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A Must-Read Report, Another Reminder It’s Time to Build Something New in Central Appalachia

Tuesday, May 14th, 2013 - posted by brian

An updated and expanded report is a potent reminder that coal's decline isn't going away and policymakers should accept the challenges, just as many people already have. Click through to read the report's key findings.

The litany of voices pointing to the writing on the wall for the Central Appalachian coal industry continues to grow. They’re saying the same thing in almost every way imaginable, and have been for some time.

Watching coal production decline and demand shift as other energy sources out-compete coal domestically, it is vital that policymakers in Central Appalachia begin implementing policies and investments aimed at building a foundation for economic alternatives in coal-producing counties. A report released this morning by the consulting firm Downstream Strategies is a pretty good reminder why.

“The Continuing Decline in Demand for Central Appalachian Coal: Market and Regulatory Influences” expands on a January 2010 study and provides a detailed look at the challenges Central Appalachia faces, further making the case for the urgent need to act.

As the report’s lead author, Rory McIlmoil, who recently joined Appalachian Voices’ staff as energy policy director, points out:

Numerous factors influence demand for Central Appalachian coal, each of which has had — and will continue to have — a significant impact on the local economies where the coal is mined. In 2010, we recommended that state and local leaders take immediate steps to help diversify coalfield economies. To a large extent, that has not happened. However, it is vital that public officials begin making the political and financial investments necessary to build the foundation for new economic development opportunities in coal-producing counties.

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Tending to Appalachia’s Bright Future

Tuesday, May 14th, 2013 - posted by Cat

A word cloud created from workshops and panel sessions at the conference show the prevalence of positive thinking and themes. Courtesy of Kentuckians for the Commonwealth

I had never been to Harlan County. Sure, I’ve heard the songs, seen the movie, and know the stories, but nothing compares to being there, driving the Kentucky back roads, stopping in local shops, talking to folks.

It’s beautiful country, especially in April with the redbuds blooming and the bright greens of spring blushing up the mountainsides. It’s a friendly place – people went out of their way to make me feel welcome.

It also has more than its share of economic troubles. This is coal country, after all, where big companies haul out the black rock and most of the profits along with it. Harlan County and most of the surrounding counties have a poverty rate in the range of 20 to 28 percent.

This is not news to people living here. They know it, they live it, and they are looking at a million different ways to change it, to create Appalachia’s Bright Future. This was the name of the three-day conference in Harlan, hosted by Kentuckians for the Commonwealth a few weeks ago. It brought together more than 200 people from eastern Kentucky and beyond for an extended conversation about creating a just economy in the region. There was much discussion about what that even means, and while attendees each had a slight variation, several common themes emerged:

1. There is no silver bullet. There is no single industry or company that will turn it all around. Which is a good thing, most agreed, because a root cause of the region’s woes is being too dependent for too long on one industry.

2. There is no magic wand. No one is going to come in “from the outside” to rescue Harlan, or the rest of Appalachia’s’ coal country.

3. It’s about “leadership in place.” The future lies in nurturing home-grown entrepreneurship. Unlike a generation or two ago, young people today want to stay here, and many people who moved away want to return. This profound sense of homeplace was evident throughout the conference.

4. It’s about community and resilience, improving the quality of life and opportunity for everyone, collaborating with neighbors down the street or two counties over so that all can benefit.

5. It’s also about honoring coal miners and their families, those who have sacrificed in untold ways to help build our nation and power our modern lives, who deserve all the opportunity and benefit of a “just economy” as well.
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North Carolina Cares About Clean Water

Thursday, March 7th, 2013 - posted by Ian Watkins

According to a recent report by Land for Tomorrow, 91 percent of residents in North Carolina and surrounding states believe it is “important” or “very important” to conserve and protect water and other natural resources. Additionally, a 2002 publication of the N.C. State Economist it was found that people are willing to pay more money in the form of travel expenses in order to enjoy higher levels of water quality. Based on an estimated 14.7 million water-related recreation trips each year by North Carolinians, annual economic savings from water improvements are estimated to be $11.9 million for the Neuse waterway, $14.7 million for Cape Fear improvements, and $6.5 for Tar-Pamlico. While protection of natural resources may sometimes be a divisive topic, residents of North Carolina share a common desire for clean water, with good reason. Clean water is good for the environment and the economy.

