April 26, 2010

Big banks may get reined in. But will that harm the utility sector, which benefits from the capital that those lenders bring?

Congress is now considering legislation to ban those financial institutions from participating in speculative activities that are not tied to the basic and federal-backed services that they offer. So, those investment banks that trade commodities for their own advantage so as to increase their revenues would be barred from doing so. But those that trade on behalf of their industrial clients would be allowed to continue.

April 23, 2010

Coal producers are trying to refurbish their image. But the current hardship in which 29 miners died in underground explosion in West Virginia is making it difficult.

A critical question to arise from that accident is the long-term affect it will have on coal production and specifically whether it will force regulators to enact stricter laws. Tougher oversight, of course, would tend to require not just more safety standards but also stronger pollution controls, all of which would add costs. Utilities would then have to incorporate those new rules into their long-term planning decisions.

April 19, 2010

Natural gas has been riding high ever since the most recent estimates say that it can feed the country's electric generators for another 100 years. But it got an even bigger boost when President Obama vowed to end a two-decade long ban on drilling throughout much of the Outer Continental Shelf.

The proposal is part political and part economic. The administration came to office on the promise that the offshore energy reserves would play a part in the country's energy picture but that the oil and gas found there would be sensible -- not a pedal to the metal strategy. As such, it reasons that the newfound supplies could held erode the country's dependence on foreign sources as well as raise money from offshore leases.

April 16, 2010

Before his inaugural, Barack Obama spoke of healing the country's divisions and of lifting its spirits. But more than a year later, those lines have become entrenched, best illustrated by the bitter healthcare vote. That has left an irreconcilable gash between the two parties that might make future agreements impossible.

But the recent acrimony will not deter the president from tackling another contentious subject: climate change. His political tactics, however, will evolve. Instead of relying on floor leaders to push through his policies, the president is working in advance of a vote to make key concessions to opponents.

Below are a few letters received at EnergyBiz Insider on topics that appeared in the past few weeks. They capture the essence of how many readers say they feel.
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