Groups Applaud Wolverine Coal Plant Permit Denial by Governor Granholm, Michigan Department of Natural Resources and the Environment

Governor Follows Through on Commitments to Clean Energy Jobs

Local residents and groups declared victory today in an almost three-year battle against a proposed coal plant in RogersCity. Area residents applauded Governor Jennifer Granholm and the Department of Natural Resources and the Environment (DNRE) Director Rebecca Humphries for denying a permit needed to build the controversial plant.

“We in Rogers City are profoundly grateful for this decision,” said Jean Veselenak, a resident of Rogers City. “The cost of Wolverine coal would have meant diminished health, diminished economy, and great injury to our environment which sustains our lives. Wolverine must now put its head to the real thing; wind, solar; and new technology that already exists in Michigan. Our families deserve these jobs and their health after long promises.”

The DNRE decision states there is no need for the proposed power plant, and that alternative methods are available that would supply the customers of the four electric cooperatives that make up Wolverine with electricity at a much cheaper rate than the cost of building a new coal plant. State officials estimated that the proposed plant would increase the electric rates charged by the cooperatives by at least 59.2% even after Wolverine suggested reducing the plant by half.

“With this decision, Governor Granholm reinforced Michigan’s clean energy jobs future by moving away from coal and supporting today’s job creators—renewable energy and energy efficiency,” said Anne Woiwode, State Director of Sierra Club of Michigan. “Coal is an outdated, dirty and dangerous way to generate power and it is a dead end for Michigan jobs.”

“Today, the State of Michigan echoed what we’ve been saying for years: we don’t need to waste millions on dirty, unnecessary coal plants,” said Faith Bugel, Senior Attorney for the Environmental Law & Policy Center. “This is the right decision for Michigan’s ratepayers, for Michigan’s workers and Michigan’s environment.”

Today’s decision arose out of an Executive Order from Granholm last year that instructed the DNRE, with input from the staff of the Michigan Public Service Commission, to evaluate Michigan’s energy needs and the availability of alternatives to coal plants. The guidance arose from provisions in the federal Clean Air Act adopted in the 1970s, which allow states to require consideration of alternatives in weighing whether to issue or deny an air pollution permit. The Michigan Environmental Protection Act, which calls for consideration of alternatives to activities that pollute, impair or destroy the environment, was also cited during public comment as rationale for the state to deny the Wolverine permit, as well as other coal plant air permits also under consideration.

“The denial of this permit clears the way for Wolverine to invest in energy efficiency and electric generation sources that will serve their member cooperatives better by developing cleaner electricity generation and keeping costs lower,” said Susan Harley, Policy Director for Clean Water Action. “We applaud Governor Granholm and Director Humphries for making decisions that will serve Michigan well today and for generations to come.”

DNRE's documents explaining the denial of the Wolverine Power Supply Cooperative air permit to install can be found here: http://www.deq.state.mi.us/aps/cwerp.shtml#WPSC. 

CMS Energy Faced Coal Challenges at Shareholder Meeting

Shareholders Resolutions Received High Support While Ratepayers Rallied Outside Annual Meeting

LANSING – CMS Energy shareholders are sending a clear signal they have deep concerns about the proposed coal plant near Bay City and the risk it poses to the company’s financial stability after a significant percentage of shareholders voted today in support of proposals from two investors calling on the utility giant to disclose risks associated with its coal ash disposal and cut greenhouse gas emissions.

While the proposals put up for proxy votes were not endorsed at the shareholders’ meeting in Jackson, The strong support for the shareholder proposals are a sign of investors’ deep concern that CMS Energy’s poor environmental performance and continuing investment in coal are putting shareholder value at risk.

“CMS Energy is wasting an opportunity to be not just a true energy leader, but also more profitable down the road so it can continue creating Michigan jobs and providing Michigan energy to families and businesses,” said Margaret Weber, a proxy for a CMS Energy Shareholder. “We will not give up. We will continue the fight to make CMS Energy – our company – a leader in clean energy investments and clean energy jobs, not a dinosaur from the coal age.”

