Utah facing critical energy crossroads

On this eve of the opening of the state Legislature, Utahns are at an important crossroads with respect to energy and the environment. Though prosaic, the choices or nonchoices we make now regarding energy, particularly the generation and distribution of electricity, will have enormous and possibly adverse consequences on our environment and our economy for decades.

Many fear the potential damaging effects of global warming. Many also fear the potentially irrevocable damage that could be inflicted on our economy if we make wrong decisions.

Lost in this dichotomy of the economy versus environmental protection is an understanding of the basic facts of energy supply, demand and the potential sources and costs needed to meet increasing demand.

Today's column discusses electricity demand, supply and cost, and the state's largest supplier of electrical energy, Rocky Mountain Power.

Periodically, public utilities are required to produce Integrated Resource Plans. These IRPs give consumers a fascinating insight into how utilities plan for the future. From Rocky Mountain Power's IRP, we learn that it currently produces 9,000 megawatts of electricity. Of greater interest is that to meet projected demand growth, Rocky Mountain Power will need to generate up to an additional 3,500 MW by 2016, a mere heartbeat away in the context of energy development. This forecast assumes a lower energy growth rate for the next 10 years than the previous 10 years. It also assumes a slightly lower population growth rate than has been the case in the past. It is difficult to project demand, particularly at a time when individual use of information technology is increasing in unpredictable ways. Think iPods, multifunctional cell phones, not to mention the hoped-for possibility of electric cars.