April 3, 2025 10:51 am
Palmetto-Electric Cooperative is the electricity supplier for the low country of South Carolina. They sent out a request (copied below) for customers to contact our Senators. Here is my full letter to Senator Tom Davis.
April 1, 2025 (updated April 3)
Dear Senator Davis,
Thank you for answering my question regarding electricity generation regulations to be debated this week, below in bold font and italicized is the opening comments I found online. These show the importance of affordable, reliable electricity to our great state.
Executive Summary:
The South Carolina Public Service Authority aka Santee-Cooper has an 80+ year record of providing the most affordable, reliable electricity for our region. The current plans to shut down coal plants and replace their generation capacity with solar, wind, battery storage and natural gas turbines will cause extreme electricity generation cost escalation and possible rationing of electricity. If these plans to abandon coal fueled electricity are continued it will impact all consumers and including industry within our state. Coal generated electricity is reliable, affordable and can store months of energy onsite. Abandoning coal power will put S.C. on a path to similar electricity rates as California, Massachussets, Connecticut, New Hampshire and Hawaii. I urge you and the Legislature to maintain, improve and expand coal electricity generation within our state. Perhaps you will wish to join the other 22 states that are taking action to return to reliable coal power generation. (10) I have written on this topic before, here, here and here.
My suggestions to keep electricity affordable and reliable, with ample references will follow the Legislative action quote below:
“Whereas, South Carolina is achieving remarkable economic development success which is bringing jobs and prosperity to its citizens; and
Whereas, from January to December 2023, the state announced total capital investments of 9.22 billion dollars and over 14,000 jobs, the second largest amount in state history; and
Whereas, in 2022, the State announced 120 projects creating over 14,000 new jobs with 10.27 billion dollars in new capital investment, the largest amount in state history; and
Whereas, since 2017, the State has announced over 36.4 billion dollars in new investments and 86,378 new jobs; and
Whereas, according to the U.S. Census Bureau, South Carolina led the nation in population growth in 2023; and
Whereas, the rapidly expanding population and record-breaking economic development successes necessitate a strategic and forward-thinking approach to developing new energy infrastructure capable of meeting the energy needs of South Carolina’s residents and supporting the continued prosperity of the state; and
Whereas, sustaining this success in economic development requires an electric system that can grow and modernize to meet the demands that a prosperous and developing economy places on it; and
Whereas, the South Carolina General Assembly recognizes that the convergence of escalating population growth, record-breaking economic success, and the aging of existing energy infrastructure has created a critical juncture, demanding immediate and decisive action to avert an impending energy crisis; and
Whereas, the urgency of addressing this situation is underscored by the interconnected challenges of meeting surging energy demand, ensuring grid reliability, and fortifying the state’s resilience against potential disruptions, thereby compelling the imperative for the timely construction of new energy plants to safeguard the continued well-being and economic vitality of South Carolina; and
Whereas, in light of these facts, it is important that the General Assembly take action to ensure that generation and transmission providers are able to plan, site, and construct new and replacement generation and transmission resources in a timely and cost-effective manner, utilizing procedures that are fair, prompt, efficient, and guided by an informed Public Service Commission; and
Whereas, the General Assembly has determined that certain aspects of the current regulatory structure in South Carolina can be revised to reduce the cost, delay, and uncertainty of planning, siting, and constructing new generation and transmission resources serving customers in this State; and
Whereas, the General Assembly further finds that the current circumstances present a unique opportunity to replace or limit reliance on the Williams Generating Station operated by Dominion Energy South Carolina, Inc. (DESC) in Bushy Park, South Carolina; and the Winyah Generating Station operated South Carolina Public Service Authority (SCPSA) in Georgetown, South Carolina, and perhaps other units as well, through a joint venture between these utilities; and
Whereas, DESC owns the site of the retired Canadys coal units in Colleton County (the Canadys site) which represent an environmentally well-characterized brownfield site with unique attributes, including electric transmission infrastructure on-site, proximity to a major switching station interconnecting the DESC and SCPSA transmission systems serving coastal South Carolina, and reasonable proximity to natural gas supplies which can be accessed through existing natural gas rights of way; and