During the meeting CMS Energy Shareholder Margaret Weber delivered a large bundle of Michigan petition signatures to now former CEO David Joos and current CEO John Russel telling him that “these 8,000+ Michiganders are asking CMS Energy – all of us in this room - to invest in renewable energy and energy efficiency, not another dirty, expensive, and unnecessary coal plant. They hope that CMS Energy will focus on energy efficiency and clean energy as lower cost options that will create good jobs and help them keep paying their bills.

Weber asked “As on of these 8,000 Michigan residents, I would like to know what the rate increase will be to pay for this new coal plant and when you will provide investors with an analysis of the rate impact of this new coal plant, including potential customer defaults and loss of customers?”

Citing that major credit ratings agencies across the nation have warned that new coal plants are expensive and likely to be plagued by long term regulatory and financial problems, shareholder Peter Every asked management “In the face of all these risks, wouldn’t it be wise to stop spending investor money on developing a risky, expensive, and unnecessary coal plant, and instead replace our old and inefficient coal plants with energy efficiency and clean energy?

Weber also raised concern at the rally about the re-election of board member Richard Gabrys, who also sits on the Massey Energy board of directors. Massey Energy is a coal company with a long history of violating the law, both in safety and in environmental compliance.

“CMS Energy shareholders sent a message to their company’s management that making further investments in old coal technology is a bad decision,” said Tiffany Hartung, Sierra Club Beyond Coal Campaign. “Not only has Consumers Energy CEO David Joos refused to listen to the people of Michigan for years, he’s also refused to heed the warning signals from the financial industry about the risks of building new coal plants. Shareholders demand change and they deserve a company that is financially responsible.”

Two CMS Energy investors – the Office of the Comptroller of New York City and the As You Sow Foundation – submitted the shareholder proposals. The shareholder proposals call for CMS to:

• Plan for a more expensive carbon future by adopting quantitative goals for reducing its total greenhouse gas emissions and reporting to shareholders on these plans
• Disclose all potential risks associated with toxic coal ash disposal and to disclose steps the company is taking to reduce exposure to these risks.

A similar coal ash shareholder resolution filed with MDU Resources recently received 25.6 percent of the vote in favor of increased transparency on this key environmental issue – high enough for the company chairman to agree to shareholder demands at its annual general meeting. Investors in Southern Company, which dropped its own plans for a new coal plant in Mississippi last month, have also filed similar resolutions. 

Citizens Group Applauds Legislators for Cost-Lowering Energy Efficiency Plan

Legislation will help reduce energy costs for families, create Michigan jobs

LANSING – ReEnergize Michigan! today applauded Michigan legislators for introducing a plan that would strengthen energy efficiency programs in Michigan, a move that would help reduce energy costs for families and businesses while creating much-needed Michigan jobs. REM! is a coalition of labor, consumer, citizens, faith and other groups fighting to build a strong energy future for Michigan.

“Energy efficiency means slashing waste, saving money, cutting costs and creating jobs, and that’s why we applaud this plan to strengthen Michigan’s energy efficiency standard,” said Gayle Miller of the Sierra Club. “A stronger energy efficiency standard will help reform Michigan’s energy industry to benefit small business and entrepreneurs, creating thousands of jobs. Investing in more energy efficiency can help homeowners and business owners reduce their utility bills and keep energy costs low. That’s going to help Michigan become more competitive in today’s energy economy.”

The new legislative plan will strengthen Michigan’s current Energy Efficiency Savings Standard. Michigan’s current energy efficiency standard requires that utilities reach annual efficiency savings of 1 percent for electric power and 0.75 percent for natural gas by 2012, measured as a percentage of total annual retail sales. These bills ramp up the savings for each source of power in 0.25-percent increments so each standard is doubled by 2016. A 2009 report by Synapse Energy Economics, Inc. estimates that as much as 5,355 MW of clean, pollution-free energy could be captured and put on the market through energy efficiency measures in Michigan.

Energy efficiency is also good for Michigan jobs. In March, a report released by Midwest Energy Efficiency Alliance: Expanding Michigan’s Energy Optimization Standard showed that Michigan could increase the number of jobs in its energy efficiency sector to over 7,600 jobs if it doubled its current standard by 2019.

Energy efficiency is Michigan’s cheapest and most promising job-creating energy opportunity. At a cost of 3 cents per kW/h, saving energy through energy efficiency makes better financial sense than building new generating capacity, which costs upwards of 12 cents per kW/h. Michigan can get the same amount of power from energy efficiency as it can from dirty sources of power at a fraction of the cost.

