Interesting articles on EV, utilities, renewables and their impacts

[JCP]

http://www.forbes.com/sites/peterdetwiler/2014/08/07/electric-vehicles-could-save-u-s-utilities-from-a-death-spiral/

http://www.economist.com/news/briefing/21587782-europes-electricity-providers-face-existential-threat-how-lose-half-trillion-euros

The economist article has probably been discussed already, but it's new to me!

[Sunking]

I see a huge flaw in Forbes logic. Forbes is claiming electric use is declining and generation demand is going down. That is completely false. Electric utilities are generating in excess of 90% and still growing. Utilities are desperate to build more generation but federal and some state energy policies make it too expensive and time consuming. So in the mean time utilities are just waiting for the shoe to drop and the long awaited change in POTUS.

True electric utility stocks are falling, but that just them a better buy and higher dividend they pay.

[JCP]

I see a huge flaw in Forbes logic. Forbes is claiming electric use is declining and generation demand is going down. That is completely false. Electric utilities are generating in excess of 90% and still growing. Utilities are desperate to build more generation but federal and some state energy policies make it too expensive and time consuming. So in the mean time utilities are just waiting for the shoe to drop and the long awaited change in POTUS.

True electric utility stocks are falling, but that just them a better buy and higher dividend they pay.

How does Obama have anything to do with this?

Anyway, on the demand front, googling around I found this: http://www.eia.gov/forecasts/aeo/MT_electric.cfm Seems to indicate that demand is still growing but a lot slower than it used to. Apparently, the consumption per capita has been stable or decreasing for a while now (http://energyalmanac.ca.gov/electric...ity_sales.html). So, while the article may be exxagerating, the trend seems to be real.

[Sunking]

How does Obama have anything to do with this?

He has a lot to do with it. His 2008 and 2012 campaign promise was to bankrupt electric utilities. He is using the EPA to get his way and put Americans out of work.

[Sunking]

Anyway, on the demand front, googling around I found this: http://www.eia.gov/forecasts/aeo/MT_electric.cfm Seems to indicate that demand is still growing but a lot slower than it used to. Apparently, the consumption per capita has been stable or decreasing for a while now (http://energyalmanac.ca.gov/electric...ity_sales.html). So, while the article may be exxagerating, the trend seems to be real.

Real to me is stock prices, sales, earnings and dividends. All electric utilities are up big since 2008 of in excess of 100%. Here are the 3 companies stock I own and still buying. Money talks and BS walks.

AEP
NEE
OKE

They all pay around 4% dividend with a nice huge cap gain. What is not to like. If they go down, I buy more.

[JCP]

He has a lot to do with it. His 2008 and 2012 campaign promise was to bankrupt electric utilities. He is using the EPA to get his way and put Americans out of work.

Wow!!! That takes stupid to a whole new level. I feel bad for you.

[Sunking]

https:3]Wow!!! That takes stupid to a whole new level. I feel bad for you.

Perhaps you are the one with your head in the sand.

[JCP]

Perhaps you are the one with your head in the sand.

First you complain that Obama wants to kill utilities, but then you gloat about how much money you've made on utilities stock since he became president. Suffering of cognitive dissonance?

[Rdjntx]

First you complain that Obama wants to kill utilities, but then you gloat about how much money you've made on utilities stock since he became president. Suffering of cognitive dissonance?

Not really, you can hate the man and his policies but that is a separate pill from investing your money in places that will make you money.

I have a couple thousand shares of FNMA Stock. Obammy and the congress have screwed us over big time. the courts are on a path to strike a blow for us stockholders. I hate the boy and his policies but I plan on making bank from his poor decisions

[AzSun]

Coal Industry

The coal industry survived the Clean Air Act of 1990. Like the auto industry, they will still be around regardless of new emissions standards.

http://www.forbes.com/sites/justingerdes/2012/02/13/cap-and-trade-curbed-acid-rain-7-reasons-why-it-can-do-the-same-for-climate-change/

[russ]

The coal industry survived the Clean Air Act of 1990. Like the auto industry, they will still be around regardless of new emissions standards.

http://www.forbes.com/sites/justinge...limate-change/

4) Constrained by a cap, emitters will innovate:

Try the innovation first

6) A political battle is inevitable, it can be won, but victory requires presidential leadership:

Of which there has been zero for some six years now.

7) Cap and trade and CO2 are meant for each other:

What a cute saying - when working in India I saw the EU's CO2 trading scheme milked nicely by many companies - very easy to game if the guy certifying the program is bribeable. In India most civil servants are available to be made "happy".
The author - Justin Gerdes, Contributor I cover clean energy solutions

Is a guy with an agenda - the truth be damned.

[SunEagle]

The coal industry survived the Clean Air Act of 1990. Like the auto industry, they will still be around regardless of new emissions standards.

http://www.forbes.com/sites/justinge...limate-change/

Tell that to the people that work in the Coal industry and stand to lose their jobs for no good reason. Sure industries come and go or shrink and grow but the immediate fall out of lost jobs and ruined lives is never good.

[Sunking]

The coal industry survived the Clean Air Act of 1990. Like the auto industry, they will still be around regardless of new emissions standards.

The issue is not so much about coal itself, it is artificially inflating electric energy prices to consumers and businesses who use energy to make products who employ the community.

If you look on the coal mining and transportation side will get hit because electric utilities will lean more toward building generation with NG fuel source lessening demand for coal.

As for the auto manufacturing part not really sure I would use that if I were you. Which time are you talking about?

Are you referring to the 70's during the embargo when all US manufactures made a really crappy product, and imports closed down how many US manufacturing plants down because USA did not make quality efficient vehicles.

Or are you talking about the time in 2007-2009 when GM and Chrysler went bankrupt, and Ford barely held on by the skin of their teeth? The time that turned Detroit and several smaller cities into the ghost towns they are today?

[Ian S]

Not really, you can hate the man and his policies but that is a separate pill from investing your money in places that will make you money.

I have a couple thousand shares of FNMA Stock. Obammy and the congress have screwed us over big time. the courts are on a path to strike a blow for us stockholders. I hate the boy and his policies but I plan on making bank from his poor decisions

FNMA's goose was cooked in Fall 2008 before Obama came into office. You should blame your good ol' "boy" Bush. And now you want taxpayers to bail you out?

[Rdjntx]

FNMA's goose was cooked in Fall 2008 before Obama came into office. You should blame your good ol' "boy" Bush. And now you want taxpayers to bail you out?

you should read up on current FNMA issue's before proving that you know nothing about it. Taxpayers have already bailed out FNMA and have been paid back in spades. the issue right now is that the obammy administration decreed that all FNMA profits would continue to go to the treasury even tho the debt had been paid with interest. This left Stockholders holding the bag because their dividends have been stolen by the taxpayers. they don't need taxpayer bailouts. they need to be left alone to do their business and get their profits back into the business rather into your pocket.

Here is an article that you should read. it's a pretty well written piece that you can start your education on FNMA with http://www.nytimes.com/2014/02/16/bu...-mac.html?_r=0