Whereas, the integrated resource planning by both utilities consistently indicates the need for and benefit of additional combined-cycle natural gas resources under multiple planning scenarios; and
Whereas, by pursuing replacement resources as a joint project or projects, DESC and SCPSA could potentially achieve economies of scale to benefit ratepayers; and
Whereas, the joint project can provide a unique opportunity to anchor the expansion of natural gas pipelines serving certain coastal counties of South Carolina where economic development is currently hampered by the lack of such supplies, thereby increasing jobs, prosperity and public welfare in those areas; and
Whereas, in light of the unique circumstances presented by the shared needs of DESC and SCPSA for replacement generation in the Charleston and Georgetown areas, the unique benefits of a partnership between them for this purpose, and the unique benefits of the Canadys site as the location for a joint resource, the General Assembly finds that these circumstances support amending the enabling act of the SCPSA to authorize it in a joint venture to develop and share in the output of one or more combined cycle natural gas units to be located at the Canadys site and encourages the utility to seek, as soon as practicable, a certificate as defined under the terms of the Utility Facility Siting and Environmental Protection Act for DESC to construct and operate combined cycle natural gas units to be located at the Canadys site; ……”
Electric Power Grids that have a high percentage of wind and solar must be backed up with fast start natural gas turbines or reciprocating Internal Combustion Engines (RICE). Because the cost component of the fuel used is up to 90% of the electricity production cost, then the electricity cost is as volatile as the fuel cost. Natural gas is a clean and abundant fuel. However, the cost of natural gas can vary from $2.00 per million BTU to $5.00 per million BTU. When the fuel cost varies, so does the electricity production cost. Sometimes doubling. The state electric rates of California, MA, CT and Hawaii are examples of extreme switches to renewables with natural gas or oil backup. Here are two slides used in presentations by me and other electricity generation experts during 2024. The ten highest cost states and ten lowest cost states are instructive when the sources of primary energy for electricity generation is considered. My blog referenced below has more references.
Repeal the S.C. Restrictions on Greenhouse Gases. The EPA Law referenced in the Santee-Cooper IRP and also applying to Dominion Energy and Duke, is flawed and in the process of properly being nullified by the new EPA Administrator. The shutting down of coal plants is the main reason why electric rates will increase, and Demand Response (Rationing) measures will need to be implemented. (1. Below-From Santee-Cooper IRP)
Maintain, Improve and Expand coal power generation in S.C. The lowest production cost electricity in S.C. is from the coal plants at the following plants: Cross, Cope, Williams and Wateree Generating Stations. The 600 MW Pee Dee Coal Plant that was planned to be built about 2010 should be constructed ASAP. The existing coal plants should be authorized to perform all required maintenance to keep in first class operating condition until such time that new nuclear capacity is put on line.
Build sufficient new coal generating capacity at the Santee-Cooper (South Carolina Public Service Authority) with the same Balanced Generation Portfolio of coal, nuclear and gas as has been the practice for over 80 years of reliable and affordable electricity production by Santee-Cooper. Santee-Cooper is the primary supplier of electricity to Palmetto Electric and the generation assets are over 80% coal fueled.
Stop the building of more non-Dispatchable solar and wind power generation systems. Stop subsidies and incentives for Solar, Wind and Battery Storage Systems (BESS). Why? Because shutting down of reliable, dispatchable, affordable coal plants has been done by these other states and the electricity costs are the highest in our country. California, Massachusetts, Hawaii, Connecticut and Rhode Island. (2. EIA list of U.S. Electric Rates by state)Also, the high cost, non-competitive electricity experiences of Germany, Scandinavia and the UK are instructive. (3.)
I have written an article on my blog which outlines the good results of coal plants (such as Santee-Cooper’s excellent record of 80 years) and the references to other states and countries that have abandoned coal fuel. The blog post is here: https://dickstormprobizblog.org/2025/03/28/coal-power-it-is-the-end-result-that-counts/
Solar, Wind and Battery Electric Storage Systems are the most expensive sources of electricity generation and this has been documented by many well respected technically trained authors. (4.) Below are two charts prepared by Mr. Dave Walsh, and energy expert friend of mine, on the cost of electricity by other states and countries that have adopted green energy policies of wind, solar and BESS systems. The highest and lowest cost power is instructive.