Spearheading the legislative plan are Reps. Kathy Angerer (D-Dundee), Gary McDowell (D-Rudyard), Bob Constan (D-Dearborn Heights), Lisa Brown (D - W. Bloomfield), Robert Jones (D-Kalamazoo), Fred Miller (D-Mount Clemens), Deb Kennedy (D-Brownstown), Joan Bauer (D-Lansing).

“Energy efficiency is vital to Michigan’s economy and our citizens’ quality of life,” said Susan Harley of Clean Water Action. “Energy efficiency can help increase the value of a home or business and it helps people, especially seniors and people with medical conditions, stay more comfortable year round. We applaud Reps. Angerer, McDowell, Constan, Brown, Jones, Miller, Kennedy, and Bauer for working to give Michigan’s families the opportunities we need to get jobs in the clean energy economy.”

The three main methods of achieving energy efficiency are through weatherization, upgrading mechanical and lighting systems, and investing in energy efficient appliances.

Investments in energy efficiency create jobs throughout the state. Unlike coal or nuclear power, virtually all the money spent on installing efficiency measures stays within the state, as local labor is used for energy efficiency installations. Job categories created by efficiency investments include energy auditors and technicians, electricians, heating and cooling contractors, pipefitters and plumbers, builders and contractors, manufacturers, and program administrators. Efficiency upgrades drive demand for products made by Michigan companies such as Guardian Glass and Dow. Retailers such as hardware, lumber, big box and department stores all benefit from energy efficiency programs as people buy windows, storm doors, caulk, insulation as well as new appliances, furnaces, washers and dryers.

“This plan is a win-win for Michigan that benefits ordinary families, businesses and future generations,” said Wendy Jaehn of the Midwest Energy Efficiency Alliance. “Virtually every study on energy shows that energy efficiency provides the greatest bang for the buck, helping Michigan squeeze value out of every dollar invested. Now is the time to aggressively go after more jobs, and Michigan can do that with a stronger, more aggressive energy efficiency standard.” 

Sierra Club Activist Wins Prestigious Goldman Environmental Prize

Michigan farmer Lynn Henning recognized with $150,000 prize for her work to protect water and communities from factory farms 

SAN FRANCISCO – Michigan farmer and Sierra Club activist Lynn Henning has been awarded this year's prestigious Goldman prize, considered the "Nobel prize for environmental activism." Henning took action after concentrated animal feeding operations (CAFO's) began polluting the water near the 300-acre corn and soybean farm she works with her husband in Lenawee County. Over the last decade she has become a leading voice calling on state and federal authorities to hold these livestock factory farms accountable to water and air quality laws. "Lynn Henning represents the soul of grassroots activism," said Michael Brune, Executive Director of the Sierra Club. "Faced with a threat to her community's environment, Lynn organized with her neighbors and pushed successfully to hold the polluters accountable. This is a thrilling day for the Sierra Club family."

When factory farms surrounded her property, Henning and other concerned neighbors formed Environmentally Concerned Citizens of South Central Michigan (ECCSCM) and began to organize. Reaching out to neighbors, fellow farmers and Environmental Protection Agency enforcement officials, Henning gathered her own data on factory farm pollution. Regularly driving a 125-mile circuit multiple times a week to track factory farm pollution and to take water samples, Henning learned about the sources of the pollution affecting her community and decided to take action.

“The Henning family, like so many neighbors of animal factories, has endured unspeakable pollution, horrible health impacts and direct threats to their safety and security for speaking out about this outrageous pollution" said Anne Woiwode, director of the Sierra Club's Michigan Chapter. “Lynn’s response has been to fight harder, to learn everything she could about CAFO pollution, to teach others what she knows and to advocate for solutions with anyone who could possibly stop this horror. Lynn is one of the bravest, smartest and most determined people I’ve ever known, and an inspiration every day.”

Henning joined forces with the Sierra Club’s Michigan Chapter as a volunteer in the Water Sentinel program in 2001, and she joined the staff in 2005. As a result of Henning's work, the state of Michigan has levied hundreds of citations against factory farms for environmental violations, and federal officials have taken notice. Sierra Club has proudly supported Henning's efforts to develop water quality monitoring programs nationwide to measure pollution levels from factory farms.

