ENERGY

The U.S. Department of Energy (DOE) projects that the country’s electricity demand will rise, by 45 percent by 2030. To meet this projected growth, the nation will need dramatically increased generating capacity from a variety of sources to supply electricity for a thriving economy and sustained high standard of living. Generating energy from a variety of methods avoids dependence on any one source of electricity and limits risks of

volatile price increases and power shortages leading to brownouts and blackouts.

The increase in electrical demand will markedly impact the Western United States. Rocky Mountain Power projects summer electrical power shortages will begin sometime within the next three years, with a deficit of over 1,000 Megawatts (MW) of power by 2010. This deficit will exceed 3,000 MW by 2016, according to Rich Walje, President of Rocky Mountain Power. Smaller energy deficits than these have resulted in rolling black‐outs in California and elsewhere.

Although expansion of existing renewable energy projects, conservation, and external market purchases will help to meet this shortage, additional electrical generation will also be essential.

However, continued heavy dependence on carbon‐based fuels (such as coal and natural gas) for electrical power is problematic, and could also greatly impact Western State ratepayers. State and federal governments are also considering imposing new CO2 emission taxes. Walje warned that, “Federal mandates regarding carbon emissions could hurt Western States ratepayers to a greater extent than other locations.” In addition, proposed coal‐fired power plants are under fire from environmental groups, and lawsuits are likely that will delay or kill projects.

The dire need to produce more electrical power is clashing head‐on with concerns, both in the Western States and nationally, over global warming and greenhouse gases emitted during energy production. Growing concerns over global warming and the push for carbon regulation could pose serious risks for Western States electrical consumers who rely mostly on coal‐fired plants. Carbon‐based taxes would have a dramatic impact on farmers, manufacturers, other industrial
users and citizen rate‐payers.

Given the environmental concerns, utilities in the Western States are having difficulty bringing new coal‐fired plants online. Much uncertainty exists regarding future environmental regulations and controls by EPA, and the possibility of carbon taxes with dramatic cost increases to ratepayers. In addition, significant concerns have recently arisen regarding the safety of underground coal mining.

Furthermore, renewable portfolio standards and other efforts to expand renewable energy development could result in substantial rate increases. Problems created by these increases are compounded by the prospect of rolling brown outs. In fact, Western States’ utilities are concerned about their capability to provide new load to new users.

This impending energy crisis provides a unique opportunity for the Confederated Tribes of the Goshute Reservation to become a key player in the energy marketplace, while still protecting the earth and the environment. Energy development will create increased revenue, jobs, and the ability to improve tribal services (such as the health clinic, fire services, and schooling).