Thank you for your service and thank you for reading these comments. Of course, if you would like further information, I am pleased to assist to the best of my ability to help.
Respectfully submitted,
Richard F. (Dick) Storm, PE
References for support of my conclusions:
EIA Wholesale Electricity Rates, 2024: https://www.eia.gov/todayinenergy/detail.php?id=64284
Electric Choice.com March 2025, Electric Rates in U.S.: https://www.electricchoice.com/electricity-prices-by-state/
3. Coal Power, It is the End Result that Matters!: https://dickstormprobizblog.org/2025/03/28/coal-power-it-is-the-end-result-that-counts/
4. Volatility of natural gas prices: Natural Gas Consumption 2024 by EIA, March 31, 2025: https://www.eia.gov/todayinenergy/detail.php?id=64845&utm_medium=email
5. Natural Gas Prices tabulation 2019-2024 by EIA : https://www.eia.gov/naturalgas/monthly/pdf/table_03.pdf
6. On the high cost of wind, solar and Battery Electricity Storage Systems: Frazer Institute, “Hot Air, Cold Truths, Bjorn Lomberg, March 2025: https://www.fraserinstitute.org/hot-air-and-cold-truths-bjorn-lomborg
7. Delaware County Insider, Wind and Solar are Expensive, Bjorn Lomberg, May 24, 2024: https://delawarevalleyjournal.com/lomborg-the-true-cost-of-wind-and-solar-energy/
8. Yahoo Finance and National Post, March 2025, Bjorn Lomberg, Wind and Solar are Expensive: https://ca.finance.yahoo.com/news/bjorn-lomborg-solar-wind-power-100008520.html
9. Life Powered article on the Unreliability of Wind & Solar in Texas, March 29, 2025: https://lifepowered.org/reliability-standards-to-reduce-the-cost-of-wind-and-solar-volatility-in-texas/
10. Alabama Attorney General is amongst 22 states in appeal to return to coal for power generation revival of the Grid: https://gulfcoastmedia.com/stories/alabama-attorney-general-calls-for-reviving-americas-energy-grid-with-coal,257548?fbclid=IwZXh0bgNhZW0CMTEAAR0XeLob6rYc5WaBBtSyuB7vHctTdzVhTJxJZ96bExtALJBFoqUPAJPKaY0_aem_8TNpNEKQSIdjNrJTJeBF8Q#//
11. Wake up America, Your Electricity Generation is at Risk and Electric Bills are Going to Get Higher: https://dickstormprobizblog.org/2023/09/20/please-wake-up-america-your-energy-and-electricity-generation-reliability-are-at-risk/
12. Facing the Hard Truths of Energy, Part 1, 79 Quadrillion BTUs, The Enormity of the Fossil Energy Systems Providing Sustainable Lives, Jan. 11, 2024 : https://dickstormprobizblog.org/2024/01/11/facing-the-hard-truths-of-energy-part-1-79-quadrillion-btusthe-enormity-of-the-fossil-energy-systems-providing-sustainable-lives/
13. Update on Hawaii’s “Green New Deal” March 2024: https://dickstormprobizblog.org/2024/03/20/hawaii-a-glimpse-into-the-future-of-the-green-new-deal-aka-inflation-reduction-act-here-is-an-update/
14. The Rise and Fall of Nations from the perspective of nuclear power systems manufacturing: https://dickstormprobizblog.org/2023/08/15/the-rise-fall-and-rise-again-of-nations-and-the-realities-of-energy/
15. Thomas J. Shepstone posting on Substack of, “Energy Matters If You Value the Life You Now Have and Don’t Want to Live Under Socialism
March 11, 2024: https://open.substack.com/pub/energysecurityfreedom/p/energy-matters-if-you-value-the-life?r=kv1a9&utm_campaign=post&utm_medium=email
16. Threats to the Electric Grid, March 15, 2024: https://dickstormprobizblog.org/2024/03/15/threats-to-the-grid-electricity-reliability/
17. Tom Shepstone post on Substack of Dick Storm letter to Senator Tom Davis: https://energysecurityfreedom.substack.com/p/a-balanced-energy-portfolio-is-critical/comments
