A Free-Market Energy Blog

The BP Spill: Self-Regulation, Public Property, and Political Capitalism

By Sheldon Richman -- May 27, 2010

[Editor note: Some important facts are emphasized in this post: the Gulf oil spill occurred on property owned and managed by the federal government, and the operator-at-fault (BP) has been the most politically active in its industry. Sheldon Richman is editor of The Freeman magazine and www.thefreemanonline.org, where this article first appeared.]

With some 7,000 barrels of oil spilling into the Gulf of Mexico each day from BP’s exploded Deepwater Horizon well, offshore drilling and oil-industry regulation have returned to the front pages.

The familiar old trap is set: Do you want unfettered markets and oil spills or government regulation and safety?  The implied premise is that the oil industry operates in a free market. So, the argument goes, the only alternative is government regulation.

On first glance that story is plausible.…

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Wind Integration Realities: The Bentek Study for Texas (Part IV)

By Kent Hawkins -- May 26, 2010

[Editor’s note: This is the final post in the series reviewing studies for the Netherlands, Colorado and Texas on (elevated) fossil-fuel emissions associated with firming otherwise intermittent wind power. Part I introduced the issues. Part II showed negated emission savings for the Netherlands at current wind penetration (about 3 percent). Part III extended the Netherland’s experience to the higher wind penetration in Colorado (6%) which demonstrates higher emissions. Part IV concludes with the Bentek results for Texas,which confirms those for Colorado.]

There are a number of relevant, notable characteristics of the 2008 Texas electricity production profile, 85% of which is managed by ERCOT:

  • The utility portion of the total electricity production is only about 24% of the total, with independent suppliers providing 57% and CHP installations, 19%. This distribution suggests that ERCOT’s ability to balance wind production is more limited than what might first appear.
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Wind Integration Realities: The Bentek Study for Colorado (Part III)

By Kent Hawkins -- May 25, 2010

[Editor’s note: This is the third of four posts on (elevated) fossil-fuel emissions associated with firming otherwise intermittent wind power. Part I introduced the issues. Part II showed negated emission savings for the Netherlands at current wind penetration (about 3 percent). Part III (below) and Part IV tommorow examine the higher emissions from wind in Colorado and Texas, respectively, according to a new study by Bentek.]

The Bentek study is a significant contribution to the wind/fossil-fuel emission literature despite some notable limitations. The study analyzes the PSCO system, which dominates Colorado’s needs, and the ERCOT system in Texas, which manages 85% of that state’s electricity.

The analysis includes SO2, NOx and CO2 emissions. Bentek looks at coal cycling events only in both cases, ignoring any gas cycling, while noting PSCO’s acknowledgement that wind impacts gas as well as coal.…

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Wind Integration Realities: The Netherlands Study (Part II)

By Kent Hawkins -- May 24, 2010
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Wind Integration Realities: Case Studies of the Netherlands and of Colorado, Texas (Part I: Introduction)

By Kent Hawkins -- May 22, 2010
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‘Cap-and-Divide: More Civil War on the Left’ (Classic MasterResource re-post)

By Robert Murphy -- May 21, 2010
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Demand-Side Management: Government Planning, Not Market Conservation (Testimony of Dan Simmons Before the Georgia Public Service Commission)

By Daniel Simmons -- May 20, 2010
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Kerry–Lieberman: A “Simple” 987-page Bill? (Enron postmodernism in a Senator’s voice)

By Robert Bradley Jr. -- May 19, 2010
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Climate Science Policy Needs a “Team B” (Big Science + Big Government = Bad Science & Policy)

By David Schnare -- May 18, 2010
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Cape Wind’s $0.21/kWh: Bad News for Buyers, as for U.S. Taxpayers

By Kent Hawkins -- May 17, 2010
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