PJM Auction Highlights How Competitive Electricity Markets Spur Innovation, Efficiency and Consumer Benefits

HARRISBURG, Pa. (May 24) — Citizens Against Nuclear Bailouts — a diverse coalition of Pennsylvania citizens’ groups, power generators, and energy, business and manufacturing associations — released the following statement today in response to the results of PJM Interconnection capacity auction:

“The PJM Interconnection capacity auction underscores that Pennsylvania’s competitive electricity markets are strong and continue to deliver the most efficient and lowest-cost power generating resources to consumers.

“Uneconomical power plants are retiring because competitive markets continue to spur advances in innovative and efficient resources that is driving private investment while reducing consumer costs.

“Our coalition values all sources of energy, so long as power generation industries compete by the same rules, without government mandates or subsidies. No matter the approach, any policy change to subsidize nuclear power generation would essentially re-regulate Pennsylvania’s electricity markets, which would result in increased costs for consumers and the stifling of new investment and job creation by new power generation resources.

“After the nuclear industry secured billions of dollars in subsidies from New York and Illinois, while seeking even more from other states, Pennsylvania has the opportunity to stand up in support of consumers and competitive energy markets.”

Background Information

According to a report from the Energy Information Administration, there are 28 natural gas power plants under construction or being permitted in Pennsylvania. The 10 largest plants are projected to generate 9,250 megawatts of electricity, $7.6 billion in private investments and nearly 4,800 jobs.

Nuclear power generators continue to pressure legislators to upend competitive markets with asks for direct subsidies, emissions credits or adding a requirement to the Alternative Energy Portfolio Standards that a specified percentage of power generation must come from nuclear energy. It is anticipated that a bailout for the nuclear industry could become a part of budget discussions.

Recently, Exelon’s CEO stated on an earnings call that the company would be pushing for subsidies in Pennsylvania in the near future similar to recent bailouts in Illinois, New York and New Jersey.

More information on the bailout and its economic costs is available at: http://nonukebailoutpa.com/.  Additional information can be found on: Twitter: @NoNukeBailout and on Facebook: @NoNukeBailout.

 

Video soundbites can be downloaded and used for media coverage. See the link below to download broadcast quality video.

CANB Soundbites (5/24/18)