http://host.madison.com/wsj/news/local/govt-and-politics/article_75759236-363e-11e0-bb98-001cc4c03286.htmlm - via Wisconsin State Journal 2/11/11
A controversial plan to privatize state-owned power plants, a plan that last caused a stir in 2005 before being vetoed by then-Gov. Jim Doyle, has been revived by Gov. Scott Walker in his budget bill.
The provision would give the state Department of Administration the authority to sell the plants or contract for their operation. The proposal calls for net profits from the sale of the plants to be deposited in the budget stabilization fund.
Opponents in 2005 argued the plan would cost jobs and end up costing the state more for power. State Rep. Brett Hulsey, D-Madison, said that is still true today, that private contractors would end up charging more for power than what the state pays now as owner and operator.
"It's like selling your home furnace to the oil company," Hulsey said. "Yes, you may make a little cash now. But in the end, the oil company's got you. They control you."http://www.jsonline.com/business/116204654.html - via Journal Sentinel
Gov. Scott Walker's proposal to sell heating and cooling plants could generate hundreds of millions of dollars, but stronger pollution rules that govern the aging facilities could make them less attractive to potential buyers.
The budget repair bill that Walker, a Republican, unveiled Friday would empower the secretary of administration to sell heating and cooling plants at state facilities, including prisons and University of Wisconsin campuses.
Last year, the Environmental Protection Agency began an investigation to determine whether plants at UW campuses and prisons were in violation of the Clean Air Act. In addition, air pollution standards being implemented by the EPA are expected to result in older coal-fired power plants' needing to add pollution controls or switch to cleaner-burning natural gas.
The Doyle administration was moving to replace coal as a fuel source at several sites, including the Charter St. heating plant that serves UW-Madison. That plant would have burned natural gas and biomass instead, but the Walker administration last month pulled the plug on the biomass portion of the project.