Big Oil Throws in the Towel on “Clean Power Plants”

It couldn’t have happened to a more short-sighted idea.
In the UK, BP dumped its plans to build a carbon capture and storage plant in Aberdeenshire that would one day -- perhaps -- capture and store the greenhouses gas emissions from a gas-fired power plant. And now Shell and StatoilHydro have scrapped plans to build a similar project in Norway.
All three jumped ship for the same reason: without whopping government subsidies, "clean power plants" are uneconomic. And since European governments aren’t willing to foot the bill, looks like Big Oil is shut out of luck on this one.
I guess gambling with taxpayer dollars is one thing Big Oil is ready to do. But tossing its own profits into the pot? Apparently not. This tells us at least one important thing: dangerous investment.
It's a revelation that may be spreading -- and to America no less. The writing's on the wall that plans for "clean coal plants" here may face a similar fate. They too need ordinate sums of taxpayer dollars -- aka government subsidies -- to get off the ground.
Take a look at what happened in Illinois for a possible harbinger of things to come. FutureGen announced a massive new "clean coal" plant in that state, and the feds were quick to rain on their parade. Too "uneconomic:"
Illinois won a battle with Texas on Tuesday for a showcase clean-coal research project, but within hours the Bush administration waved a caution flag about rising costs and said it wasn't ready to sign off on the $1.8 billion FutureGen power plant.
(Yikes. If this coal project can't even garner White House support, it must be really bad.)
No wonder. Clean fossil fuels are smokescreens for business-as-usual. The burden of proof now needs overwhelmingly to be on those arguing for clean coal -- that the technology is feasible, truly "clean" and affordable. The proof, by the way, ought to be as rigorous as global warming science has had to be.
Tough task. We're still waiting...














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