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Wednesday, July 30, 2014

Wisconson Coal Plant Could Close -- Lack Of Coal -- BNSF Unable To Supply Contracted Coal Due To Rail Backlog; Wasn't Wind Supposed To Take Up The Slack? -- July 30, 2014

Updates

August 3, 2014: The coal-rail supply story is affecting the entire midwest, not just the La Crosse power plant. is reporting that the issue is getting federal attention (these are folks from the political party trying to kill the coal industry in the US and slow down BNSF trains to a 5 mph crawl):
U.S. Sen. Tammy Baldwin, D-Wis., released a statement saying: “Following last winter’s devastating propane shortage, I am committed to ensuring that Wisconsinites do not face another energy crisis as temperatures drop. My staff and I will continue to work with BNSF, the Surface Transportation Board, and Dairyland Power to find a solution to this looming fuel shortage.” [Perhaps he needs to also work with POTUS.]
State Sen. Bob Jauch, D-Poplar, and Democratic state Reps. Janet Bewley of Ashland, Nick Milroy of South Range and Stephen Smith of Shell Lake also sent a letter to the National Surface Transportation Board in Washington D.C. The state lawmakers urged the federal agency to take immediate steps to increase coal shipments to Midwest utilities to avert an energy crisis similar to the propane shortage last winter. [Perhaps they need to write POTUS or meet him on the golf course; the three state reps and POTUS could make a foursome.]
Back to the story:
Midwest Energy Terminal in Superior is experiencing similar issues. The facility which provides coal to several power plants along the Great Lakes and St. Lawrence River, including Minnesota Power, is struggling to get supply.
With supplies down by about 1½ million tons, President Fred Shusterich said this is the time of year his customers are stockpiling coal to prepare for the January-March shutdown of the Soo Locks, which brings most shipping to a halt on Lake Superior. This year, difficult ice conditions persisted into May. Yet the trains that typically bring coal from the west to the Superior waterfront facility are coming only half as often as usual. He said that while a typical 123-car rail shipment has a five-day turnaround, it now takes about 10 days to get the shipment.
Minnesota Power spokeswoman Amy Rutledge said the utility also is dealing with coal shipments that have slowed, but the situation is not critical and their supplies are fine now. They also are working with BNSF railroad.
 My recommendation: Minnesota loves wind power. They need to turn on the turbines.


Original Post

LaCrosse Tribune is reporting:
An ongoing rail backlog that has stranded grain shipments across the Great Plains is now threatening to shut down a La Crosse-area power plant.
Dairyland Power Cooperative says it could run out of coal at its Genoa generating plant by January if the BNSF railroad doesn’t rapidly accelerate deliveries.
Halfway through the summer shipping season, the coal supply has dwindled to “perilous levels” and is falling further behind each week, according to a memo sent last week to lawmakers.
The La Crosse-based utility, which serves about 250,000 mostly rural customers, relies on coal to generate power at plants in Alma and Genoa. Alma is served directly by a BNSF rail line, while coal is shipped to Genoa on barges loaded at a terminal in southeast Iowa.
I assume President Obama is not concerned. It's all part of the plan.

A big thank-you to Steve, tonight; he has sent me a number of stories I never would have seen otherwise. The ONEOK story was particularly interesting. Thank you.

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