The benefits of clean water can also be understood by realizing the costs associated with water treatment. According to a report by the N.C. Division of Water Quality, costs to be considered include additional water treatment, developing new drinking water sources or providing emergency replacement water, public information campaigns when pollution incidents arouse public and media interest, and payment for consulting services and staff time. When Burlington, N.C., found contaminants in their source water that were not eliminated during treatment, city subsidies were used to eliminate it from source waters.

Perhaps a more important measurement of the economic benefits of clean water is the success of publicly funded solutions for addressing water pollution. The N.C. General Assembly established the North Carolina Clean Water Management Trust Fund in 1996 and its funding of resource conservation has strengthened the state’s economic vitality. According to a report by the Trust for Public Land, every dollar invested In the N.C. Clean Water Management Trust Fund returns four dollars to the state in the areas of drinking water protection, flood control, tourism and outdoor recreation.
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Renewed Resolve: Pushing for Energy Reform in Virginia

Wednesday, March 6th, 2013 - posted by nathan

Appalachian Voices remains committed to achieving a more robust renewable energy policy that brings clean energy and good jobs to the commonwealth.

Reform of Virginia’s renewable energy law was in the spotlight on both sides of the political spectrum in the General Assembly this year. In the end, only a few adjustments were made to the law, none of which encourage the vibrant solar and wind industries that Virginians want, nor support a market for small businesses promoting renewable technologies.

But the shortcomings of Virginia’s latest legislative session have only strengthened Appalachian Voices’ resolve to achieve a more robust renewable energy policy that actually brings clean energy and good jobs to the commonwealth.

Laws have been enacted in 38 states to encourage the development of the renewable energy industry – and they have ushered in cleaner air and job growth. In some of those states, the industry is growing exponentially, in thousands of jobs and tens of thousands of clean megawatts.

Virginia has had a renewable energy law since 2007, but utilities have purchased credits rather than investing in Virginia jobs. At times, state law has been interpreted so that utilities cannot invest in renewable energy despite the enactment of renewable energy goals.

Appalachian Voices hoped to fix that during this year’s legislative session by advocating for a requirement that Virginia utilities could only use new wind and solar power built in Virginia to satisfy the law. Instead, a law spawned by Virginia Attorney General Ken Cuccinelli simply removed financial incentives for renewable energy and ignored our fix, despite support from the utilities.
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Virginia Transportation Board OKs Coalfields Expressway Project

Thursday, February 21st, 2013 - posted by nathan

Approved on Wednesday by the Commonwealth Transportation Board, the redrawn route prioritizes Alpha Natural Resources' access to coal, not travelers' access to local communities. Click to view the full-size map.

Yesterday, Virginia’s Commonwealth Transportation Board approved a four-lane divided highway that will flatten steep mountain ridges in southwest Virginia along a route proposed by Alpha Natural Resources — the largest coal company operating in Appalachia today.

The proposed 26-mile Coalfields Expressway is only a few miles off of several less destructive routes studied by the Virginia Department of Transportation in 2001 when it conducted a detailed environmental review of the area. The difference is that VDOT looked for a suitable place to build a highway. Alpha and other coal companies such as Rapoca Energy, on the other hand, selected the most profitable route for surface mining, using the highway as justification for the environmental toll they would inflict along the way.

This difference in purpose of the proposed routes is apparent when you look at the estimated impacts. The route VDOT selected in 2001 would have a 750-foot right of way that would disturb about 1,100 acres of land, four miles of streams and 720 acres of forest. Those impacts alone are daunting, but they pale in comparison to the redrawn route. Alpha’s path of destruction, with its 2,200-foot right of way, would flatten more than 2,100 acres, bury 12 miles of streams and clear-cut more than 2,000 acres of forest — not to mention destroy two churches and three cemeteries.

