Dean Alford's " Ford Pinto of Power Plants"

This letter appears in the July 12 edition of The Sandersville Progress  

Not long after Plant Washington was announced, Power4Georgians conducted some field trips for small groups of people, including elected officials, to visit a South Carolina coal-fired power plant with a proposed expansion. P4G proudly pointed to that facility as a role model for Plant Washington.

Has anyone noticed that Dean Alford isn’t mentioning that plant anymore?  Well it may be because the expansion to build another unit was cancelled.  The company announced that due to falling energy demand, and the increased costs of using coal, the project, called “the Ford Pinto of Power Plants,” is now trying to sell equipment and parts to cover their losses. As published in the company’s  annual report,  “In 2010, Santee Cooper is rethinking ways to help customers reduce their electricity consumption, working towards our goal to meet 40 percent of our energy needs by 2020 from non-greenhouse gas emitting resources, biomass fuels, conservation and energy efficiency.”

P4G also isn’t talking about a Kentucky plant dropped by the East Kentucky Power Cooperative (EKPC, similar to our EMCs) late last year.  FACE provided the Washington EMC with a copy of the audit conducted by the Kentucky Public Service Commission that influenced EKPC’s rejection of the KY plant.  Members of Washington EMC should be aware that in our state, the Public Service Commission has no authority over EMCs; therefore we must count on our Board to make good fiscal decisions. We have no one else to appeal to if they make bad ones.

After 3.5 years of asking the EMC Board repeated questions, FACE members have finally learned that there is no independent study that supports assertions by our EMC Board and Power4Georgians that the success of the Plant Washington project is based on an independent analysis.  “Power4Georgians Plant Washington Coal-Fired Power Plant: Too High a Price for Consumers,”  released by Georgia Watch on June 22nd, is another independent analysis  providing detailed information on why Plant Washington will increase our bills instead of saving us money.  FACE has posted the report on our web site at faceenvironment.org.  EMC members can read it for themselves.         

In his response to the Georgia Watch report, Dean Alford of Power4Georgians implies that Plant Washington is necessary and economically viable, therefore worthy of funding.  It is misleading to speak about Plant Washington as if the $2.1 billion has been secured.   As of this date, no lender has funded Plant Washington.   Furthermore, studies show that there is an excess of electric capacity in our state.

FACE urges EMC members and Washington County taxpayers to learn for themselves why Plant Washington will cost most of us our hard earned dollars while a few very wealthy people are made even richer. 

Katherine Helms Cummings

FACE Executive Director

New blogs on Cobb EMC and Plant Washington

There are two new blog postings that are worth a quick read. SACE has a post out about the report issued by Georgia Watch concerning a careful analysis of rate increases for EMC members involved in Plant Washington. This is one of several well researched reports, in stark contrast to the fact that the Washington EMC Board Chair Frank Askew said recently that there are NO independent studies making the case in favor of the plant.

Cobb EMC Owners Association members are working even harder now that elections will be held, and a new CEO must be hired. Judge Schuster has called the Cobb EMC Board of Directors on the carpet for their management of the co-op. Congratulations for all the hard work, and good luck as you go forward to make your co-op a reputable business in your community.

Cobb EMC members claim victory in GA Supreme Court

Cobb EMC co-op members have another court ruling in favor of electing board members. The case was filed after the Cobb EMC board changed the bylaws following a 2008 settlement agreement. Take Back Cobb and co-op members who plan to run in the elections are pleased with the ruling. Read Take Back Cobb's blog today.

Katherine Helms Cummings
FACE Executive Director

Dean Alford remains stuck on coal while Georgia Power moves forward

Georgia Power has recently announced that it will reduce its reliance on coal for generating electricity. Future plans include purchasing existing natural gas powered plants rather than building new facilities.

The Southern Alliance for Clean Energy posted a sharp analysis of why Georgia Power is choosing a more progressive approach for their rate payers and shareholders, while asking why Dean Alford and Power4Georgians continue to insist that a new coal fire plant is the best use of EMC member dollars. The entire post is here.          

