Cap and Trade vote on Friday

[geeker2]

You are going to see more modern combined cycle plants with 55% plus efficiency - they will start to replace the less efficient coal plant (lower 30% efficiency).

The US natural gas reserves are very high with yet untapped wells. With the more efficient plants these CC Plants will be dispatched before the less efficient coal plants. The issue is still the unknown pricing of CO2 fees and the ultimate regulation levels.

Renewables are great - but their ability to be dispatched is limited which means additional reserves of "fast start" will be required in tandem. The other issue with Renewables is the necessary infrastructure of transmission and distribution investment still required.

What does this all mean to us?

Expect higher residential electricity cost.....