TXU and coal in Texas
TXU, a Dallas based utility so big the letters in it’s name don’t signify anything, recently announced they were halting efforts to get permits for 8 out of 11 new coal-fired power plants proposed for Texas. This was a surprising turnabout, considering that TXU had received Governor Rick Perry’s help in an attempt to bypass the normal permitting process, until a judge put the kibosh on that executive order. Meanwhile, back in the boardroom, TPG, Kohlberg Kravis Roberts, and Goldman Sachs Group called in the Environmental Defense and the Natural Resources Defense Council to bless the biggest buyout ever. Investors bought up TXU stock.
Despite the touch of green in the buyout deal, TXU left 3 new coal plants in the queue and, as Richard Whittaker points out in the Austin Chronicle, the motion to stay the permitting process for the other 8 plants is for six months, tops. I think TXU is approaching this like any good salesperson, asking an incredibly high price initially, and hoping to wear down the public until we’re happy to pay more then we really should. We can do better.