Santee Cooper Announces Fire Sale for Abandoned Coal Plant

Concerned about the impact on ratepayers, South Carolina's largest public utility, Santee Cooper, announced the final abandonment of its proposed 600 megawatt Pee Dee coal plant. Now, in an attempt to recoup some of the lost money it poured into the plant’s development, Santee Cooper’s ad in Power Engineering magazine advertises the sale of the used coal plant parts and the land surrounding the project.

EMC members know that Power4Georgians’ EMCs have already wasted millions of our dollars on the same outdated dirty coal technology that Santee Cooper abandoned. Yet our Board continues to pursue two coal fired power plants in rural Georgia. We wish we knew exactly how much of our money has been spent, but our EMC Board hasn't answered a single question we have asked during the last three EMC Annual Member Meetings.

Santee Cooper realized that a dirty, expensive, coal plant is unnecessary for South Carolina. It's just as unnecessary in rural Georgia.

Katherine Helms Cummings
FACE Executive Director

EMCs should embrace new found enthusiasm for transparency

If Judge Robert Flourney III’s dismissal of the 31 indictments against Dwight Brown resulted from a technicality about accessibility, then we encourage Cobb EMC, and our own Washington EMC, to embrace this new found enthusiasm for transparency and full disclosure, and set an example by applying this business philosophy to all their operations.  

Former Gov Roy Barnes, who appointed Flourney and is defending Brown, said the indictment must be presented in court “so that a man with mud on his feet, dirty, smelling, can walk right in.”

Yet the same man, or a freshly showered EMC member, cannot access the meetings of his or her elected representatives on the Cobb or Washington EMC Board of Directors. Cobb and Washington EMC members must submit a written request to attend a Board meeting of their own co-op. 

Washington EMC members have respectfully asked our EMC Board for a special meeting so that co-op members can ask questions, and hear answers, from the Board members we elected to represent us. Instead we have been told that our Board will only meet with members in very small groups. 

Why isn’t our Board of Directors willing to bring all members together so that everyone hears for themselves why our Board believes out-dated, expensive dirty coal is the best choice for EMC members, taxpayers, and property owners? 

Visit the FACE web site at http://www.faceenvironment.org for updates as Cobb District Attorney Pat Head appeals the ruling. Washington EMC members are encouraged to ask their board representatives to operate in a member oriented, transparent way for the benefit of all co-op members. Contact information for the Board members is here:  http://washingtonemc.com/maps/map.aspx or call 552-2577.

Cobb EMC Board choses to stick with indicted CEO as leader

February 28 was supposed to be Dwight Brown's last day as the CEO of Cobb EMC. A court ruling had determined that. The Atlanta Journal Constitution (AJC) and the Marietta Daily Journal (MDJ) both reported last night that the Cobb EMC Board has decided that Brown must stay.

The Marietta paper wrote, "In a prepared statement, Cobb EMC board Chairman Larry Chadwick said, "Nobody knows our co-op and the electric industry better than he does and his expertise will help us continue meeting the objective of supplying reliable and affordable power to our members."

According to the MDJ, the settlement in a previous civil suit with Cobb EMC members required that Brown step down on February 28 and his employment not be continued. While EMC leaders wait for the judge to respond to their request, Brown will work as an independent consultant for the co-op.

Board Chair Larry Chadwick was reported in the AJC to say that eight candidates were interviewed but none could match Brown's knowledge of the co-op or the industry.

This decision by the Cobb EMC Board raises numerous questions, which include:

• how did a co-op of this size become so invested in one employee that no one else can replace that person?  

• if Brown is found guilty of any of the 31 counts of indictment what happens next for the co-op?   

•  if the judge decides that Brown may not work for the co-op in any capacity, what will the next steps be? 

• if Brown is allowed to work for the co-op, what happens when Brown is no longer able to work (due to health issues or his desire to retire)     

• will the Cobb EMC Board ever abide by court rulings and operate within them rather than returning to court repeatedly?

The February 28 date for Brown's departure was determined long ago. Cobb EMC members continue to demand an open and fairly run co-op, which under current leadership they have not received. 

The dark cloud over Cobb EMC leadership continues to grow. The members are to be commended for their determination and work over several years to be sure that their co-op is run for the benefit of members, not for a limited number of insiders.    

Use these links to read the AJC and MDJ coverage.

Katherine Helms Cummings
FACE Executive Director