This is What the Fight for Fair Rail Rates is All About

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Marshall, Minn. Municipal Utility earns RP3 designation

Marshall Municipal Utilities (MMU) was one of 94 public power utilities that received American Public Power Association’s Reliable Public Power Provider (RP3) designation April 16 at the Engineering and Operations Technical Conference in Cleveland, Ohio.  The RP3 designation recognizes utilities that provide customers with the highest degree of reliable and safe electric service.

“The RP3 designation represents a high level of service to the community,” said Heartland General Manager Mike McDowell.  “Marshall Municipal Utilities stands out as a model for safe and reliable utility operations.”

Heartland provides supplemental power to MMU, which has been providing electric and water utility services to the city of Marshall, Minn. for over 117 years. Located in southwest Minnesota, approximately 30 miles east of the South Dakota border, Marshall has a population of approximately 13,680. MMU is the state’s 2nd largest municipal utility in terms of retail energy sales, serving over 6,500 customers with a peak demand of just over 90 megawatts.

Launched in 2005, the RP3 Program requires demonstration of proficiency in four key disciplines: reliability, safety, work force development and system improvement. Criteria within each category are based on sound business practices and represent a utility-wide commitment to safe and reliable delivery of electricity. The designation is given in three levels: Diamond, Platinum and Gold. MMU earned Platinum Level RP3, which is awarded if a utility meets 90% of the criteria.

The 94 utilities who earned the RP3 award this year join 82 utilities who earned the designation in 2011. The designation lasts for two years.

Congratulations Marshall Municipal Utilities!

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The Predictable Result of the War on Domestic Use of Coal

The following information is the inevitable combined result of the Administration’s war on domestic coal use and the “Beyond Coal” campaign of the Sierra Club and most other U.S. environmental organizations. Rather than killing the domestic coal industry, they have successfully launched it on a journey overseas where U.S. coal will be used in places with very limited air quality regulations, unlike our comprehensive clean air regulatory structure.

Energy Department Data Show Surge In Coal Exports. (From an AP story 4-11-2011) “An analysis of Energy Department data reveals that coal exports have reached record levels, partly attributable to rapid development in Asia and India, but domestic coal use continues to decline. In 2011, for example, coal exports “topped 107 million tons of fuel worth almost $16 billion,” marking the highest level since 1991 and more than doubling the export volume in 2006. Agency data show that exports “also were up to Brazil, China and several European nations seeking high-quality coal for steelmaking.” Luke Popovich with the National Mining Association said of coal, “While its use is relatively declining here, it is absolutely soaring in most other places.”

The results of the Obama Administration/Green Left war on domestic coal  speak for themselves. These folks have shot their planet in the foot.

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Another Point of View of Our Energy Future

As promised in my blog on Amory Lovins’ vision of our energy future, here is the contra view of another noted national energy expert. As with Mr. Lovins, I have been in meetings with Robert Bryce. Mr. Bryce believes that Mr. Lovins and the Green Left are living in a dream world that would, if implemented, cripple economic growth in the United States as well as prevent the growth of an emerging middle class in countries such as China and India.

Mr, Bryce says the Green Left has a dream, a dream increasingly shared, according to opinion surveys, by a majority of Americans. It is that the use of 20th century fuels like oil and coal, will finally end and that the time will soon come for, as Al Gore says,”21st-century technologies that use fuel that is free forever: the sun, the wind and the natural heat of the earth.”

It might be better, and much more realistic, says Robert Bryce in his bestselling book Power Hungry, to imagine our journey toward a “green” energy nirvana in units of Saudi Arabia. “Over the past few years,” he writes, “we have repeatedly been told that we should quit” using fossil fuels. Okay, Fine, he says. Bryce says, “Global daily hydrocarbon use is about 200 million barrels of oil equivalent, or about 23.5 Saudi Arabias per day. Thus, if the world’s policy makers really want to quit using carbon-based fuels, then we will need to find the energy equivalent of 23.5 Saudi Arabias every day, and all of that energy must be carbon free.”

Power Hungry is a bluntly worded exploration of what Bryce calls a profoundly delusional quest, from near hysteria at the mention of nuclear power to the illusion that we are rapidly running out of oil or that we can turn to renewables for salvation: Since it takes 10,000 tons of wood to produce one megawatt of electricity, for instance, the U.S. would be chopping down forests faster than it can grow them to use bio fuels.