18. Dick Storm LI Post on SC Energy policies and failed coal and nuclear plant plans: https://www.linkedin.com/feed/update/urn:li:activity:7184184178920312833?utm_source=share&utm_medium=member_desktop
19. Saving America: Issues that Matter, April 28, 2024: https://dickstormprobizblog.org/2024/04/29/saving-america-from-destructive-policies-the-real-issues-that-matter-part-1/
20. How Can a 6,000 MW Utility in 2030 Become a 9,000 MW Utility in 2050 and Still Meet Net Zero Carbon? Update of last year’s article, May 2, 2024: https://dickstormprobizblog.org/2024/05/02/how-can-a-6000-mw-regional-utility-in-2030-which-likely-will-be-a-9000-mw-utility-in-2050-achieve-net-zero-carbon-an-update-on-my-electricity-provider-in-south-carolina/
21. Coal’s Final Battle, May 18, 2024: https://dickstormprobizblog.org/2024/05/20/coals-final-battle/
22. Tom Shepstone’s Substack repost of Dick Storm commentary, May 20, 2024: https://open.substack.com/pub/energysecurityfreedom/p/why-we-the-american-people-must-win?r=kv1a9&utm_campaign=post&utm_medium=web
23. Visualizing 100 Quadrillion BTUs. Shouldn’t Coal Remain in our Energy Mix?” : https://dickstormprobizblog.org/2024/07/02/visualizing-100-quadrillion-btus-of-primary-energy-coal-should-remain-in-our-energy-mix/
24. We the People vs. The Ten Headed Swamp Monster https://dickstormprobizblog.org/2024/07/10/we-the-people-vs-net-zero-indoctrination-by-the-ten-headed-swamp-monster/
25. The Magnificent and Indispensable Heat Engines Society Depends on: https://dickstormprobizblog.org/2024/07/30/the-magnificent-and-indispensable-heat-engine-on-which-civil-society-depends-part-1-heat-engines-1-3-million-horsepower/
26. The Magnificent and Indispensable Heat Engine, Part II, Focus on Ocean Shipping: https://dickstormprobizblog.org/2024/08/07/the-magnificent-and-indispensable-heat-engine-on-which-civil-society-depends-part-ii-focus-on-fossil-fuels-for-ocean-shipping/
27. The Magnificent and Indispensable Heat Engine, Part III, August 13, 2024: https://dickstormprobizblog.org/2024/08/13/the-magnificent-and-indispensable-heat-engine-on-which-civil-society-depends-part-iii-internal-combustion-engines-up-to-110000-horsepower/
28. The Coming Electricity Reliability Crisis and the Importance of Coal, Sept. 12, 2024: https://dickstormprobizblog.org/2024/09/12/the-electricity-reliability-crisis-and-the-importance-of-american-coal/
29. The Kingdom of Heaven Runs on Righteousness, The Kingdom of Earth Runs on Energy, Oct. 3, 2024: https://dickstormprobizblog.org/2024/10/03/heaven-runs-on-righteousness-earth-runs-on-energy/
30. Charley Reese’s Last Column, “545 vs. 300,000,000 : https://dickstormprobizblog.org/2024/11/27/charley-reeses-last-column-a-classic-commentary-written-over-twenty-years-ago/
31. Why is Western Civilization Self Sabotaging the Primary Energy that Provides 80% of the fuel for America’s Life-Blood of Reliable Electricity, with the War on Carbon?. : https://dickstormprobizblog.org/2024/12/17/why-is-western-civilization-self-sabotaging-the-primary-energy-sources-that-provide-80-of-the-fuel-for-americas-life-blood-of-reliable-electricity-with-the-war-on-carbon/
32. Musings on the Self-Sabotaging Energy Policies and a Reminder of the History of the Rise and Fall of Nations: https://dickstormprobizblog.org/2025/01/13/musings-on-self-sabotaging-energy-policies-and-a-reminder-of-the-history-of-the-rise-and-fall-of-nations/
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