Big Coal Push From Gov. Goodhair, TXU Running Into Surprise Turbulence

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Just last fall, it appeared the Texas coal rush was rolling ahead like an unstoppable locomotive. Skyrocketing natural gas prices were pushing electricity prices up, and electric demand was growing. Coal, relatively cheap and relatively dirty, seemed the reasonable alternative.

Gov. Rick Perry last fall ordered regulators to expedite coal plant applications, and environmentalists feared the plants would be rushed through and rubber-stamped. Companies such as TXU subsequently lined up earlier this year to file a batch of new applications, resulting in 17 proposed coal units, including 10 in Central Texas.

But this summer, the coal train has hit some rough rails. Mayors from Dallas, Fort Worth, Houston, Plano, Arlington and smaller cities such as Hillsboro have banded together to fight the permits, arguing that they would exacerbate urban smog problems. Waco leaders have not joined that group but are expressing alarm over the sheer number of power plants proposed in Central Texas, including four units in McLennan County. Waco officials intend to raise those concerns at public meetings this week on new TXU plants near Riesel and Hallsburg.

And last month, TXU suffered a stinging setback when judges in a contested case hearing recommended that the TCEQ deny a permit for Oak Grove, a large lignite power plant planned in Robertson County. Now that permit heads to a three-member TCEQ commission that appears divided on the issue of coal-fired power plants.

EDIT

http://www.wacotrib.com/news/content/news/stories/2006/09/10/09102006wacsmog.html