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To: WWS who wrote (47727)7/10/1999 8:24:00 PM
From: Think4Yourself  Read Replies (1) | Respond to of 95453
 
Ahh, I think I understand know.

The grandfather clause means AEP doesn't have to care about the health of the population as their old plants spew crap into the air. It is in their best interests to boost output from these plants as much as they can. The article talks about the OUTPUT from each type of plant. That explains the "rise" in coal output - it is per plant, not the number of plants.

But what about gas? Can output really be going down? Yes, it can. I have noticed the trend in gas plants is to have more of them, but smaller. You can lose a lot of power (called line loss) when you transmit over long distances, so if you can spread your generating plants to where the power is needed, you can have smaller plants with less output, and still get the same net billable energy. Thus the output per plant could indeed be going down. OUTPUT x PLANTS, which is what most investors would care about, is going up because NG plants are increasing at a much faster rate than coal plants.

Pretty misleading article, but can be technically correct. Thanks for the posts. I learned quite a bit trying to figure all this out.