Mr. Bryce also points to the critical link between affordable power and economic productivity and asks why we should expect much of the world to forgo the benefits of light bulbs and regular energy when we Americans have enjoyed these privileges for decades. But if Power Hungry sounds like a supercharged polemic, its shocks are delivered with interesting and powerful backup documentation.

So let’s build a wind farm. OK, Bryce says, to start you’ll need 45 times the land mass of a nuclear power station to produce a comparable amount of power; and because you are in the middle of nowhere you’ll also need hundreds of miles of high-voltage lines to get the energy to your customers. This “energy sprawl” of giant turbines and pylons will require far greater amounts of concrete and steel than conventional power plants— anywhere from 870 to 956 cubic feet of concrete per MW of electricity and 460 tons of steel  – 32 times more concrete and 139 times as much steel as a gas-fired plant.

The same criticisms apply to large solar PV farms spreading across the desert landscapes of the American Southwest.

Once we’ve covered our tract of rural landscape with turbines and gotten over any guilt about the significant numbers of birds that will likely be killed, prepare to be underpowered. Look at Texas, he says, home to Mr. Bryce. He says: It ranks sixth in the world in total wind-power production capacity, and it has been hailed as a model for renewable energy and green jobs by both Republicans and Democrats. And yet, according to the Electric Reliability Council of Texas, which operates the state’s transmission grid, just “8.7 percent of the installed wind capability can be counted on as dependable capacity during the peak demand period.” The wind may blow in Texas, but, sadly for consumers and grid operators, it doesn’t blow much when it is most needed—in summer. The net result is that just 1% of the state’s reliable energy needs comes from wind.

If using a huge amount of land to generate a tiny amount of energy from an intermittent energy source sounds crazy, consider, too, that we haven’t yet found any feasible, affordable technology for storing wind and solar-generated energy. Wind and solar power are either instant energy snacks or energy starvation. They must be used when available or immediately replaced when they aren’t.

But for those managing the electric grid, they must meet constant demand or face blackouts, which means that conventional power plants will be required to back up the wind (and solar) farms. This strategy, he says, is precisely the one that China is pursuing, adding in one province alone the coal-fired equivalent of Hungary. These plants, Mr. Bryce notes, are designed to run continuously and will in all likelihood “be run continuously in order to assure that the regional power grid doesn’t go dark.” The irony of wind – (and solar power) - is that it “doesn’t displace power plants, it only adds to them.”

What is arguably worse, says Bruce, is that the current drive to impose mandatory use of renewables and eliminate use of fossil fuels are bad ideas that are nearly immune to dispassionate examination and criticism. Although there is increasing local opposition to proposals for sprawling wind and solar farms, both political parties seem stuck on the green mythology that fossil fuels that provide affordable and reliable energy can easily be replaced by renewables with similar results

Power Hungry is a bluntly worded and well documented effort to call this kind of revolution to account, literally, by asking us to look at the math and to face the numbers. It is unsentimental, unsparing and impassioned. It is the very antithesis of the energy views of Amory Lovins and the Green Left.

An energy future somewhere between Lovins and Bryce is likely to emerge. Fossil fuels are not going away anytime soon, nor should they if economic growth is to continue here and elsewhere. The effort to produce affordable and reliable energy from renewable resources is not going away anytime soon, nor should it, as energy consumers should have these choices to make in a market driven economy.

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Photo Diary: 2012 SD GOED Conference

Heartland proved we’re “In It to Win It” at the 2012 South Dakota Governor’s Office of Economic Development Conference in Sioux Falls, April 10-11.  We are an annual sponsor of the reception prior to the South Dakota Banquet, at which Governor Daugaard highlights the state’s most recent economic development successes and presents Giant Vision, Community of the Year and Excellence in Economic Development awards.  As part of our sponsorship, a movie highlighting our customers’ success stories from the past year played on a large screen during the reception and beverages were served to guests in special cups celebrating our LEED Platinum headquarters.  Heartland staff also helped distribute custom koozies with a special Heartland “In It to Win It” logo.

Joe Fiala, former executive director for the On Hand Development Corporation in Miller, SD visits with Ann Hyland, communications manager at Heartland.

Heartland Manager of Community & Economic Development Russell Olson, left, visits with SD Development Corporation Chairman Bill Earley, right.

Kathy Callies, left, interim executive director of the Rural Learning Center, visits with Hyland before the South Dakota Banquet.

