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The Rural Missouri NEWS Service April 2007 | June 2007 | September 2007 | October 2007 | November 2007 | December 2007 |
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June 2007 The Global Economy and Electric Cooperatives Global factors affect our economy right here at home . . . and therefore, electric cooperatives as well. By now you probably know electric rates are on the rise after a decade of stable and even declining rates. You’ve probably also heard the $35 billion number. That’s the amount of money that will be spent on new sources of generation to meet future demand for electricity in the next decade. There is a growing demand for more electric power in America, Missouri included, and electric co-ops are growing faster than the industry overall. Today, financing and access to capital is global. Increasingly, we pay attention to what is happening far beyond our borders. It’s almost not accurate to say “U.S. economy” anymore. You hear about the “global economy” all the time. And what you hear is true: the global economy is a reality. It is imperative to understand the impact of global factors when looking at our economy. It is an inter-dependent economy . . . we are part of it. The U.S. economy is still the big gorilla. It may not be the 800-pound gorilla anymore. Maybe we’re the 700-pound gorilla. But some of the other gorillas out there are growing — fast! We pay increasing attention to Asia’s rapidly developing nations, especially China and now India, too. When we in the United States go to build a coal-fired plant, we are competing with China — and increasingly, India — for engineering expertise and for basic materials. This competition drives up the price of steel, and other goods and services. In addition, rising commodity prices for materials used in making pollution-control equipment is contributing to cost hikes in our industry. Associated Electric found that out when it began installing pollution-control equipment at its Thomas Hill Energy Center. That project requires 6,000 tons of steel, more than it took to build the Arch in St. Louis. It was impossible to find that much steel in the U.S., so it had to be imported from France. China is building 562 coal-fired power plants over the next eight years and India could add as many as 213. Every week to 10 days, China will be adding another coal-fired power plant. China also has about eight nuclear plants online, with another two close to ready, with an additional 4 plants under construction and others on the drawing board. We in the U.S. electric utility industry are increasingly in competition with China for resources and technology. That means price competition — and that translates into rising costs. We really do live in an interconnected world, a global economy, one that increasingly affects electric co-ops, as part of the electric utility industry. To meet this changing world, your electric cooperative is maturing and becoming more sophisticated in order to fulfill our mission of providing reliable service at the best possible price. Digging? Dial 811 Planning an outdoor project that involves digging? From new home foundations to that new flower bed, don’t take a chance by digging without calling to find out whether underground utilities may be in the way of your project. Your electric cooperative wants you to know that a new, easy-to-remember phone number — 811 — will make this easier than ever.
Here comes LED lighting If you have not yet heard about LED lighting, you soon will. This technology has found its way from small hand-held devices like calculators and cell phones, to such larger applications as traffic signals and exit lighting in buildings. Currently being tested for interior building illumination, LEDs can slash electricity costs by 30-90 percent. Perhaps even more impressive, LEDs last 10 times longer than standard fluorescent lamps, and more than 100 times longer than conventional light bulbs. The term LED stands for light emitting diode, which is a product of the electronics industry. A diode is a simple semi-conductor. As voltage is applied across a diode, electrons are released in the form of visible light. Think of light emitting diodes as very small lamps that are completely electronic. Unlike conventional incandescent bulbs, there is no filament to burn out and they don’t get nearly as hot. These small sturdy lamps have an average life of 100,000 hours (more than 11 years of continuous use). One characteristic feature of LEDs is their small size. This is why several individual LEDs must be clustered together when greater illumination is needed. Unlike other light sources (fluorescent, incandescent or HID) that you can scale-up in lamp size to gain more light, LEDs can’t get much bigger. Instead, as a greater amount of light is needed (such as the latest applications for building illumination or street lighting) several LEDs are placed within an individual fixture. The only downside to LED lights seems to be their higher purchase price. Depending upon the application, they can be two to four times the cost of their conventional counterparts. As with other new technology, costs are expected to come down as production increases with demand. To stimulate the use of LEDs and test their performance, the city of Raleigh, N.C., is partnering with suppliers of this technology. Looking to become know as “LED City”, Raleigh city officials hope their town can serve as a living laboratory and model to help others deploy LEDs. The city’s first project was an installation of LED lights on one floor of its municipal parking garage. Placed in service during December 2006, the LEDs have performed well so far. They have shown a 40-percent energy savings over conventional light sources, along with a great improvement in light level and quality. Further demonstrations will be needed, and other electric power suppliers will likely be involved. One rural application that is already showing promise is LED lighting for poultry buildings. Demonstrations in the Maryland poultry industry show that producers can save $335 per building for each flock of birds. These projections depend on both energy savings and the greatly extended lifespan of LED bulbs. Other applications with long hours of use may bring similar dramatic savings in energy. Added returns come from reduced replacement bulb costs and labor savings due to the long operating life of LEDs. Cooling energy from the earth Summer’s here, and it’s time to start cooling your home. If you’re in the market for a new air conditioning system, consider a geothermal heat pump – also known as a ground-source system – that uses the earth’s own constant temperature to provide cooling, heating and even hot water. Here’s how it works: The temperature remains at a constant 65 to 70 degrees 5 to 6 feet below the earth’s surface. A geothermal system – which consists of a closed loop of pipe filled with water and an antifreeze solution, and a circulating pump – either extracts heat from the ground to warm your home, or draws hot air from the home and transfers it to the ground to keep your home cool. Because the unit doesn’t try to extract heat from cold outdoor air in winter, or expel heat into already-hot air outside, it works much more efficiently than typical systems. Advantages of geothermal heat pumps include:
Have You Sprung An Energy Leak? It may surprise you to find out that even though you’ve turned off the television and VCR and shut down your computer, these appliances are still consuming energy. That’s because this type of equipment continues to use small amounts of electricity to monitor incoming information, such as TV programs you’re taping, or to provide “instant on” responses to remote controls. The U.S. Department of Energy estimates that this power, called standby consumption, costs $1 billion to $3 billion each year, or about 5 percent of the average electric bill. There’s no way yet to completely stop standby consumption, but products that carry the Energy Star given by the Department of Energy and the U.S. Environmental Protection Agency for energy efficiency and environmental safety require much less power to stay in standby mode. For instance, a typical VCR can use up to 13 watts when it’s shut down; an Energy Star model uses just 4 watts. Computers with a “sleep” option are also more energy-efficient. After a set length of time, these computer systems will go dark without fully shutting down. A simple command will “wake” them and allow you to restart your work where you left off. Computers, VCRs, TVs and many other appliances are included in the Energy Star ratings. So if you’re shopping for home electronic equipment, look for the Energy Star. Keep Your Cool When Cooking No matter how hot it gets outside, you still have to eat! But the heat from ranges, cooktops and ovens adds to your air conditioner’s burden. What can you do to give your family home-cooked meals without overheating yourself and your energy budget? Try these tips from the energy experts at your local electric cooperative:
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