Sign up for our newsletter and get weekly updates. The John E. Amos Power Plant near Winfield, West Virginia, is being studied for early retirement, along with the Mountaineer Power Plant near New Haven, West Virginia. AEP subsidiary Kentucky Power converted the Big Sandy power plant near Louisa, Kentucky, from coal to gas a few years ago. If an agreement is reached, Mon Power ratepayers will pay a $3 million a month surcharge to keep the plants 146 employees working and the plant in operating condition. They also support, directly and indirectly, 6,600 jobs. the commission denied about $4.2 million of expenses AEP had proposed for projects that would help the plants comply with the ELG rule. The CCR-only option at Amos and Mountaineerwhich anticipates both plants would retire by 2028would cost a total $72.7 million at Amos (including $52.1 million in capital costs, $3.7 million in other charges, and $16.9 million in asset retirement obligation [ARO] costs), and $52.1 million for the Mountaineer plant (including $19.3 million in capital costs, $3.4 million in other charges, and $29.5 million in ARO costs). Whether they close in 2028, 2040 or sometime between, the three plants will leave a void in the surrounding communities. Your account has been registered, and you are now logged in. The model predicts one of Mitchells two units would close in two years, and the other in three. Meanwhile, power generators are speeding up the exit from coal. Taking Amos and Mountaineer out of service would not be a simple step for AEP. Doing the work on their wastewater systems would delay the cost of retiring the plants and finding new sources of power to replace them. The Ohio Valley ReSource gets support from the Corporation for Public Broadcasting and our partner stations. If you forget it, you'll be able to recover it using your email address. At Amos, Appalachian Power has proposed to modify the bottom ash handling system (to prevent discharge of bottom ash transfer water), as well as install two new ash bunkers. We'll send breaking news and news alerts to you as they happen! And while that order would have meant Mitchell will need to cease operations in 2028, the PSC on Aug. 19 issued another order granting Kentucky Powers request for a partial rehearing of the July 15 order. Three States Will Decide Their Fate. Appalachian Power is supposed to report the results of its study before the end of 2022. The continued fall of coal in the U.S. will likely be steeper than most people think, said Robert Godby, an energy economist and dean at the University of Wyoming. Now comes the hard part as Putnam and Mason counties wait for the study results and for the involved interest groups the bureaucracy, politicians, environmental groups, the coal industry and others to weigh in and prepare for battle. CreditSights analyst Andrew DeVries said industry observers are expecting an acceleration of coal plant retirements under U.S. President Joe Biden and following the recent "ugly PJM auction" results. At the Virginia SCC, Appalachian Power had argued its proposed investments for specific projects at the Amos and Mountaineer plants were the most cost-effective means of compliance with the federal CCR and ELG rules. None of us take that lightly, Jaffe said. Dane Rhys/Bloomberg/Getty Images. "Keeping coal in the mix supports grid reliability and resilience, helps keep electricity prices affordable, provides fuel security and serves as an insurance policy when other electricity sources are not available or are too expensive.". When AEP has built new fossil fuel-powered plants in recent years, they have been gas burners. Sorry, there are no recent results for popular videos. One megawatt is enough to power roughly 50,000 homes. Cheap, abundant natural gas has been eroding coals share of electric power generation for more than a decade. In the long run, it could mean renewables. Thats what were seeing. They've towered over the region's communities for decades. February 10, 2009 [17] West Virginia residents are beginning to strongly oppose a proposed American Electric Power transmission line to bring more power to New Jersey, where they pay more per kilowatt than in West Virginia. It plans to retire 5,574 megawatts of coal generation from now through 2030. The SCC on Monday approved a $27.44 million Virginia revenue requirement for the first year of an environmental rate adjustment clause (E-RAC)a rider that recovers expenses from AEPs Virginia customers associated with federal rules regulating the disposal of coal ash at the two plants in West Virginia. On July 26, meanwhile, the Biden administration initiated a supplemental rulemaking to strengthen certain discharge limits in the ELG rule. From that year through 