Chicago Tribune Jan. 21 articles, including “Seeking permission to pollute” and “Report: Synthetic gas won’t be cheap” are not accurate representations of the Chicago Clean Energy project and its many benefits for Illinois residents and ratepayers. This project will bring clean, green energy technology to Chicagoland by transforming a 140-acre brownfield site into an environmentally safe plant to produce substitute natural gas (SNG), an alternative to conventional natural gas. It is legislatively mandated to save Illinois utility customers a minimum of $100 million and in the process will create more than 2,800 jobs and spur $4 billion in economic development throughout the state.
The facts:
?X Chicago Clean Energy will be legislatively mandated to save ratepayers at least $100 million. This saving is derived using the federal Energy Information Administration’s gas price forecasts, which are lower than actual prices the majority of the time. When future conventional gas prices are higher than the EIA’s forecast, SNG ratepayers will save even more money because SNG is not subject to the pricing volatility of the conventional natural gas market.
?X The Tribune’s ELPC chart completely misrepresents Chicago Clean Energy and its supporting legislation by combining different projects with different economics, omitting the enormous ratepayer savings and by suggesting that North Shore customers will be disproportionately affected. Specifically:
When Chicago Clean Energy is considered independently, the potential rate impact in the Tribune’s hypothetical scenario are 70 percent lower, even during the early contract years shown. The chart also omits the $100 million minimum consumer savings that would occur during the balance of the contract term, in the hypothetical scenario shown.
Bill SB388 gives the Illinois Power Agency the authority to allocate purchase obligations based on total therms sold by each utility company to end users.
?X Chicago Clean Energy is 99 percent cleaner than conventional power plants, and estimated emissions are comparable to institutions including Northwestern Memorial Hospital and the University of Chicago. The facility will not have anywhere near the emissions of the Fisk or Crawford plants.
?X Chicago Clean Energy is neither expecting nor dependent upon transfer of the current site owner’s air permit.
Leveraging an abundant Illinois natural resource and proven gasification technology, Chicago Clean Energy is environmentally and economically beneficial for Illinois ratepayers, Illinois residents and the state.
— Hoyt Hudson, Eco-Industrial Development, Chicago