"The Sierra Club is extremely proud of Lynn's accomplishments in stopping new animal factories, bringing polluting animal factories to justice and educating the public to the very serious health, food safety and environmental hazards they present," said Scott Dye, Director of the Sierra Club's Water Sentinels program. "We're honored and humbled that the Goldman Prize has recognized Lynn's outstanding work on the world stage."

The Goldman Environmental Prize, now in its 21st year, is awarded annually to grassroots environmental heroes from each of the world’s inhabited continental regions and is the largest award of its kind. Winners receive $150,000 each and will be recognized at an invitation-only ceremony Monday, April 19, 2010 at 5 p.m. at the San Francisco Opera House. Winners will also be honored at a smaller ceremony on Wednesday, April 21 at the Smithsonian's National Museum of Natural History in Washington, D.C.

For more information visit http://sierraclub.typepad.com/scrapbook/2010/04/michigan-clean-water-activist-wins-2010-goldman-prize.html 

Groups Take Action on Proposed Bay City Coal Plant

Permit fails to protect public health from unnecessary and dirty coal plant

CHICAGO (March 31, 2010) – Concerned environmental groups have taken action to protect Michigan’s public health and clean energy future from Consumers Energy’s proposed coal-fired power plant near Bay City, MI. Natural Resources Defense Council (NRDC) and Sierra Club challenged the plant’s recently issued air permit for not doing enough to limit harmful pollution and for the state’s failure to fully consider cleaner, better alternatives for Michigan.

"Consumers’ proposed $3.57 billion coal plant is dirty, expensive, and unneeded,” said Shannon Fisk, staff attorney for NRDC: “And to add insult to injury, it would exacerbate the already problematic issue of coal ash fouling Saginaw Bay. The state has the opportunity to rebuild its economy with cutting edge energy technologies which will create jobs and clean the air---but that only happens if state agencies and utility companies do the right thing. We need to implement these cleaner, modern alternatives.”

“What Michigan needs is clean, reliable electricity, and Consumers Energy and the state are letting us down,” said Anne Woiwode, State Director of Sierra Club’s Michigan Chapter. “We have alternatives available to meet our state’s electric needs, create many more good-paying jobs, and protect the health of our communities. Michigan families can’t afford to carry the enormous burden of the state’s failure to hold Consumers Energy accountable.”

Consumers Energy is seeking to build a $3.57 billion, 830 MW coal-fired power plant next to the existing Karn-Weadock generating station on the shores of Saginaw Bay. The Michigan Department of Natural Resources & Environment (MDNRE) issued an air pollution permit for the proposed plant that fails to address many important issues related to public health, such as failing to fully protect surrounding communities from dangerous fine particulate matter that can lodge deep inside the lungs and cause respiratory problems. The permit also fails to do enough to limit emissions of mercury, which has been linked to developmental problems in children.

Last year, NRDC released A Green Energy Alternative for Michigan, showing that aggressive energy efficiency programs combined with the potential of 27,000 GWh of power from cleaner energy technologies can fulfill the state’s power needs. The state failed to properly evaluate these cleaner and more technologically advanced solutions in choosing to move the Consumers coal project forward. Although Consumers agreed to retire some existing coal-fired power generation by the end of 2017 as a condition to the permit, those aging plants were likely to be retired anyway, making this agreement little more than an empty shell.

Beyond the air pollution issues, concern has been raised about the additional pollution created by the coal ash resulting from the new plant’s operations. According to the Bay City Times and state records, the two ash landfills at Karn-Weadock have been leaking toxics to Saginaw Bay for years, in excess of state standards meant to protect aquatic organisms, drinking water and public health. The new plant would create up to an additional 210,000 tons of dangerous coal ash waste annually.
____________________________________________________________________________________
The Natural Resources Defense Council is a national, nonprofit organization of scientists, lawyers and environmental specialists dedicated to protecting public health and the environment. Founded in 1970, NRDC has 1.2 million members and online activists, served from offices in New York, Washington, Chicago, Los Angeles, San Francisco and Beijing. http://www.nrdc.org
Since 1892, the Sierra Club has been working to protect communities, wild places, and the planet itself. Sierra Club is the oldest, largest, and most influential grassroots environmental organization in the United States. 