Nevertheless, VDOT sees this “coal-synergy” project as beneficial because it will cost taxpayers $2.8 billion to build, as opposed to the projected $5.1 billion without collaboration from the coal industry. The savings are disputable, however, and do not factor in the environmental cost of the road’s relocation. VDOT’s rush to make this project a reality has led them to disregard recommendations from the U.S. Army Corps of Engineers, the U.S. Environmental Protection Agency and the U.S. Fish and Wildlife Service — all of which are asking for a full environmental review of the new route.
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“I’m Here Because I Love Mountains:” Watch a speech by Appalachian Voices’ JW Randolph

Tuesday, February 12th, 2013 - posted by Appalachian Voices

On Feb. 8, Appalachian Voices Tennessee Director, JW Randolph, spoke to members of the state legislature, the media and the environmental community. Below is a video and the transcript of his speech in support of the Tennessee Scenic Vistas Protection Act, a bill to protect the state’s virgin ridgelines from mountaintop removal coal mining.

Hello, my name is JW Randolph, and I’m proud to serve as the Tennessee Director for Appalachian Voices. I’m here to speak with you for a few minutes about efforts to protect Tennessee’s mountains, but first I want to thank the members that have joined us here this morning. Chairman Southerland and Representative Gilmore have both supported the Scenic Vistas Protection Act, and we’re happy you’re here. We’re thankful to you both and look forward to continuing to work with you to pass this important legislation. I would also like to thank those in attendance for engaging in the democratic process, and finally I’d like to thank the Tennessee Environmental Council, Gretchen Hagle, John McFadden and your team. You guys are great leaders in this movement here in Tennessee and for us here on Capitol Hill, we all appreciate you and the work you do.

I’m here because I love mountains. I grew up in a log cabin my father built in the woods, on the banks of the Tennessee River. And like many of you, I got to know my family, my place, and our history through walking the beautiful woods and waters of middle Tennessee, fishing, hiking, and 4-wheeling. The time spent in these mountains taught me about freedom, responsibility and self-reliance. This was where I learned the best of home, the best of our state, and the best of what our country has to offer. As I got older, I learned that not too far away, near our ancestral land, coal companies were blasting apart the mountains, and poisoning the streams that we ran through.

My daughter will turn two years old this month. When I was her age, there were 500 mountains across Appalachia that are no longer there. Since then there have been 2000 miles of streams buried by mining waste, and 125-square miles of The Cumberland Plateau that has been altered irrevocably. That is why its important that Tennesseans join the effort to pass the Tennessee Scenic Vistas Protection Act.
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Turning a Win-Win into a Lose-Lose: Virginia Senate Kills Renewable Energy Bill

Wednesday, February 6th, 2013 - posted by nathan

Rather than fixing a problem, Virginia lawmakers prolonged it when they killed legislation to reform the state's renewable energy portfolio standard.

Last fall, Virginia Attorney General Ken Cuccinelli latched on to the idea that Dominion Virginia Power and Appalachian Power did not deserve huge bonuses for buying cheap renewable energy credits without actually building wind and solar projects in Virginia, and released an unsolicited report on the issue.

Appalachian Voices and our partners in the Wise Energy for Virginia Coalition have long advocated that the bonuses were failing to develop the renewable energy industry in the state and that a legislative fix is in order. The Senate Commerce & Labor Committee reached the same conclusion and tasked Cuccinelli and the utilities to work out an agreement, which they did.

The problem is that Cuccinelli, while claiming to resolve concerns from the environmental community, failed to invite us to the table. The result was a bill that simply dropped the bonuses, but did not replace those incentives with a mandate to build renewable energy in Virginia or even a preference for better quality credits.

