QUICK NEWS, 8-19: PRES STILL BOOSTING NEW ENERGY; 1,500 WIND PLANT JOBS FOR BIG EASY; CONSIDER A BET ON CHINA SUN; XCEL’S $1.3 BIL TO CUT COLO COAL

PRES STILL BOOSTING NEW ENERGY
Obama calls for ‘strategy that starts reducing carbon’
Ben Geman, August 17, 2010 (The Hill)

"President Obama called for curbing greenhouse gas emissions at a Hollywood fundraiser for Democrats…hours after steering clear of climate in an energy-focused address in Wisconsin.

"Obama listed emissions cuts among a list of policies he accused Republicans of obstructing…"

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[President Obama:] “On energy, we’re willing to compromise on a whole host of different issues, but we’ve got to have a strategy that starts reducing carbon because we want those clean-energy jobs built here in the United States, not in China, not in Germany…What did [Republicans] say — 'No, no, we can't'?"

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"Senate Democratic leaders, citing a lack of [frilibuster-neutralizing] votes, have abandoned climate change legislation…

"But renewable energy and conservation advocates have not given up hope of salvaging an energy bill that would boost deployment of “clean” sources through expanded tax credits, a national renewable electricity standard or other measures."


1,500 WIND PLANT JOBS FOR NEW ORLEANS
...[N]ew plant may bring 1,500 jobs to N.O. area
August 17, 2010 (WWL-TV)

"…Blade Dynamics has chosen the Michoud Assembly Facility as the site for its new advanced wind turbine and wind turbine components manufacturing facility [that will bring as many as 1,500 new jobs to the New Orleans metro area]…

"The facility will reportedly provide 600 direct jobs with an average annual salary of $48,000, and 970 new, indirect jobs as well."

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"…Blade Dynamics was attracted to the specialized equipment, full-service facility and $30 million tax incentive that Louisiana could provide…New Orleans Mayor Mitch Landrieu said the new plant will provide an opportunity for the city to look forward and build on its economy…

"Over the past year, the ending of the 3-decade-old Space Shuttle Program at the Michoud Assembly Facility caused hundreds of people to lose their jobs."


CONSIDER A BET ON CHINA SUN
China Exposure Could Lift Solar ETFs
Don Dion, August 17, 2010 (The Street)

"…[A]lternative energy funds have been undeniably unstable over the course of the year…[but] the Claymore/MAC Global Solar Index(TAN) and Market Vectors Solar Energy(KWT) [elucidate the sector]...[T]he solar industry…[is] faring poorly in the market's turbulence. After peaking in early to mid-January…TAN and KWT have both seen a dramatic decline throughout 2010, incurring respective losses of 26.7% and 25.5%.

"However…China's energy-dependence has reached global proportions…[It is now] the world's largest energy consumer, and…[is building] cleaner, more efficient energy sources…In 2009, China consumed 2.252 billion tons of energy (and relevant energy equivalents), surpassing the consumption of the U.S. by a solid 4%…[D]emand was driven by exponential growth in the…industrial and infrastructure sectors…"

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"[China’s] craving for energy is likely to expand…[and] has agreed to plans of emission reduction, especially through the establishment of greener energy alternatives…China plans to devote $738 billion over the next decade to cleaner energy sources…Nearly one-third of nuclear power plants currently under construction are Chinese, and China built more wind turbines last year than any other nation.

"…[China has put] more than $11 billion in capital for renewable developments in the second quarter alone, topping the US. and EU, combined…China's efforts…speak well for ETFs designed to track the global solar energy industry, given their high exposure to Chinese companies. TAN devotes nearly 30% of its portfolio to Chinese solar corporations such as Yingli Green(YGE) Energy and LDK Solar(LDK)."

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"…[TAN and KWT] are extremely similar [but vary by volume]. TAN's top five holdings include First Solar(FSLR), 9.93% of assets; Meyer Burger(MBTN), 5.31%; Trina Solar, 5.22%; Suntech Powerholdings(STP), 4.94%; and MEMC Electronic Materials(WFR), 4.89%…[KWT's portfolio has] First Solar securing 12.76% of the fund, and MEMC, Suntech, and Meyer Burger representing 9.37%, 8.48% and 8.27%, respectively. SMA Solar Tech takes the last 4.80%…[of KWT's] largest holdings…

"…[S]olar ETFs are still a shaky play…[W]ary investors should invest accordingly…[but] the products' inherent exposure to China may prove to be a turning point for their long term performance, as the Chinese nation amps up its green efforts…If strength is in the cards for the solar industry, the more liquid TAN would be the safest choice."


XCEL’S $1.3 BIL TO CUT COLO COAL
Xcel Energy to Spend $1.3B to Reduce Emissions
August 16, 2010 (Environmental Leader)

"Xcel Energy has proposed a plan that will significantly reduce Colorado coal-fired generation emissions by retiring, repowering or retrofitting several of its power plants as called for under the recently enacted state Clean Air Clean Jobs Act. The total costs, if approved by the Colorado Public Utilities Commission (CPUC), will cost $1.3 billion over the next 12 years.

"…[Xcel] expects that its proposal will save approximately $225 million when compared to the traditional approach of retrofitting all of these plants with emissions controls…[The] savings compared to an all-controls approach would be more than $950 million if federal regulation sets a price on carbon dioxide emissions."

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"The proposal calls for the retirement of…coal generation at its Valmont [by 2017]…and Cherokee [by 2022]… power plants…[Cherokee and Arapahoe unit four] would be repowered with natural gas generation…The plan also includes emission control retrofits at the coal-fired Pawnee…and Hayden…plants."

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"Xcel’s plan is in response to a state law passed last spring…[It] would reduce emissions of nitrogen oxides from the targeted plants by 75 percent at the end 2017, and by 89 percent at the end of 2022…sulfur dioxide emissions by 84 percent and mercury emissions by 85 percent…by 2023. The plan also allows Xcel Energy to meet Colorado’s statewide carbon dioxide reduction goal of 20 percent before the 2020 target.

"The proposed plan is expected to increase future electricity bills on average by 1 percent annually over the next ten years, which is less than the company’s original estimate of four to six percent…Xcel is on track to reduce carbon-dioxide emissions 15 percent by 2020 from 2005 levels. The company has reduced its CO2 emissions by more than 11 percent from 2003 levels."