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by WILL FOLKS
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From its inception nearly two decades ago, our media outlet has kept a singular focus when it comes to energy policy: whatever keeps America’s lights on and its motors purring at the lowest possible cost to consumers.
Our approach to power generation is simple… “all of the above, asap,” we like to call it.
Energy is the one industry that powers all of the others, and if it becomes inaccessible and/or unaffordable – our entire system is at risk.
This is why we have steadfastly championed policies which advance the abundance and cost-effectiveness of energy – and why we have consistently opposed market manipulations and subsidies which create scarcity, inefficiency and higher costs. We have also routinely blasted eco-radical regulatory obstructionism – as well as disruptive mandates that take power offline without a plan to replace it.
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Don’t take our word for it, though. A recent artificial intelligence summary of our work over the years concluded FITSNews “advocates for a pro-growth energy policy focused on expanding natural gas infrastructure, streamlining permitting processes, and fostering a ‘market-based’ approach to energy procurement in South Carolina.”
We couldn’t have said it better…
Our outlet has also supported new nuclear generation – and endorsed offshore drilling in the hopes of accessing the estimated 7.2 billion barrels of oil and 27.5 trillion cubic feet of natural gas available off the Eastern Seaboard.
Again, it’s simple: “all of the above, asap.”
Anyone doubting the efficacy of this approach need only look at the costly (and deadly) drama going down in the Strait of Hormuz following America/Israel’s ill-conceived war with Iran. Fuel prices have been surging in the aftermath of this crisis, with an extended blockage of this key international energy artery likely.
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Here in the Palmetto State, we’ve been dogged in our determination to hold investor-owned utilities – and debt-addled government-run power providers – accountable for their outcomes. South Carolina has significant work to do if it wishes to become truly competitive on this front, as several recent debacles have made abundantly clear.
In tracking the performance of various providers along the way, we’ve been harshly critical of the Central Electric Power Cooperative (a.k.a. “Central”) – a definitional middleman which has exacerbated its superfluousness by jacking rates on numerous regional cooperatives recently. On the flip side, we’ve been huge proponents of a trailblazing cooperative in the rural northeastern corner of the state, the MPD Cooperative, which has been standing in the gap against Central.
For the past eight years, MPD has been leading a group of regional providers eager to shed the yoke of this oppressive middleman – giving their citizens and businesses access to more cost-effective energy options.
For those of you unfamiliar with how this shakedown works, Central purchases power in bulk from struggling, government-run power provider Santee Cooper – energy which is now more expensive than ever thanks to the utility’s involvement in one of those aforementioned debacles.
Specifically, Santee Cooper was one of two South Carolina-based utilities which subsidized the construction of a pair of next generation Westinghouse AP1000 pressurized water reactors – each capable of generating an estimated 1,150 megawatts of carbon-free power (enough to power 750,000 homes annually).
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The two reactors – located in Jenkinsville, S.C. – were supposed to have been finished in 2017, but the project was scrapped after $10 billion of taxpayer and ratepayer money was wasted. This politically driven fiasco – which we dubbed “NukeGate” – put private sector provider SCANA out of business and buried Santee Cooper under billions of dollars in debt.
Not surprisingly, the power Central sells at a mark-up from this dinosaur of a power company is not competitively priced – meaning member cooperatives pay inflated rates when they buy through Central.
A recent call to action issued by MPD laid bare the fleecing… which is ultimately going to cost its ratepayers to the tune of nine figures.
“Over the course of MPD’s contract with Central, (our) members will pay Central more than $600 million,” the message noted. “Central will collect and retain, for its own benefit and existence, billions of dollars from hardworking cooperative members throughout South Carolina.”
“If these details seem ridiculous, you are right,” the message continued. “They are ridiculous. But unfortunately, they are facts.”
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According to MPD, wholesale power costs from Central have soared by 30% in the last two years alone, increases which have placed “significant financial strain on our cooperative’s ability to preserve the rate stability our members expect and deserve.”
“If you look at your power bill from the past few months, you will see the impact Central has had on rates,” the call to action continued.
MPD noted it had been fighting for years in search of “alternatives to the status quo and a full exit from Central.” It hasn’t happened, though, meaning the cooperative’s “relationship with Central has now reached an untenable point.”
According to our sources, lawmakers are beginning to take notice to MPD’s plight – with some even suggesting legislation should be filed to help multiple regional cooperatives leave the middleman behind. MPD is encouraging those efforts, asking lawmakers to “take a close look at the current structure that is driving up wholesale power costs.”
Our view? It’s about time…
Stay with FITSNews as we track these legislative efforts… and the broader battle to lower energy costs for all South Carolinians.
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ABOUT THE AUTHOR…
Will Folks is the founding editor of the news outlet you are currently reading. Prior to founding FITSNews, he served as press secretary to the governor of South Carolina. He lives in the Midlands region of the state with his wife and eight children.
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4 comments
Easy… cut the “middlemen” out.
And their price gouging is passed on to us the Consumers. My prediction is nothing will get done. Our government has become all hat, no cowboy.
An “all of the above” approach would include energy efficiency, but of course there’s no mention of that here (or any renewable generation, for that matter). SC is woefully behind.
Bill has doubled and they are fleecing “Convenience” fees from its customers. It is not a convenience if its the only way to pay the bill. Having a hard cap of any kind on a payment you can make which they claim is 497 dollars and 5 cents. To then charge 2 extra dollars. Then when you pay the rest of your bill you now pay a $2.95 convenience fee. WTH. It is not even consistent!! This is definitely something nefarious.