Electric company representatives, consumer watchdogs and environmental advocates are among the parties that will meet over the next two months to draft rules on power from renewable sources, subject to approval by the Illinois Commerce Commission.

After years of taking a back seat to coal and gas power generation, wind energy is now poised to power up in Illinois. Key drivers are the state's proposed renewable portfolio standard and a new found appreciation for long term fuel cost stability. Illinois wind projects recently in the news:

LaSalle County Sees Potential In Wind (Feb 28)

Coles County Wind Ordinance Passed (March 8)

Mendota Hills Landowner Speaks Out (March 8)

$80 Million Shelby County Wind Project Proposed (March 9)

IREC (Pike County) Turbine Nears Completion (March 16)

ISU Wind Data Project Update (March 17)

Investors Eye Illinois Wind Projects (March 21)

Zilkha Renewable Energy, owned by the father-and-son team of Selim and Michael Zilkha, is one of the nation's leading independent wind energy development companies, with a portfolio of nearly 4,000 megawatts in various stages of development in a dozen states. Zilkha is developing Arrowsmith, a 400 MW project in the Bloomington area.

In politispeak reminiscent of Clear Skies and Death Tax, language for the reclassification of nuclear power as a renewable energy source is being tested by Senator Domenici. Doing so would be the first step to allow nuclear power generators to share in a portion of federal tax credits originally intended to 'level the playing field' for sustainable energy sources. Exelon, the nation's largest provider of nuclear generated power with six Illinois nuclear power plants, has recently received environmental clearance to proceed with repowering of their Clinton facility. For new nuclear to compete with wind and new coal, it will be necessary to secure massive subsidies, indemnifications and loan guarantees. Expect Entergy and Dominion to be watching closely. No nuclear reactors have been brought online since 1970.

Improving economics, technology advances and increasingly favorable government policies are creating unprecedented opportunities for 52,000 MW of new capacity to meet the demand for renewable energy projects according to a new study, Renewable Energy: The Bottom Line, released today by Global Energy Decisions.

The Illinois Interstate Commerce Commission has received nearly 40 responses regarding the proposed statewide renewable portfolio standard. Second round working group meetings begin in the first week of April. The schedule for their process can be viewed here.

Illinois Power Company and its successor company Dynegy Midwest Generation will spend some $500 million on new pollution controls at five Illinois coal-fired power plants to settle alleged violations of the Clean Air Act, the Bush administration announced Monday. The settlement includes an additional $9 million civil penalty and a commitment by Dynegy to spend $15 million on projects to mitigate the harm caused by past emissions.

Ouch, it's a tough situation when old, dirty, fully depreciated coal power plants produce electricity at a price that unfairly undercuts new power generation projects!