• Electric Service
• Capital Credits
• Co-op Connections
• Operation Round Up
• Scholarships
• Youth Tour
• Member Classifieds
• Calendar/Events
• Texas Co-op Power
• Energy Tips
• 20% Off Energy Saving Products

Time’s Running Out

Electric cooperatives have important energy choices to make. We can’t stall or wait for a single solution to the looming electricity generation shortage. Tighter government regulations—and the high cost to comply with new rules—may signal lights-out for many of the nation’s older coal-fired power plants at a time when forecasters predict that energy demand will eventually outpace supply. We’re approaching crunch time on our ability to keep the lights on: We need to build new power plants.

The recent economic turmoil, terrible as it was, provided some much needed breathing room on addressing our growing energy needs. But as the economy rebounds, so will our nation’s hunger for electricity. The U.S. Energy Information Administration (EIA) predicts that when final 2010 numbers are tallied, energy use will have shot up 5 percent from 2009 levels.

We’ve encouraged you to be energy efficient both for your sake (lower electric bills) and to help mitigate the need to build new generation. You’ve done your part; between 1980 and 2006, average energy use of each American dropped 2.5 percent. But with an ever-growing population, these measures are not enough to completely offset escalating energy demand.

The North American Electric Reliability Corporation (NERC), the nation’s bulk power-grid watchdog, estimates the United States needs to build 135,000 megawatts (MW) of new generation by 2017 to meet expected demand. Generation facilities on the drawing board, though, will only deliver 77,000 MW—leaving a generation gap.

Compounding this issue, some of our current power plants may soon be shut down by federal regulations. One NERC-commissioned report claims new government rules could force utilities to retire or retrofit 33,000 MW to 70,000 MW of generating capacity by 2015. Meanwhile, every year that we delay building new plants drives up construction costs. If we wait too long, we could see power shortages by the end of the decade.

Traditional power plants (coal, natural gas and nuclear) take between three years and a decade to build, not leaving much wiggle room before shortages become a reality. Renewable-energy resources, notably wind farms, can be constructed more quickly, but they’re not perfect options. It may sound cliché to say the wind doesn’t always blow, but it’s the truth, and you wouldn’t be satisfied with only having power 40 percent of the time.

South Plains Electric Cooperative is focused on affordability.
Our nation needs to build new power plants before the need for electricity outstrips current generation resources. Although the Cooperative doesn’t build and operate power plants as a distribution cooperative, we focus on delivering power to you. We’re working with wholesale power suppliers like Golden Spread Electric Cooperative and Brazos Electric Power Cooperative, our generation and transmission providers, to find the best fuel-mix solution for your future. We appreciate your support as we make these crucial and time-sensitive choices. Balancing your energy needs with electricity reliability and affordability is one more way we’re looking out for you.