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Constellation Energy: Nuclear Operators Although it is too dangerous, too expensive and too centralized to make sense as an energy source, nuclear power won't go away, thanks to equipment makers and utilities that find ways to make the public pay and pay. Case in point: Constellation Energy Group, the operator of the Calvert Cliffs nuclear plant in Maryland. When Maryland deregulated its electricity market in 1999, Constellation - like other energy generators in other states - was able to cut a deal to recover its "stranded costs" and nuclear decommissioning fees. The idea was that competition would bring multiple suppliers into the market, and these new competitors would have an unfair advantage over old-time monopoly suppliers. Those former monopolists, the argument went, had built expensive nuclear reactors with the approval of state regulators, and it would be unfair if they could not charge consumers to recover their costs. It would also be unfair, according to this line of reasoning, if the former monopolists were unable to recover the costs of decommissioning nuclear facilities. In Maryland, the "stranded cost" deal gave Constellation (through its affiliate Baltimore Gas & Electric, BGE) the right to charge ratepayers $975 million in 1993 dollars (almost $1.5 billion in present dollars). Deregulation meant that Constellation's energy generating assets - including its nuclear facility at Calvert Cliffs - were free from price regulation. As a result, instead of costing Constellation, Calvert Cliffs' market value increased.

Environmentalists who see this year as their best hope for a major global warming bill can't seem to escape a familiar foe: former Bush administration officials they fought year after year on energy and climate issues. As the House Energy and Commerce Committee debates its ambitious cap-and-trade bill, environmentalists will find James Connaughton, President George W. Bush's top environmental adviser, advocating for Constellation Energy. Karen Harbert, a top Bush Energy Department official, is now heading the energy practice at the U.S. Chamber of Commerce - a leading critic of Democratic climate change proposals. And F. Chase Hutto III, Vice President Dick Cheney's energy and environment adviser, has formed ClearView Energy Partners, aimed at helping businesses navigate climate change legislation.