The Nightmare Continues… As Promised, Electricity Rates Skyrocket Under the Obama Plan

We were warned…
In January 2008 Barack Obama told the San Francisco Chronicle:

“Under my plan of a cap and trade system electricity rates would necessarily skyrocket. Businesses would have to retrofit their operations. That will cost money. They will pass that cost onto consumers.”

He promised that his plan would cause electricity rates to skyrocket.

He wasn’t kidding.

Now thanks to Barack Obama’s radical energy policies, electricity rates are skyrocketing across the country.
FOX News reported:

Obama’s War on Coal has already taken a remarkable toll on coal-fired power plants in America.

Last week the U.S. Energy Information Administration reported a shocking drop in power sector coal consumption in the first quarter of 2012. Coal-fired power plants are now generating just 36 percent of U.S. electricity, versus 44.6 percent just one year ago.

It’s the result of an unprecedented regulatory assault on coal that will leave us all much poorer.

Last week PJM Interconnection, the company that operates the electric grid for 13 states (Delaware, Illinois, Indiana, Kentucky, Maryland, Michigan, New Jersey, North Carolina, Ohio, Pennsylvania, Tennessee, Virginia, West Virginia and the District of Columbia) held its 2015 capacity auction. These are the first real, market prices that take Obama’s most recent anti-coal regulations into account, and they prove that he is keeping his 2008 campaign promise to make electricity prices “necessarily skyrocket.”

The market-clearing price for new 2015 capacity – almost all natural gas – was $136 per megawatt. That’s eight times higher than the price for 2012, which was just $16 per megawatt. In the mid-Atlantic area covering New Jersey, Delaware, Pennsylvania, and DC the new price is $167 per megawatt. For the northern Ohio territory served by FirstEnergy, the price is a shocking $357 per megawatt.

Why the massive price increases? Andy Ott from PJM stated the obvious: “Capacity prices were higher than last year’s because of retirements of existing coal-fired generation resulting largely from environmental regulations which go into effect in 2015.” Northern Ohio is suffering from more forced coal-plant retirements than the rest of the region, hence the even higher price.

These are not computer models or projections or estimates. These are the actual prices that electric distributors have agreed to pay for new capacity. The costs will be passed on to consumers at the retail level.

But, it’s OK. We may all be suffering but at least his top bundlers are getting rich.

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  • Patty

    Obama has given the middle class and the poor much more to think about. Food or heat.

  • SeniorD

    To paraphrase Princess Leia “The more you tighten the people’s liberty and economy, the more people you lose”

    Mike Church’s description of ‘Chairman Maobama’ is becoming more valid each day.

  • valerie

    Barack Obama didn’t do this all by himself. His administration, however, is responsible. His advisors are the worst the US has to offer.

    OT — Obama’s supporters outside the administration need reining in. The best way to do that is to expose them. Hot Air is carrying the story of harassment of bloggers supported by leftwing jerks.

    Brett Kimberlin, the speedway bomber with a record of harassing people, is being funded by the Tides foundation.

  • The best use of electricity this country could ever know would be in Statesville with stymie and his band of crooks strapped to the wooden chair.

  • I wish someone would confront Obama with this article and with his 2008 interview. Problem is that Obama would be proud of himself.

    Here in FL our local electrical provider has requested rate increases 3 times in the past 3 years. They and other utilities keep adding new idiotic charges to our bills like receipt taxes, delivery surcharges, on and on. It hurts.

  • See alot poor and middle-class families having to choose between paying their electric bills this summer as temperatures start to rise and buying food …..

  • Patty# sorry over looked your post at top..we said almost the same thing…. I was remembering the heat way in Chicago in 1995 that killed alot elderly …..that will be nothing incomparsion to what is coming across this country….

  • shibumi

    And yet, voters in coal country supported this guy. Thanks 52% your sheer ignorance has hurt us all!

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  • Callipygian1

    When the consumers in Ohio are finally informed what to expect in rate increases, Obama can kiss Ohio goodbye… Cleveland, Dayton, Cincinnati… ouch. Especially if the GOP runs on a platform of rolling back EPA regs.

  • Militant Conservative

    More proof that Obama’s policies are anti

    American. Nothing Obama does helps anyone.

    Powder is dry

  • timajin

    Everyone’s cost of living just went up. That means EVERYONE! Doesn’t matter what socioeconomic group they’re in. EVERYTHING that takes energy to produce just got MORE EXPENSIVE! EVERYTHING in other words.

    Maybe his new tag line should be “Everything for Everyone” As in Everything [just got more expensive] for Everyone.

