale solar plants

After the ribbon cutting for the new Tabby Solar and Lower Rates for Customers installation in Richmond Hill, I asked Dr. Sidney Smith about using electric meter technology for utility-scale solar plants, for example 1-5 megawatts, for which there is private venture capital seeking opportunities.

Here’s Part 1 of 2:


Private investment in utility-scale solar plants Part 1 of 2:
South Eastern Pathology Associates,
Selling Power, Lower Rates for Customers LLC (LRCLLC),
Richmond Hill, Bryan County, Georgia, 17 February 2012.
Videos by Gretchen Quarterman for LAKE, the Lowndes Area Knowledge Exchange.

Dr. Smith said that was possible, plus he’d already been talking to some potential German investors,

If our system works as we have designed, they’d like to invest 100 million or more.

That would be quite a bit of solar energy!

Here’s Part 2 of 2:


Private investment in utility-scale solar plants Part 2 of 2:
South Eastern Pathology Associates,
Selling Power, Lower Rates for Customers LLC (LRCLLC),
Richmond Hill, Bryan County, Georgia, 17 February 2012.
Videos by Gretchen Quarterman for LAKE, the Lowndes Area Knowledge Exchange.

You can help by calling your state senator about SB 459.

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Enabling a commodity market in solar power: Dr. Smith’s electric meters

Dr. Smith’s electric meters enable a commodity market in solar power, with billing from generators to customers. And EMCs can take 1% or so for carrying the power, plus they can get advertising rights that could be worth more than selling electricity! If SB 459 or something like it gets out of committee and into law.

Dr. Sidney Smith explained how the electric meter he’s developed uses cellular technology to facilitate direct billing from solar generator and customer. Gretchen asked him what if they generate more than they use. Dr. Smith said they wouldn’t. I asked what if they added more panels. He said they could, but there are trees in the back.

Here’s Part 1 of 5:


Enabling a commodity market in solar power: Dr. Smith’s electric meters Part 1 of 5:
South Eastern Pathology Associates,
Selling Power, Lower Rates for Customers LLC (LRCLLC),
Richmond Hill, Bryan County, Georgia, 17 February 2012.
Videos by Gretchen Quarterman for LAKE, the Lowndes Area Knowledge Exchange.

He forgot about the parking lot out front where the panels he just connected are located: no shading there, and plenty of room for more solar panels.

Dr. Smith said the best places for solar are where there is no shade and near power poles. Gretchen asked how do you finance? Dr. Smith answered, Continue reading →

Cutting the solar ribbon in Richmond Hill 2012 02 17

Drs. Sidney Smith and Pat Godbey and their customer cut the solar ribbon in Richmond Hill, Georgia, 17 Febuary 2012:
To commemorate the future of power in Georgia and the future for our children.
I didn’t get the customer’s name; sorry.

You, too, could be a customer or a seller of distributed solar power if SB 459 gets out of committee and through the Georgia Senate and legislature into law. Contact your state senator today!

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Here’s the video:


Cutting the solar ribbon in Richmond Hill 2012 02 17
South Eastern Pathology Associates,
Selling Power, Lower Rates for Customers LLC (LRCLLC),
Richmond Hill, Bryan County, Georgia, 17 February 2012.
Videos by Gretchen Quarterman for LAKE, the Lowndes Area Knowledge Exchange.

-jsq