Citizens Group, Energy Efficiency Workers Call for Stronger Michigan Energy Efficiency Standard

Report shows stronger standard will help reduce

energy costs for families, create Michigan jobs

LANSING – ReEnergize Michigan! partners, along with energy efficiency professionals, unveiled a new report today (http://www.mwalliance.org/meea-publications/meea-report-expanding-michigans-energy-optimization- standard) that found thousands of jobs could be created and billions of dollars could be saved in Michigan with a stronger energy efficiency standard. ReEnergize Michigan! is a coalition of businesses, labor, consumer, citizens, faith and other groups fighting to build a strong energy future for Michigan.

“Energy efficiency means slashing waste, increasing savings, cutting costs and creating jobs. That’s, why Michigan must act quickly to strengthen our energy efficiency standard,” said Mike Shriberg of the Ecology Center, a member of ReEnergize Michigan! “Strengthening the standard will help move Michigan in the right direction and give us the tools to compete in today’s energy economy. Michigan can create more than 7,600 in the energy efficiency industry if we strengthen our energy efficiency standard.”

Michigan’s current energy efficiency standard requires that utilities reach annual efficiency savings of 1 percent for electric power and 0.75 percent for natural gas by 2012, measured as a percentage of total annual retail sales. A new report released today by Midwest Energy Efficiency Alliance, “Expanding Michigan’s Energy Optimization Standard,” shows that Michigan could increase the number of jobs in its energy efficiency sector to over 7,600 jobs if it doubled its current standard by 2019.

“Energy efficiency is the best way to put money back into consumers’ pockets and put Michigan back to work,” said Sam Flannery of the Building Science Academy, which trains Michigan citizens in homebuilding, construction and energy efficiency. “Every day, we see how energy efficiency is providing new opportunities to people across Michigan, from helping workers get a new job to cutting energy bills for homeowners to helping businesses strengthen their bottom lines and create jobs.”

Investments in energy efficiency create jobs throughout the state. Unlike coal or nuclear power, virtually all the money spent on installing efficiency measures stays within the state, as local labor is used for energy efficiency installations. Jobs created by efficiency investments include energy auditors and technicians, electricians, heating and cooling contractors, pipefitters and plumbers, builders and contractors, manufacturers, and program administrators. Efficiency upgrades drive demand for products made by Michigan companies such as Guardian Glass and Dow. Retailers such as hardware, lumber, big box and department stores all benefit from energy efficiency programs as people buy windows, storm doors, caulk, insulation as well as new appliances, furnaces, washers and dryers.

“As a building contractor, I see firsthand how families and businesses are demanding more ways to save energy costs, and energy efficiency is the best way to reach that goal,” Doug Selby from Meadowlark Home Performance said. “Strengthening Michigan’s energy efficiency standards will roll out the welcome mat for more investments in energy efficiency, which will save money, keep our dollars in Michigan and create local jobs. We see it every day in our industry and we urge our leaders to give small businesses and working families the tools that can help us create energy jobs and save money.”

At a cost of 3 cents per kW/h, saving energy through energy efficiency makes better financial sense than building new generating capacity, which costs upwards of 12 cents per kW/h. Currently, total savings for Michigan customers is $15.4 billion. According to the Midwest Energy Efficiency Alliance, doubling that standard would save customers over $22 billion.

“Saving energy through greater efficiency will slash utility bills for consumers and businesses, a crucial cost savings in these tough economic times,” said Gayle Miller of the Sierra Club. “Energy efficiency can help increase the value of a home or business and it helps people, especially seniors and people with medical conditions, stay more comfortable year round. Energy efficiency is vital to Michigan’s economy and our citizens’ quality of life.”

The three main methods of achieving energy efficiency are through weatherization, upgrading mechanical and lighting systems, and investing in energy efficient appliances.

“This plan is a win-win for Michigan that benefits ordinary families, businesses and future generations,” said David Gard of the Michigan Environmental Council. “Virtually every study on energy shows that energy efficiency provides the greatest bang for the buck, helping Michigan squeeze value out of every dollar invested. Now is the time to aggressively go after more jobs, and Michigan can do that with a stronger, more aggressive energy efficiency standard.”

