Kicking The Can Down The Road: Barney Bishop, Associated Industries. and Nuclear Power ... by gimleteye

Associated Industries is one of the main lobbying arms of the business community in Florida and is among the elite--including the Farm Bureau and Florida Chambers of Commerce-- that wrecked the state's economy as surely as General Sherman's march through the South.

Bishop recently wrote an opinion piece of the St. Pete Times, urging the Florida legislature that "pay-as-you-go" provisions to support nuclear energy development ought to be maintained in state law. "The Florida Legislature enacted a wise policy to encourage additional nuclear energy in Florida. The legislation allowed utilities to recover from customers some of the front-end costs of building a nuclear plant as they are incurred, rather than waiting 10 years until the plant is in service."

Under this provision in South Florida, rate payers are already paying for at least $100 million in upfront costs for two new nuclear reactors at Turkey Point, even though the most important aspects of the project-- where the cooling water will come from and how the plant will obtain lime rock fill to raise the footprint twenty feet above sea level-- have not been disclosed. The secrecy and strong-arming of local public officials is shameful; all designed for the predetermined outcome big business is planning. (In addition, Florida Power and Light is in the midst of permitting for right-of-way access to extend additional high voltage power lines through heavily populated areas, changes to earlier agreements with the National Park Service to gain right-of-way access along the boundary of Everglades National Park, and alterations to county zoning codes to allow rock mining in areas where it has been prohibited.)

Mr. Bishop says, "It is tempting to play "kick the can down the road" during these challenging times." Funny. "Kicking the can down the road" described to a "T" what Associated Industries does in service of a business agenda that drove Florida's economy onto the rocks.

Along with its allies the Chamber of Commerce and Farm Bureau, Associated Industries stands for the growth-at-any-cost policies that made a temple of suburban sprawl: a mess of degraded aquifers, illegal exploitation through rock mining, the proliferation of platted subdivisions and highways and ruined wetland ecosystems. Under Bishop's tenure, it pulled out all the stops to keep the citizen's initative, Florida Hometown Democracy, off the 2008 statewide ballot and has committed to spend "whatever it takes" to defeat the measure that would take away the power of local elected officials to change comprehensive master plans and put it in the hands of voters.

Citizens could scarcely do a worse job that Associated Industries has, in protecting Florida's economy.

Sad to say, it is taking the worst economic meltdown since the Depression to finally draw attention to the failed policies and politics of Florida's red state elite. The members of Associated Industries should ask for alternative points of view instead of allowing Mr. Bishop to act as though the pixie dust he's spreading still works.

For instance, nuclear power should be a last resort after every measure for conservation, widely distributed power generation, and a new system of compensating utilities are embraced, enacted, and funded by the legislature. As it is, despite showcase projects and slight nods to alternative energy, there is an enormous amount that is not being done, promoted or accomplished.

Mr. Bishop's shallow thinking is not just bad for business, it is bad for Florida.



http://www.tampabay.com/opinion/columns/article983768.ece#comments
(The online version has the title in the subject line, diff from the "print
option" title below.)

Repeal pay-as-you-go for nuclear power

By Barney Bishop, Special to the Times

Published Friday, March 13, 2009
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Americans in many states depend entirely on high-carbon fuels to produce
their electricity. If the federal government imposes a price on carbon
dioxide to combat global warming, utility customers in those states will
face significant increases in their electricity bills. In Florida, the cost
should be more manageable. Twenty percent of our electricity comes from
emissions-free nuclear power, and that figure is poised to increase if the
Legislature maintains its commitment to nuclear power.

In a carbon-constrained world, emissions-free sources of electricity are
vital to Florida's economic future. Florida has no hydroelectric resources
to speak of, our investment in solar power is just beginning, and wind has
yet to win approval at the local level despite its many benefits. That
leaves nuclear power as the best option for generating massive amounts of
low-carbon electricity.

The Florida Legislature enacted a wise policy to encourage additional
nuclear energy in Florida. The legislation allowed utilities to recover from
customers some of the front-end costs of building a nuclear plant as they
are incurred, rather than waiting 10 years until the plant is in service. By
avoiding huge financing charges that would be assumed if they had to borrow
money in the credit market, utilities will not have to pass those costs on
to customers. It's the difference between paying $50 cash for dinner now or
putting it on your credit card and paying $10 a month for a year, which
would more than double the cost.

That's why I'm opposed to efforts in the Legislature to repeal pay-as-you-go
rules for nuclear power. If utilities are not allowed to recover some of
their costs now and instead have to borrow more money at exorbitant rates,
they will lose their incentive to build the nuclear units the state needs to
ensure a prosperous future.

It is tempting to play "kick the can down the road" during these challenging
times. However, if Florida's utilities cancel their plans for new nuclear
units because of short-term legislative policies, lawmakers will have to
explain why constituents are facing higher electric bills and Florida is
losing thousands of jobs and millions of dollars in tax revenue.

Given the increasing need to react to the governor's call for cleaner, more
sustainable sources of energy coupled with the need to meet a growing demand
for power across the state, it is necessary to ask utility customers to pay
a modest increase on their monthly electric bills now to ensure that new
nuclear plants can be built. There is never a good time to raise rates on
customers. Yet in doing so now, these customers will save $2 billion a year
in fuel costs. The alternative is to leave Florida increasingly dependent on
fossil fuels such as natural gas.

The choice we would all prefer — paying nothing — is simply not an option.
Electricity is not free, and the state must make responsible choices to
ensure a secure energy future. The Legislature only meets for 60 days.
Considering the serious issues facing the state in this time of economic
crisis, repealing a good bill hardly seems like the right priority.

Floridians already enjoy tremendous economic benefits from our existing
nuclear facilities. Unlike so many other Americans, we do not have to start
from scratch. We are investing in more electrical generating facilities that
are clean and safe, use a fuel that is stable in price and in supply, and
that do not send billions of dollars to unfriendly countries.

Now is the time to put our foot on the accelerator, not slam on the brake.

*Barney Bishop is president and chief executive officer of Associated
Industries of Florida.*