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Coral delays Ely coal project

Mesquite plant moving along

A coal-fired power project planned near Mesquite moved a step forward with the issuance of a proposed air quality permit, state officials confirmed Thursday.

But a coal power project near Ely may have hit a snag because of concerns about coral in the Gulf of Mexico.


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The Nevada Division of Environmental Quality has been sending notices of the draft air permit for the Toquop Energy Project, which is planned to be built 14 miles northwest of Mesquite.

At the same time, LS Power Group continues to wait for possible final approval of a draft air permit for its proposed White Pine Energy Station near Ely. The permit is being delayed while the Environmental Protection Agency reviews concerns that the LS Power project could threaten endangered species, Dante Pistone, spokesman for the state environmental agency, said.

"It involves a question about the impact (of additional carbon dioxide) on coral in the Gulf of Mexico," Pistone said.

EPA officials familiar with the LS Power project were not available for comment Thursday, a spokeswoman said.

Pistone said the LS Power project was "on hold," but later called to clarify: "More appropriately, it should be that they are just waiting for the EPA approval to be completed."

Eric Crawford, director of project development for LS Power, said an environmental group raised issues about Gulf of Mexico coral but said the EPA review was "part of the normal permitting process."

Toquop project developer Sithe Global Power is pleased the draft air permit was released, spokesman Frank Maisano said.

Toquop will be built according to the strictest environmental standards yet, he said.

"Toquop can be an important part of keeping the lights on in Nevada," Maisano said. It should also help reduce the state's reliance on volatility priced natural gas, he added.

Also, he said, the $1.3 billion project would increase the tax base in Lincoln County by 15 times and would pay $10 million in annual taxes.

Most Mesquite residents, however, oppose the project, said Michele Burkett, co-manager of the Web site Stop Toquop.org.

"I have yet to find someone who is in support of it," Burkett said. The project is 12 miles from downtown Mesquite, she said, and would be closer to residential developments. She prefers renewable power, such as the solar power facilities installed at Nellis Air Force Base.

Attempts to reach Mesquite council members for comment failed.

Residents in St. George, Utah, who are downwind from the project, also object to the project, Burkett said.

In a separate development, the Nevada environmental division extended the deadline for comments on the $3.8 billion Ely Energy Center proposed by Sierra Pacific Resources near Ely. The state will entertain public comments on the Sierra Pacific project at a Jan. 9 meeting in Ely.

Contact reporter John G. Edwards at jedwards@reviewjournal.com or (702) 383-0420.

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Dave L wrote on December 31, 2007 01:24 PM: Toquop's spokesman, Frank Maisano, says the "$1.3 billion project would increase the tax base in Lincoln County by 15 times and would pay $10 million in annual taxes."

This is not true. The total assessed value of Lincoln County according to the State Red Book 2006-2007 (remember, those casinos in Mesquite are in Clark County), is $155,710,026. The assessed value of the coal plant will be $455,000,000, or about 2.9% greater than the current total valuation of the whole County-nothing to sneeze at (pun not intended).

Did the spokesperson really mean to say the plant would increase Licoln County's assessed value to $2,335,650,390. Not very artful an argument. But to be fair, at Lincoln County's tax rate of 3.0766, the $1.3b value should bring in to the County an additional $13,998,350 in property tax. In 2006-2007 the County brought in only $4,790,621 in property tax.

Of the $13.9m in property tax, $4,427,605 will, by law, go to the Lincoln School District. Compared to the $1,515,214 the District received in 06-07, those kids will have all the money in the world to be super achievers. What with 1,074 students, this amount will, considering local money is 20% of the $11,257 per pupil spending in 2005-1006, allow per pupil spending to increase to $27,667 per pupil!!!! When you consider that Lincoln County has 10 schools and all of them made "adequate yearly progress" and of the ten, FIVE are already rated "High Achieving - Status"....well, there are going to be a lot of people moving to Lincoln County for their kids to go to the best schools in the state!


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LittleBird wrote on December 28, 2007 04:05 PM: fd,
You made a very valid point. Nevada doesn't have the coal, nor the water. It would make better sense to build the plants where the coal is and build transmission lines. Could it be that Nevadas' taxes are so low that it would be more feasible to transport coal and water here? There's something defitely wrong with this picture. Somebody help me and explain, I seem to be having a senior moment.


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fd wrote on December 28, 2007 09:18 AM: None of this makes sense. We have no coal and we have limited water. Why would we import and burn coal, which uses thousands of gallons of water a day (actually an hour) when we could power the entire country if we covered 7% (that's seven percent) of our State with current technology solar panels (look it up for yourself at www.nrel.gov)?


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ths wrote on December 28, 2007 07:42 AM: It is a faulse statement that renewable can't keep up. Solar thermal plants outside of the large amount of land needed(Which we have plenty of)and the upfront investment it is one of the most reliable renewable and cost affective.

Over time as cost to build is paid off the price to produce the power decreases. It can actually decrease so much over time it becomes one of the least expensive ways to produce power.

If the billions of dollars that are invested into coal was redirected to renewable or solar thermal plants we would be ahead of the game in the long run. Coal is inexpensive up front when you look at $ to construct to watts generated, but has long term expenses of maintenance, coal to burn, and other 2nd hand affects of burning coal. These expenses even minusing the 2nd hand parts cause coal to be more expensive over 15 years of a power plant life.


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GOD wrote on December 28, 2007 03:47 AM: Dear Billy --- I believe we live in a democracy here in the U.S., so boo hoo to you.

I want cheap and affordable coal-fired power here in the desert and I want to be able to steal all the water I need to support this sprawl in the desert.

I'm sure you and your KKK brethren would like a lot of things, but with all this development, plenty of power is needed, and renewables CANNOT keep up with the demand.


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William Miller wrote on December 28, 2007 03:18 AM: I am so glad that Sithe Global Power is pleased they got their draft air permit. It's a great day when, despite the objections of nearly everyone who lives within 40 miles of the project the government, in their infinite wisdom, decides to plow ahead. Apparently without it, we would have to revert to candlelight. Obviously, the government knows what's best for us.