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When Southern Company brings its new biomass power plant online in Nacogdoches, Texas, the effects will be felt hundreds of miles away in Austin, where ratepayers can expect the new energy source to spike electricity prices, KVUE reports.
The new facility will generate electricity from leftover wood shavings and other waste from wood. This power will help supply Austin with electricity for the next 20 years.
“Wind, which may be blowing or it may not, and solar which may be out or it may not, the idea is you have a resource that will run 24/7 whenever you need it,” said Austin Energy spokesman Ed Clark.
Even with the higher electricity rates, many residents say they are all on board for making Austin a greener city.
“Coming from Houston, I mean, Austin’s you know, 10 times more green than Houston. I like seeing the steps in the right direction for that,” said Austin resident Ian Holter.
According to Environmental Leader, the 100-megawatt plant is the largest biomass facility in the country, and is operated by Southern Company’s subsidiary Southern Power.
Texas’ energy deregulation laws allow residents to switch retail energy providers to choose a rate program that best suits them.