Our Issues
We already have an optimized energy portfolio in Arkansas. About half of our capacity for generating electricity comes from natural gas. Almost a third of our capacity is coal. And the remaining capacity is comprised of nuclear and hydro- electric. Yet of these fuel sources, we’re only using a majority of our capacity when it comes to coal and nuclear. In fact, we’re only using 16.4 percent of our natural gas capacity.
Preferred-Fuel Mandates:
Mandating the use of one particular fuel over another would lead to higher and more volatile electric rates. BEA will oppose any legislation that would mandate or designate preferred fuels for the generation of electricity in Arkansas.
Fuel switching:
BEA believes that utilities, with oversight from the Public Service Commission, are the most qualified entities to determine the most cost-effective, reliable, and efficient fuels for producing electricity for Arkansas consumers. BEA will oppose any new fuel-switching mandates on utilities that require closing coal-fired plants and replacing them with natural gas-fired generation.
Higher electric rates:
Arkansas has the 8th lowest electric rate in the country, 25 percent below the national average. Our low electric rates represent a great advantage for economic development in our state. BEA will oppose special-interest legislation or policies that, according to our economic impact study, would increase electric rates, decrease reliability, threaten Arkansas jobs, and make our state less competitive in the global marketplace.