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Public power utilities urged to fill out survey on demand response, metering

American Public Power Association (APPA) issued the following notice in today’s issue of Public Power Daily:

The Federal Energy Regulatory Commission has initiated a survey of demand response programs and advanced metering capabilities at more than 3,400 electric utilities nationwide. All public power utilities should have already received an email message from FERC with a link to the online survey. While the survey is voluntary, APPA strongly urges public power utilities to complete it. Given the strong national focus on these issues, it is important to show policymakers that public power utilities are actively pursuing demand-response solutions.

FERC uses the information from the survey to prepare a report on demand response and advanced metering, as required by Congress in the Energy Policy Act of 2005. The results of the survey will be made public.

The survey is available for download from the commission’s website. Responses are due by May 23.

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Heartland Annual Meeting: Managing the 2011 Missouri River Flood at Gavins Point Dam

During the spring and summer of 2011, record heavy May rains across Montana, Wyoming, and the western Dakotas, coupled with far above-normal mountain snowpack, pushed reservoirs to a level that called for aggressive water releases from Missouri River main stem dams by the U.S. Army Corps of Engineers. The Corps manages the 2,341 mile-long Missouri River, which flows from Montana through North Dakota, South Dakota, Nebraska, Kansas, Iowa and Missouri to its confluence with the Mississippi River. The increased water releases resulted in a devastating flood for most of the downstream states, considered by many as a 500-year event. David Becker, operations project manager at Gavins Point Dam in Yankton, SD, detailed the flood-related challenges the Corps faced at Gavins Point and how they handled them at Heartland’s first Annual Meeting March 23.

David Becker

At 74 feet high, Gavins Point is the smallest and southern-most of the six Missouri River main stem dams. Situated near 25-mile Lewis & Clark Lake, Gavins Point’s embankment is 1.6 miles long, including spillway. It is a re-regulation dam, meaning it evens the river’s flow for downstream purposes such as navigation, water supply and recreation.

Gavins Point Dam. Courtesy USACE

Courtesy USACE

According to Becker, record runoff was the reason for the Corps’ increased water releases along the river. Runoff is comprised of plains snowpack, mountain snowpack and rainfall. The 2011 runoff was 60.4 million acre feet, the highest in the last 114 years The previous record was 49.0 in 1997.

In order to manage the record runoff, the Corps began making major adjustments to water releases in May 2011, starting with Fort Peck in Montana south to Gavins Point. At the time, Jody Farhat, chief of the Corps’ Missouri River Basin Water Management Division in Omaha, Neb., said, “We are doing everything we can to protect people and their property and reduce the extent and impact of flood stages along the Missouri. The situation in the Missouri River basin is changing rapidly and planned releases are subject to change with little notice.”

Courtesy USACE

During the period of increased water releases, Gavins Point ran at a capacity of 160,000 cubic feet per second, equivalent to 4 feet of water on a football field every second. By July 5, one year’s worth of water had already passed through the dam. Becker said the excess water presented several unique management challenges for the Corps. The first he detailed was debris in the reservoir.

Courtesy USACE

“There was an excessive amount of debris floating on the river that had to be removed before it reached the dam,” Becker said. “It took us 25 times the normal effort to remove the debris from the lake so it wouldn’t reach the spillway and power plant. Six hundred trees had to be hauled to shore over the course of six weeks.”

The dam also saw a large increase in public use, which led to another concern: public safety. Visitation at the nearby Lewis & Clark visitor center saw 1,200 people on a busy day, versus the average 600.

“Gavins Point saw 10 times the normal public use last summer,” he said. “Traffic was bumper to bumper.”

As the crowds swelled, the Corps had to erect a secondary fence along the fishing wall below the dam to keep people at a safe distance. Because the river was 15 feet higher, the Corps also closed several facilities and limited recreation on the river below the dam as a safety precaution.

Courtesy USACE.

High public use also required attention to the Corps’ public relations. Becker said many untruths began circulating, including rumors about a crack in the dam structure or the dam failing. The Corps worked very hard to manage the rumors, creating a public affairs Facebook page and providing updates at community meetings.

Now that the water levels have returned to normal, repair and recovery can begin. Becker said Gavins Point didn’t see any catastrophic damage but did have severe wear and tear. Inspections and improvements of the dam will be handled over the next two years.

“Mother Nature gave us 2.5 times the amount of water [than normal] and it was definitely a historic event,” said Becker. “Life along the river was very difficult for some people.”

An employee of the Corps for 34 years, Becker works at four reservoirs in Iowa and South Dakota. Click here for more information about Gavins Point Project. Below, watch the Corps’ video of the 2011 Missouri River flood.

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