The fate of the recently approved Virginia City Hybrid Energy Center spearheaded by Dominion, a leading energy company could have been that of the cancelled Dynegy Longleaf plant in Georgia but the project was ultimately saved by the fact that Virginia law does not regulate carbon dioxide as a pollutant. A judge in Georgia ruled differently in Dynegy’s case. However, Dominion’s journey to clinching approval to build its $1.8 billion, 585-megawatt, coal power plant had been laced with lessons coal companies and other businesses who need community support to survive can learn from.
It’s not news that Dominion faced strong opposition from environmental groups such as the Sierra Club, given overall awareness and a U.S. Supreme Court finding in 2007 that carbon dioxide is one of the major contributors to global climate change. But the fact is the Virginia City Energy Center is far from all bad. The proposed Center will use up to 20 percent biomass in addition to coal for its fuel thereby reducing its emissions. According to the Washington Post, the plant is hybrid because it will be “engineered to burn coal, plant matter and “gob”, a kind of mine waster made of rock and coal piled around the mining districts of southwest Virginia.” Additionally, the project will bring 1,000 jobs to Virginia during the construction phase, a permanent staff of more than 75 people, and about 350 mining jobs for residents.
While powering 146,000 homes, a Virginia Tech economic impact study indicates the City Hybrid Energy Center will generate about $440 million a year in tax revenues and other benefits for the county.
But all of these great points seemed to get lost in the shuffle. They ended up been secondary messages instead of helping to make the case for the Virginia Hybrid Energy Center.
Here are some key takeaways from Dominion’s experience:
·Poll the community and host town-hall meetings to uncover sensitive issues before issuing proposals. This will stand a company, especially a coal plant or large-scale manufacturing company, in good stead in terms of incorporating various components that are important to residents into it plans.
·Plan a comprehensive public relations program that effectively engages your key audiences. For Dominion, each audience base, be they policy makers, residents or environmental interest groups needed targeted messaging that described why this wasn’t like any other coal power project – a perception the company didn’t successfully get over.
·For community and all issues-related communications programs, lead with the benefits. This can be orchestrated as an educational process rather than a series of disparate tactics that scream cold selling. And it should come even before a formal announcement is made and before the plant is built.
Tuesday, July 8, 2008
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3 comments:
Actually, the Supreme Court found that the EPA had a statutory duty to regulate carbon dioxide, which is the basis of our suit against the Wise county plant because Va. regulators did not take CO2 into account when permitting this plant.
You also fail to mention the mercury problem. We got them down to 4 lbs, from 10 originally, but there are plants in PA that emit only one pound of mercury per year. Currently every body of fresh water in VA has a warning about consuming fish because of mercury contamination from burning coal.
Finally, in the last couple of years 80 coal-fired plants have been canceled in favor of greater energy efficiency & clean energy technology.
Certainly greater efficiency is possible, the average Californian uses only 1/2 the energy (per capita, less transportation costs) than the average Virginian.
Thank you for your comment Rick. The purpose of this blog and others is to start discussions. It is great that you wanted to contribute more information. We are not disputing your information or the need to augment the original blog. Remember we are focused on the public relations aspects of high-profile issues. In this case we think not enough grassroots efforts were made by the protagonists to bring doubters into the fold. The environmentalist concerns are certainly valid. What do you think would help move the education process forward?
Actually, the permitting of the Wise County plant was a stunning PR success for Dominion.
We were out gunned, out advertised, and out maneuvered at every step, even when the science, public good, and much of the general public sentiment were on our side.
We certainly couldn't sling the Do-Ray-Me around the House of Delegates the way Dominion did. They had dozens of lawyers and full time lobbyists working this issue in Richmond for the last several years. They also been busy buying full page color ads (at $10k a pop) in every local newspaper for over a year.
The PR failure was ours obviously, since you seem to think all the opposition was purely environmental.
The cost of the plant, for instance, has a guaranteed 14% profit for Dominion which will filter into another rate hike for Virginia ratepayers, which will be added to the just approved 18% rate hike. Nor were the costs of future carbon capture and sequestration equipment added in nor the likely federal carbon tax. This plant is going to cost rate payers far more than Dominion lets on. We never could connect with the public on this issue.
Other jurisdictions have focused on energy efficiency and saved as much as this new plat would have put out, but cost only 1/2 as much. We couldn't make that point stick.
Nor could we make the point that, since this plant was mandated to use Virginia coal, it would bring mountaintop removal mining back to Virginia, affecting tourism, hunting and fishing businesses in the region--the real economic backbone of far western Virginia.
We had signatures from 43,000 Virginia residents against this plant--a mile long petition--but just couldn't reach the critical mass of advertising and lobbying to sway the General Assembly. In short, we couldn't sling the Do-Ray-Me. In once since, they beat us with our own money.
But we're in court now, where science and law will probably trump PR.
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