The Wise Energy coalition worked with Senator Donald McEachin and Delegate Alfonso Lopez on legislation that requires credits purchased by utilities to be from the newest and cleanest sources of renewable energy. The proposal was carefully crafted with the singular goal of picking up where the attorney general’s bill left off, but it actually solves the problem of misplaced incentives and the lack of investment in Virginia wind and solar power.

It was a reasonable measure. However, despite strong supporting testimony from our unlikely ally — even Dominion said it was the “best solution” for solving the credits problem — it failed in a House Commerce and Labor subcommittee last week. The Republican chairman, Delegate Terry Kilgore, and his colleagues refused to address the problem.
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Renewing the Push for Renewable Energy in Virginia

Thursday, January 24th, 2013 - posted by nathan

State-by-state Renewable Portfolio Standards. Map from Database of State Incentives for Renewables & Efficiency.

Each year, as Virginia’s General Assembly convenes, lawmakers are confronted with hundreds of proposals running the gamut from education to energy. Many involve complicated issues, and many are distorted by corporate interests and political posturing.

This year the legislature is grappling with a key renewable energy law, known as the Renewable Portfolio Standard (RPS), which it passed in 2007. An RPS sets a certain percentage of a utility’s power that comes from renewable sources; the intent is to spur modern technologies such as wind turbines or solar panels.

Twenty-nine states and the District of Columbia have a mandatory RPS with strict standards. In those states, thousands of megawatts of wind and solar energy is powering homes and businesses, and the renewable energy industry is producing thousands of new jobs every year.

In Virginia, the RPS is voluntary – and has not led to the construction of a single wind turbine or solar panel in the commonwealth. The RPS law provides significant financial rewards – paid for by ratepayers – as a way to encourage utilities to use renewables. It also has a very loose definition of what constitutes renewable energy, making it easier for utilities to meet the goal, and get their reward. Which they’ve done handily. Dominion Virginia Power has received $77 million in RPS bonuses, and Appalachian Power Company has received $15 million. They relied almost entirely on existing hydro-power dams, most built before WWII, and credits purchased from renewable facilities in other states, to meet the goal.

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New Report Explores the Frontiers of Energy Efficiency

Saturday, January 19th, 2013 - posted by brian

A new report from the American Council for an Energy-Efficient Economy explores the next generation of energy efficiency. Each year, the council releases a state scorecard ranking states based on energy efficiency policy and programs. Graphic from ACEEE

After combing through the American Council for an Energy-Efficient Economy’s far-reaching report, Frontiers of Energy Efficiency: Next Generation Programs Reach for High Energy Savings, it would be hard not to have high hopes for a more efficient future.

Surveying 22 residential, commercial and industrial energy savings programs, the Frontiers of Energy Efficiency report estimates that advances in energy efficiency could reduce forecasted electricity use by as much as 27 percent by 2030.

“Natural gas isn’t the only abundant energy resource in this country — we’ve also discovered deep reservoirs of energy efficiency,” Dan York, ACEEE utilities program director, and lead-author of the report says. “Even as tried and true energy efficiency measures become commonplace, we continue to dig deeper and find new technologies and practices plus new program approaches to unlock further opportunities to achieve large energy savings.”
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Time to End Corporate Welfare for King Coal in Virginia

Wednesday, December 12th, 2012 - posted by nathan

Expenditures on the coal industry dramatically outweigh benefits to the economy of Virginia, according to a new report by Downstream Strategies. Click to enlarge.

Virginia taxpayers have been boosting profits for the coal industry with tens of millions of dollars in tax breaks every year. That’s not big news – but what’s astounding is that, due to the structure of the subsidies, the Commonwealth is not only foregoing revenue, it is actually paying cash to the industry.

According to a report released today from the research firm, Downstream Strategies, the coal industry in Virginia got $37 million in subsidies in 2009. Factoring in the subsidies as well as all costs and revenues directly and indirectly tied to the industry, the report shows that the net cost to Virginia that year was $22 million dollars. Read the press release and fact sheet here.

And what are Virginians getting for that? Not much.

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