There are only two fuels that can be easily delivered and consumed cleanly in homes: natural gas and electricity. Gas is increasingly scarce and to burn it to make electricity makes little sense. Lots of gas fired generators have been built lately because the enviro whackos like the nice clean fuel and it has driven the price from around $2 per mmbtu (million British Thermal Units) about 3 years ago to over $7 now.
Coal is a stink nasty mess when it is burned in homes for heat but it can be burned quite cleanly in a modern power generating facility equipped with scrubbers and other technology. And then nice clean electricity can be transmitted to homes and all the saved natural gas is also available for homes. We have lots of coal.
Being an investor in this sector, I know the information you posted and wholeheartedly agree with it. However, reasonable people like yourself and others are NOT in charge. Coal is the first choice on the way to produce electricity, BUT the liberals will not hear of it. Also, nuclear is fantastic, but they hate that too. If those of us with reasonable minds could get control, a lot of things could be changed for the better. When?
Common sense and California....never the twain shall meet.
My main point is I've tried to give some good information on both companies and have been largely ignored. Let's just say my response is less than tepid. When I tell people something, I expect for them to listen and/or at least present substantiation for disagreement. Over the next few days, more than likely my premise about Calpine is going to be found to be true whether people like it or not.
You summed it nicely. It makes so much better sense to upgrade low rank fuels into high rank fuels: coal to kilowatts or coal to ethanol or soybean diesel. It is makes no sense to consume high rank fuels like nat gas and turn it into another high rank fuel like electrical power. I chase the resid bbl and can do $5.50 with my bottoms product in a $7-$8 world. Power generation should belong to the coal guys where large quantities of ash, scrubbing exhaust, etc can be managed at a power plant and leave nat gas for pilot lights at home.