Goals & Plans - ORIGINAL CONTENT

“A goal without a plan is just a wish.”, Antoine de St.Exupery

“I love it when a plan comes together.”, John (Hannibal) Smith

The Biden Administration has announced a series of goals, leading to an overall goal of a Net Zero US economy by 2050. The intermediate goals include eliminating coal-fired electric generation by 2030, eliminating gas-fired electric generation by 2035, ceasing production of internal combustion engine vehicles by 2035 and moving to an “all-electric everything” energy economy by 2050. These goals are to be accomplished through a combination of executive fiat and regulatory restriction. One key planning element in support of these goals involves starving the oil and gas industries of supply through cessation of drilling and production permits and blocking of new pipeline construction, thus destroying legal industries and their participants and depriving their customers of future supply. Another key planning element in support of these goals involves incentivizing and subsidizing wind and solar generation, electricity storage and electric vehicles.

What is lacking in this picture is a comprehensive plan. For example, the goals of eliminating coal generation by 2030 and gas generation by 2035 are not accompanied by a plan element intended to assure that adequate wind and solar generation, electricity storage and transmission infrastructure are in place to maintain grid reliability and resilience as the conventional generators are removed from service.

There is also no plan element intended to assure that, as natural gas supplies deplete as the result of production constraints, sufficient natural gas remains available to supply the expected increased natural gas demand for power generation as coal generation capacity is removed from service. There is also no plan element intended to assure that sufficient natural gas remains available to meet residential, commercial and industrial customer demand during the transition to the “all-electric everything” energy economy.

There is no plan element intended to assure that electric generation, transmission and distribution capacity increase timely to accommodate the growth of electric demand and consumption resulting from economic and population growth and the transition to the “all-electric everything” energy economy by 2050.

There is also no plan element intended to assure that sufficient gasoline and diesel fuel remain available to supply the needs of the range of ICE vehicles remaining in service post 2035, when the goal is to terminate ICE vehicle production.

These missing plan elements appear crucial to the successful accomplishment of the Administration’s goals. It appears that the Administration plans to rely on the function of a regulated and constrained energy market to deal with these missing elements of the plan as the market rapidly transitions from a multi-fuel market with regulated competition to a renewable generation plus storage regulated monopoly.

The schedule for this transition appears to assume that the currently non-existent technology required for the Administration’s goals to be achieved will become available timely. This technology includes medium-duration and long-durations electricity storage and what are referred to a Distributed Emission-Free Resources (DEFRs) for electric generation, as well as fossil-free technologies for iron, steel and cement production.

If there is no Plan “A”, is there likely to be a Plan “B”?

“No battle plan survives contact with the enemy.”, Helmuth von Moltke