Truly 'interesting times' for energy industry in state

"May you live in interesting times" is supposedly a Chinese curse, and for those involved in the energy industry, these times are truly interesting.

Jerry Vap announces his plans to run for re-election to Nebraska's Public Service Commission on page one today, along with a story about TransCanada's decision to drop lawsuits against landowners fighting the Keystone XL pipeline, and resubmitting an application through Vap's Public Service Commission.

Vap has been on the PSC for some truly interesting times. Originally created to regulate railroads, today the commission regulates telecommunications carriers, natural gas utilities, major oil pipelines, railroad safety, household goods movers, passenger carriers, grain warehouses and dealers, construction of manufactured and modular homes and recreational vehicles, high voltage electric transmission lines and private water company rates.

The commission also oversees and administers state funds such as the Nebraska Universal Service Fund, the Enhanced Wireless 911 Fund and the Nebraska Telecommunications Relay System Fund.

A check of that list will find few areas that have not undergone massive changes in the last decades, from changes in agriculture to public transportation and the explosive growth of Internet and wireless communication plus the ongoing controversy over the Keystone XL pipeline in the corner of Nebraska farthest from McCook.

Another leader with McCook roots would have an intense interest in other developments, new options for utilities in Nebraska, a public-power state since the time of Sen. George Norris, the father of rural electrification.

While the Nebraska Public Power District is asking wholesale customers to sign 20-year contracts so NPPD can issue long-term bonds, changes in the power grid have allowed a few local utilities in the northeast corner of the state to contract with a different supplier.

They hope to save money, but also wanted to avoid the 20-year contract. South Sioux City contracted with the Lincoln Electric System starting in 2017, Northeast Nebraska Public Power, Wakefield and Wayne all plan to buy electricity from Big River Electric in Kentucky starting in 2018.

First Security Power, a Nebraska-basked electric power wholesale and retail company, claims it can provide rural electric associations and municipalities a 30 percent savings over NPPD's current wholesale rates.

Several REAs and municipalities have requested a rate hearing, set for 9 a.m. Thursday in Columbus.

The Southwest Power Pool operates electric transmission lines across Nebraska and 13 other states, and allows local utilities to buy power from anywhere, provided they pay the transmission costs.

NPPD and other utilities are expanding their ability to provide renewable energy, but the most common one, wind, is encountering snags in Nebraska.

A wind farm in Lancaster and Gage counties is running into opposition in the form of proposed regulations that would set limits on turbine noise and minimum distances from nearby properties.

Volkswind, the company that wants to put up more than 50 turbines in the two counties, says the rules would make each county "effectively off-limits" for wind energy development.

Lancaster County would prohibit wind turbines closer than 1,000 feet from homes and noise levels would have to be no more than 50 decibels during the day and 42 decibels at night. Gage County's proposals call for a 40-decibel noise limit and setback of about 1,980 feet.

Perhaps there's room for a "wind-friendly" designation to go along with Nebraska's "Livestock Friendly County" designation.