  • Skandia Recluse

    I live in a county that votes democrat two to one, and the entire county is powered by coal fired electrical generating plants, including a very large iron ore mining operation.

    I keep asking neighbors, friends, news organizations, my electric power supplier what happens if those two plants are forced to shut down.

    No one believes it will happen, or they don’t know anything about it and dismiss the question with a wave of the hand. It’s kinda like Greece when the money runs out, no one believes it can happen here.

  • Patty

    So, why are his approval rating at 51% and if they stay that way, HE WINS!

  • no gas
    no electric
    no coal
    no oil
    no nuclear energy=no economy

    its a marxist’s job to destroy the existing order.

  • AKAK

    Wind costs will be added to electrical costs as well.

  • valerie

    This. Is. Stupid.

    We know how to produce and transport oil, coal, and gas without substantial harm to the environment, and we have made huge strides in cleaning up the byproducts of power production. Our energy production is now so clean that the only way the EPA could find to call these plants “polluters” was to declare carbon dioxide, a naturally-occuring byproduct of animal metabolism necessary to plant life, a “pollutant.”

  • southernsue

    this is just part of the plan!

    did you know valerie jarret is iranian?
    did you know that she is the closest person to obama and michelle?
    did you know that she is obama’s advisor on all fronts including foreign policy?
    did you know that she is the ears and eyes for obama and michelle?
    did you know no one gets to see obama unless they go through her?

    who said the devil will be male?

  • That is the reason why “Cap and Trade” needs to be killed, and killed once and for all forever. Then the next thing that needs to be killed off is the EPA, and any and all so-called “environmental” laws that pretend to protect the so-called environment, and so-called make the air clean, the water clean, and the ground safe for plants to thrive. Also the other thing that needs to be killed off is the “Clean Air Act”!! GET THE HELL RID OF IT FOREVER!! The United States of America has the cleanest air of any industrialized nation in the world. And yeah, some of it was because of environmental laws, but so few that the severest impact on our industries would be very little when it came to protecting the right of that company to do it’s business in a way that would not hender it from making all the profit it could.

    And what Obama is talking about is in violation of the Constitution and he is guilty of treason. And what it is he is in violation of is what our Constitution is written by and that is “Natural Law” which says you will not make any law that harms the people of this nation or the nation, which is it’s commerce in this case is what “nation” would mean here.

  • That’s like this 17 trillion dollars we’re supposed to be responsible for paying back. We don’t owe a dime past what is Constitutional taxes and/or expences allowed by the Constitution. And money that was created owed by the people of this nation, we don’t owe.

    Hell, if it was up to me I would tax all the rich Democrats who have helped make all this debt and tax them at 100%!! That means they have to cough up ALL their money right down to selling off everything they bought with the money they made from all they got for creating all that criminal taxation on us. Strip them of every dime, and leave them pennyless, naked, standing in the street without a shirt to put on their backs.
    Wouldn’t that be the same thing Obama wants to do to those of us who have worked for all we have? Except in my case they would be the ones designated to pay the money back, not the America workers, savers, wealthy to who had nothing to do with creating this debt.

    Like Barney Frank and Chris Dodd. Take every penny they have. Force them to tell you where all their off shore accounts are and take that, sell the house, and houses, jewlery, coin collections or whatever, Moose heads in the den and every single thing they’ve got right down to a pair of socks. Sell off everything they have but especially their money.

  • PaulJames

    Well, we can continue to rant about Kyoto……, I have yet to see anyone in this administration or the greenies complain over the hundreds of coal plants going on line in India and China to meet the energy mandates of their growing society. China could change the world’s environment and could care less about what liberals think….so much for the energy imperialism of the United States.

  • democraps suck

    The mooslum POS sure knows how to kill america

  • mg4us
  • Befuddled

    No coal
    No lights
    No motor cars
    Not a single luxury

    Like robinson Crusoe, it’s as primitive as can be.
    Here on Obama’s Island.

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  • Mr Whoopee

    I’m confused. Natural gas prices to electric utilities have fallen from a high of $12.41/1000 cu.ft., in June 2008, to a current price (February this year) of $3.45.

    That’s a decline of 72%! The price of electricity is going up because the utilities have not been building new capacity to replace plants they knew they were going to have to close.

  • Jim Matthews

    The cost of electricity in Ohio is going up over by 2200% in three years. In the other 12 states by 800%.
    This is nuts and no business in Ohio will survive it.
    Why is this not wall to wall news? How are you going to pay your electric bill personally?