Clean Power Plan – A Producer Perspective

EPA Workshop for Communities with Environmental Justice Concerns on the Proposed 

Rule to Reduce Carbon Pollution from Existing Power Plants

Exelon Corporation 

Kathleen Robertson

October 30, 2014
Who is Exelon?

• Leading diversified energy company

– Focus is reliable, clean, and affordable 

energy

• Headquartered in Chicago, Exelon operates in 

48 states, the District of Columbia, and 

Canada. 

– One of the nation’s cleanest and lowestcost power generation fleets. 

– Exelon’s utilities deliver electricity and 

natural gas to more than 7.8 million utility 

customers in central Maryland (BGE), 

northern Illinois (ComEd) and southeastern 

Pennsylvania (PECO). 

• Exelon is a long-time proponent of 

federal climate action.

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Exelon 2020 Initiative

• Exelon has been a low-carbon company since 

its formation in October 2000, and we take 

pride in maintaining one of the lowest ownedgeneration portfolio GHG emission rates of all 

of the large U.S. power producers. 

• In 2008, we took early action under EPA’s 

voluntary Climate Leaders program by 

reducing GHG emissions by 36 percent from 

2001 levels. 

• After achieving our Climate Leaders goal in 

2008, we committed to Exelon 2020. 

• This included operational reductions, 

customer-facing, and other energy efficiency 

programs. 

• This year, we are proud to announce that we 

surpassed the Exelon 2020 goal — seven 

years ahead of schedule — with the 

abatement of more than 18 million metric 

tons of CO2e in 2013. 

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Exelon in the Communities

• In 2014, Exelon the Dow Jones Sustainability Indices (DJSI) and CDP recognized Exelon’s 

corporate sustainability performance and reporting of climate-related information. 

– DJSI named Exelon to the Dow Jones Sustainability North America Index for the ninth year in a 

row. Only five utility companies out of 600 North American companies were named.

– CDP also selected Exelon to the S&P 500 Climate Disclosure Leadership Index (CDLI) for the 

fifth time. 

• Contributed more than $32.3 million to local and national nonprofit organizations, for a total of 

$88.9 million over the past three years throughout our communities.

• Served 96,939 hours on 804 volunteer projects through Exelon employee volunteer efforts.

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Reducing Compliance Costs and Ensuring Reliability

• To address reliability and affordability concerns for all customers, Exelon supports cost-effective 

implementation of the Clean Power Plan as soon as practicable.

– We support implementing the program no later than 2020, and will offer recommendations to 

encourage feasible actions prior to 2020.

• In addition, we will offer recommendations to ensure that clean baseload generation is 

encouraged to continue to operate for the benefit of our customers.

– As proposed, the rule would exacerbate economic pressures facing nuclear plants.

– If not addressed, challenged nuclear plants will retire, driving up both emissions and costs.

• Generation would need to be replaced, and would almost certainly be replaced by natural 

gas generation, which emits both CO2 and criteria pollutants such as NOx, a contributor to 

ozone and particulate pollution.

• In addition, the loss of nuclear plants increases electricity rates, as evidenced by the 

upcoming closing of the Vermont Yankee nuclear plant (Forbes 9/29/14).

- National Grid expects a 37% rate increase for its customers in western Massachusetts on 

November 1.

- National Grid expects a 50% increase in New Hampshire.

- Customers of the New Hampshire Electric Coop will face a 12% increase.

- Vermont ratepayers are protected this year based on the plant’s profit-sharing, but rate 

increases are anticipated for next year.

• EPA and MISO analyses indicate regional approaches save billions of dollars.

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32 days until December 1...