13 Aug Multi-group Statement on Proposed Charter Amendment to Sell Fayette Coal Plant

Environmental community thinks vote on charter amendment to allow sale of utility assets is premature.

We ask council not to approve charter amendment.

August 10, 2012

The environmental community in Austin is extremely proud of the commitment the Mayor and City Council have made to make Austin coal free. Renewable energy, energy efficiency and demand response are creating jobs throughout Austin and all across our state, and doing so in ways that do not consume large amounts of water or damage our environment. The drought of 2011-2012 is just another reminder of the impacts that coal burning plants like Fayette bring to our community, along with the asthma and other respiratory problems that many who breathe the air near Fayette have to endure. We look forward to the study being conducted by the Austin Energy technical staff which is due to City Council in September and which will provide options for phasing out use of the plant in coming years.

As part of the discussion of how to move Austin beyond coal, some have suggested that our only option is to sell the plant to LCRA or another buyer, requiring that we put a charter amendment on the November 2012 ballot. At the present time the environmental community does not support selling the plant to an unknown buyer; who might have less concern about the health of our community and less concern about water use and our drought than our accountable elected officials. We should wait until we have robust discussions of the staff report and further engagement in our community before the city council takes any action about the Fayette plant, including putting a charter amendment on the ballot this November. If the best option moving forward to ensure that we shut down the plant in a few years and transition to renewable energy is a sale to another entity, then we will support such a move. But right now it is premature to move forward with steps towards a sale, since we continue to believe that the most straightforward option is for Austin Energy itself to put forward a credible plan to phase out the plant and eventually shut it down in coming years.

The fact is that as we continue to build our budgets to support onsite solar and energy efficiency, explore more investments in large-scale solar plants and wind facilities, and consider adding a natural gas unit at Sand Hill, the transition to Austin Beyond Coal will take several years. There is no need for a vote this November.

Cyrus Reed, Acting Chapter Director, Lone Star Chapter, Sierra Club

Alfredo Armendariz, Senior Campaign Representative, Beyond Coal, Sierra Club

Tom "Smitty" Smith, Director, Texas Office, Public Citizen

Karen Hadden, Executive Director, SEED Coalition