TECO Energy, Inc. (TE), NextEra Energy, Inc. (NEE): What Does Obama’s Climate Change Policy Mean for Utilities?

3. “Clean” energy is in the clear
As the nation’s largest producer of nuclear energy, Exelon Corporation (NYSE:EXC) can rest easy. The White House included “support for the safe and secure use of nuclear power” in its latest plan. Not only does the utility rely on nuclear power for 55% of its own capacity, but Exelon Corporation (NYSE:EXC)’s massive 19,000 MW nuclear fleet produces 20% of the nation’s total nuclear energy.

In the eyes of Obama, all coal is not created equal, either. “Clean coal” got a shout out from the POTUS, putting innovative coal companies like American Electric Power Company Inc (NYSE:AEP) and Duke Energy Corp (NYSE:DUK) in the clean energy clear. American Electric Power Company Inc (NYSE:AEP) was recently awarded the Edison Electric Institute’s 2013 Edison Award for its $1.7 billion 600 MW “clean coal” facility, capable of squeezing 39% efficiency out of low-sulfur coal with its “advanced ultra-supercritical steam cycle technology.” Likewise, Duke Energy Corp (NYSE:DUK) just rolled out the red carpet on a 618 MW “clean coal” facility touted as “one the world’s cleanest coal-fired power generating facilities.” The new plant replaced an older coal-fired facility, and is capable of producing 10 times the power with 70% fewer emissions.

Foolish bottom line
As his latest inauguration speech promised, President Obama is getting serious about climate change. But for now, his moves seem mostly in line with exactly what progressive utilities are already doing. For companies that haven’t kept up with the times, doing the bare minimum will continue to keep environmental costs high from year to year. For more progressive utilities taking the leap, Obama’s latest should serve as nothing more than a pat on the back.

The article What Does Obama’s Climate Change Policy Mean for Utilities? originally appeared on Fool.com.

Fool contributor Justin Loiseau has no position in any stocks mentioned, but he does use electricity. You can follow him on Twitter, @TMFJLo, and on Motley Fool CAPS, @TMFJLo.The Motley Fool recommends Exelon.

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