If we fail to invest and capitalize on the cheapest form of energy, neighboring states that do will be more competitive. If our electric rates are too high, businesses won’t come here. Investing in energy efficiency is the best way to keep Michigan competitive and create jobs. 

New Coal Plant Will Hurt Michigan Wallets, Jobs, Health

Granholm Administration’s decision to OK Bay City plant will kill jobs; won’t protect families

LANSING – Clean energy and environmental groups today criticized Michigan’s Department of Environmental Quality for giving the green light to a controversial coal plant project in Bay City, and outlined the true costs of how the plant will drive up utility bills and hurt families and job creation.
“Consumers Energy is hiding the full and true cost of building a coal plant Michigan doesn’t need, that will saddle ratepayers with bigger bills and continue a dangerous legacy of harmful pollution,” Sierra Club Michigan Chapter Director Anne Woiwode said. “This air permit breaks Governor Granholm’s promise to our families to move us toward a clean energy economy. Thousands of people committed to Michigan’s future are rallying to fight this badly flawed decision because our jobs, our health and our future are at stake.”

The installed cost for the Consumers Energy coal plant has skyrocketed recently. In June 2007, total construction and financing costs were estimated at approximately $1.88 billion. In January 2009, Consumers Energy said the total installed cost for the coal plant would be $3.58 billion, which is a 90- percent spike in costs from its original estimates in less than two years. Publicly, however, Consumers has been citing a lower $2.72 billion construction cost, which is “deflated” to reflect an assumption that the plant commenced operation in 2009 as opposed to the actual proposed date of 2017. The Bay City coal plant’s hidden cost increases are typical of price over-runs in projects across the nation, which would be paid for by Consumers’ ratepayers if the plant moves forward.

“Consumers Energy is making a bad energy decision and sticking ratepayers like me with the tab for its mistake,” said Terry Miller, a Bay City ratepayer and member of the Lone Tree Council. “Michigan families should not be made to pay, in dollars and with our health, for a coal plant nobody wants or needs. This decision is a complete failure of leadership and a slap in the face to Michigan families who want a strong energy future.”

To get the new Bay City plant, Consumers has agreed to retire at least five older plants. But those plants have all been cited by the U.S. EPA for violating the Clean Air Act for decades and would almost certainly be shutdown in the near future. As such, the retirement deal allows Consumers to continue illegally polluting the air for the next almost eight years from a number of aging plants, and locks Michigan into thousands of tons of additional air pollution, and approximately seven million tons of additional carbon dioxide emissions, annually for the next 40 or more years. The deal also leaves Michigan with a number of aging dirty coal plants, including up to seven units that lack scrubbers to control sulfur dioxide or bag houses to limit particulate matter emissions, and up to four units that lack nitrogen oxide controls.

“Consumers Energy is playing a shell game with the health and future of Michigan families at a time when it should come clean and build a clean energy future,” said Shannon Fisk of the Natural Resources Defense Council. “Michigan will still pay a high price because of the many dirty coal plants that will remain in place. Consumers’ continued pursuit of the dirty coal energy of the past will saddle Michigan families with higher health costs and energy bills for generations to come.”

The groups called for investments in clean energy, which is one of the few bright spots in the tough economy. Clean energy investments are already creating thousands of jobs in Michigan today, and will create up to 42,000 jobs in Michigan and as many as 1.9 million jobs nationally by 2020, according to an October 2009 study by researchers at the University of Illinois, Yale University and the University of California-Berkley. In addition, these investments would increase annual household income in Michigan by $667 to $750 per year and boost GDP by $2 billion to $2.4 billion, the study says. Other studies have also shown that clean energy creates jobs at a faster rate than coal.

“Michigan had an opportunity to create clean energy jobs instead of joining the coal rush to an economic dead-end,” said Susan Harley of Clean Water Action. “Study after study shows that clean Michigan energy creates good-paying Michigan jobs at a faster rate and over a longer period of time. Michigan citizens deserve more 21st century jobs, not more job-killing coal plants.”

Resource: See the Natural Resources Defense Council Fact Sheet "The Proposed ConsumersCoal Plant: An Unnecessary Economic and Public Health Risk" January 2010 (http://www.michigan.sierraclub.org/pdfs/Consumers-FactSheet_Jan2010.pdf)