Southern Company’s Net Zero Announcement Lacks Detail and Speed

ATLANTA, GA - During Southern Company’s May 27th Annual Meeting of Stockholders, Tom Fanning, CEO, made an announcement that committed the company to “net zero” emissions by 2050. Along the way, the utility claimed it will cut its carbon emissions in half by 2030 based on a 2007 baseline. 

However, the company’s energy portfolio still includes large percentages of fossil fuels, in particular, gas (50%+). In order to achieve the commitment to “net zero” emissions by 2050 while maintaining the company’s gas-burning power plants, Fanning announced a “significant amount of shareholder capital” would be invested into the research and development of various carbon capture and sequestration technologies. These technologies have not been proven successful on a commercial scale, and it is unclear when they will be developed for such use. Meanwhile, renewable energy sources like solar energy are already less expensive than the company's dirty, outdated coal fleet, and getting cheaper every day.

Fanning did not make commitments as to when Southern’s fleet of coal plants will retire, which are the biggest contributors to carbon emissions. The utility’s customers will continue to foot the bill for coal plants running at single digit capacity. When asked about coal ash storage, Fanning admitted that only 50% of coal ash in Georgia will be stored in dry, lined landfills, while the remaining coal ash will be capped in place, leading to groundwater contamination. 

Stephen Stetson, senior campaign representative for Sierra Club’s Beyond Coal Campaign issued the following statement: 

"Southern Company's announcement reflects progress, but 2050 is not nearly good enough for its customers who could be saving money now by a faster pivot away from expensive coal-fired electricity. Southern Company owns part or all of eight coal plants across Georgia, Alabama, and Mississippi, some of which cost millions and barely run. Retiring coal plants means cleaner air and water, fewer visits to the doctor, and lower energy bills for folks across all three states. 

Southern’s net-zero target relies on the development of technologies like direct carbon capture that are far from being viable, let alone cost-effective. This is another risky bet, and can’t be a rationale for building more gas-fired power plants. We don’t need new science-fiction technology. We already know how to generate clean, efficient energy with today’s technology. 

The company agrees that solar and energy storage are foundational technologies in our region’s future energy mix. Ratepayers shouldn’t have to subsidize technology that remains on the horizon — what we need already exists. It’s great to hear them talk about carbon like it matters, but we don’t have three decades to wait. The urgency of the moment requires more than tree planting and long-term R&D plans.”