Earlier this week this website issued a precautionary alert about the possibility of another California energy crisis due in part to the unknowns surrounding Assembly Bill 32 - the California Global Warming Solutions Act. AB 32 is a cap and trade scheme which is like Enron on steroids.
Now another domino has fallen in California's complex energy market - the proposed transmission lines planned to transport electrons from green power projects (solar, wind, geothermal) are being scuttled, and with it the green power projects.
SMUD, the Sacramento Utility District, is pulling out of a $1.5 billion transmission line project proposed to deliver electricity from green power plants. Fifteen other smaller utilities can't go forward without an anchor agency such as SMUD. Story here:
In yet another development, T. Boone Pickens has called off a massive wind farm project in Texas due to the cost of the transmission line. Pickens must not be too smart to have bought 687 wind machines before he had the transmission line wrapped up. In real estate development you always build the infrastructure or offsites first then build the onsite facilities. Pickens unwisely did the opposite. Now he's stuck with the machines.
http://news.yahoo.com/s/ap/20090707/ap_on_bi_ge/us_pickens_wind_energy
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