Quote:
Originally Posted by Tinordi
This is the example of policy working. Coal isn't being built for two reasons, 1) natural gas prices are incredible low and 2) expected future costs of coal generation will be high. Why? Because of policy. The entire industry sees the writing on the wall, GHG emission targets are a certainty in the next 20 years. Coal plants are amortized out over 40 years, there's no way that anyone will invest in a coal plant knowing that. So while alot of people crow that this is the invisible hand at work it's more like the switch stick of government policy whipping these generators into line.
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You are right, it is because of policy. Policy that allows Oil and Gas producers to make their products better and more available, not policy against coal power producers.