Peabody Energy Corporation (NYSE:BTU) CEO and Chairman Greg Boyce have called on political leaders to render their support to Five-Point Plan. The electricity prices are rising and in fact adversely affecting businesses and families. The plan aims to reduce the ongoing electricity crisis in the U.S. and supporting transition activities to achieve a low-carbon economy.
Boyce of Peabody said that high electricity costs are a major problem for families as they need to make several sacrifices to deal with the cost. The issues extend to tens of millions of U.S. residents. Affordable energy is the need of the nation particularly at a time when over 100 million Americans qualify for energy assistance. There are 45 million Americans who live in poverty.
The rising prices
Boyce further added that rise in power prices have surged in recent years as the policy measures forces utilities to utilize less coal for power. They are required to use high renewable mandates, affecting the cost of electricity. Solar and wind power are heavily subsidized, getting more than $85 billion in incentives in last sixty years. They account for just 5% of U.S. electricity. Peabody urges support for five-point plan as 2014 was the most expensive year in terms of electricity prices in the U.S.
The CEO of Peabody said that the greatest problem existing as of now is not an environmental crisis, instead it is a human crisis, and it can be solved. The challenge exists on a global scale with 3.5 billion people in need of proper electricity. The studies highlights that EPA’s plan will keep on to drive up power costs. It will eradicate the reliability and expensive electricity issues. The EPA has planned its carbon plan after California has developed some of the most expensive power prices. Therefore, Boyce proposed a five-point plan.