QUIZ

Which state in the South experienced the least amount of jobs losses in the manufacturing sector in 2003 (a) North Carolina; (b) Missouri; (c) Virginia; (d) Kentucky?

(Scroll down for answer)

Nonattainment Status Threatening Power Delivery in Dallas-Fort Worth

Dallas-Fort Worth's nonattainment status with the U.S. Environmental Protection Agency as a result of the four-county area's dirty air, is threatening delivery of electric power to the market. Construction of new power plants that are sorely needed to serve one of the South's largest markets cannot be done because new plants would contribute to existing ozone levels. Furthermore, new generating plants cannot be built under EPA regulations unless some of the older facilities are shuttered. Currently, all power generation in Dallas-Fort Worth comes from six gas-fired power plants owned by TXU. All six plants are older facilities that pollute more than newer plants built just outside the Dallas-Fort Worth metro by independent power producers as a result of deregulation of the electric power industry two years ago in the state. To date, the independent power producers are operating their plants located outside the D/FW Metroplex at low levels they say because transmission lines into the market are fully subscribed by TXU. This is going to be an interesting battle to watch in the near future.

Municipal Utility Makes History

Memphis Light Gas & Water (MLG&W) made history in December when it pre-paid TVA for 50 percent of its base load power supply for the next 15 years. The municipal utility serves residential, commercial and industrial customers in the Memphis, Tenn. region. It's the first time ever that a U.S. utility has pre-paid for as much as 50 percent of its base power. MLG&W officials said that by pre-paying, they are receiving a discount of $225 million over the 15-year period. Total cost of the pre-payment is estimated to be $1.4 billion.

Duke Energy Settles with FERC

Duke Energy agreed to pay almost $5 million to settle a dispute that it manipulated energy prices during the California energy crisis that occurred in 2000 and part of 2001. The settlement is with the Federal Energy Regulatory Commission and does not shield Duke from lawsuits and other liabilities that may come from California customers.

Texas Adds Wind Farms

The state of Texas was one of the top states in the U.S. in the development of wind generated energy last year. In 2003, the Lone Star State added 204 megawatts of wind power, fourth-best in the U.S.

QUIZ ANSWER

Missouri, which has put a greater portion of its economic development efforts into business retention than any other Southern state, lost the least amount of manufacturing jobs in the South in 2003. Missouri lost less than one-percent of its manufacturing jobs in calendar year 2003. Virginia had the highest percentage of lost manufacturing jobs at 5 percent.