The Facts About TXU

A Clean Energy Scenario

Investing in energy efficiency is the best way for Texas to meet its electricity demands

Posted: 15-Nov-2006; Updated: 15-Nov-2006

Download the full analysis for a Clean Energy Scenario: Reserve Margin Crisis? Coal Isn't the Right Answer for Texas [PDF]

These three charts illustrate the clean energy scenario for Texas:


How various strategies would affect Texas' electricity demand through 2011. Full size


Impact that efficiency and interruptible load alternatives would have on Texas' reserve margin. Full size


How 18 proposed coal plants do nothing to address the pending reserve margin challenge in 2008 and 2009. Full size

Texas is a rapidly growing state without question, and experts have predicted an energy shortfall over the next decade. Indeed, one of the most prominent arguments for the proposed coal rush in Texas has been the state's burgeoning energy demands and the looming shortfall.

But this "reserve margin" crisis has been misinterpreted and overhyped. The State of Texas has failed to examine other energy options besides building 19 new coal plants.

Environmental Defense's analysis (Reserve Margin Crisis? Coal Isn't the Right Answer for Texas [PDF]) shows that investing in energy efficiency measures offers Texas the best, fastest, cleanest and cheapest route to solving the state's  short-term energy needs. Further, it illustrates how Texas can use such measures to reduce our long-term energy consumption and the proposed need for new power plants.

Coal plants are not the answer to Texas' energy challenge because:

  • Building coal plants fails to recognize conservation and efficiency potential. 
  • Coal plants take a long time to build and can't relieve the energy gap until late 2009 at the earliest. Once online, they will saddle Texas with a massive and unnecessary power surplus.
  • Coal is the dirtiest energy choice.  Despite available clean technology, TXU and other companies have proposed old-style power plants that fail to use the most current emission control technology.
  • New coal plants will exacerbate Texas' standing as the number-one global warming polluter.  The "coal option" is the worst choice when it comes to addressing global warming.

A Clean Energy scenario that reduces peak demand

Neither the State of Texas nor the coal companies has offered a solution to the 2008-2009 reserve margin issue. Environmental Defense proposes a real solution to the short-term electricity crunch. Our proposal also alleviates the long-term electricity needs of the state. In our Clean Energy scenario, peak demand is reduced by increasing Texas' successful energy efficiency programs fivefold and doubling the amount of interruptible load (demand that can be curtailed if need be, typically during periods of extreme heightened demand such as hot summer days, or days when demand is lower but not enough generating plants are in service due to maintenance). 

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Founded in 1990, our Texas office carries out its work under the national mission of Environmental Defense. Our projects range from cleaning the air Texans breathe to restoring fisheries in the Gulf of Mexico.