2020, power companies retired 95 gigawatts of that power, nearly a third. But you have to go through the process the right way," Morrisey said. Under the Obama administration, the Environmental Protection Agency (EPA) finalized the first updates to federal effluent limitation guidelines since 1982 in November 2015, setting stringent Best Available Technology (BAT) effluent limitations and pretreatment standards for existing sources (PSES) as they apply to bottom ash transport water and flue gas desulfurization (FGD) wastewater. John E Amos Power Plant is a 2,932.6MW coal fired power project. File photo/HD Media The West Virginia Public Service Commission on Wednesday gave its approval for upgrades to the John Amos, Mountaineer and Mitchell coal-fired power plants - a move it said should keep the plants . Cloudy with occasional rain showers. Natural gas toppled coal as the nations top electricity source about five years ago, and renewables have caught up. Union boilermaker Ricky Brookver, 41, of Charleston, West Virginia, works overnight at John Amos Power Plant making facility upgrades to comply with the latest EPA regulations. /marketintelligence/en/news-insights/latest-news-headlines/slated-retirements-to-cut-us-coal-fleet-to-less-than-half-2015-capacity-by-2035-65741012 The ceremony took place in front of a packed room at the John Amos Power Plant in Putnam County. Absolutely. The Virginia State Corporation Commission (SCC) on Aug. 23 rattled American Electric Power's (AEP's) plans to operate the 2.9-GW John Amos and 1.3-GW Mountaineer coal power plants through 2040 . "We can't continue to risk everything for energy, you know, I mean coal keeps the lights on, they say, but at what cost?". For bottom ash transport water, it revised the 2015 rules zero-discharge limitations. Steam Electric Effluent Limitations Guidelines (ELG) rule. Under the Obama administration, the Environmental Protection Agency (EPA) finalized the first updates to, federal effluent limitation guidelines since 1982 in November 2015, setting stringent Best Available Technology (BAT) effluent limitations and pretreatment standards for existing sources (PSES) as they apply to bottom ash transport water and flue gas desulfurization (FGD) wastewater. Browse TV Schedule | Find WVPB Television, View Radio Schedule | Find Your Stations. The John Amos power plant in Putnam County, West Virginia. . In addition to avoiding replacement capacity costs, the plants also serve to protect customers from potentially volatile energy costs, with energy being the actual amount of electricity used from whatever source. But one of the reports authors predicts they wont last to the end of this decade. The rules require utility companies to perform the work or close the plants. . ", 24/7 coverage of breaking news and live events. Mitchell and Amos began operating in 1971, and Mountaineer in 1980. Remaining cloudy. We are required to have a certain level of capacityin other words, we must be ready to provide our customers a certain amount of power at any given time. Coal is falling out of favor to lower-carbon or no-carbon sources of electric power in an effort to curb greenhouse gas emissions and slow climate change. The John Amos plant was included in this list, as it has not been inspected by the state in at least 10 years. "I really feel that when I was a kid it was worse than it is now. They generated the electricity for homes around the Ohio Valley. AEP and other power plant operators are retiring coal-fired plants in the region. The state relies on coal to fuel them almost more than any other state. In separate December 2020submitted cost recovery filings with regulators in West Virginia and Kentucky, two other AEP subsidiariesWheeling Power and Kentucky Powerhad also sought cost recovery for CCR and ELG investments for another West Virginia coal plant, AEPs 1,560-MW, The West Virginia Public Service Commission (WVPSC) on Aug. 4 ultimately approved cost recovery for both CCR and ELG investments at all three plantsAmos, Mountaineer, and Mitchell. They burned coal, a. Adding another level of complexity are the changing federal rule requirementsas new administrations take the helm in Washington, D.C. Coal produced 40% of the nations electricity a decade ago, compared with 20% in 2020. At the Virginia SCC, Appalachian Power had argued its proposed investments for specific projects at the Amos and Mountaineer plants were the most cost-effective means of compliance with the federal CCR and ELG rules. The cost of wind and solar have plummeted in recent years. We have many factors to consider, Matheney said. And if it means raising our utility bills a little bit, so be it.. , in spite of pressure from Kentuckys then-Gov. In the long run, it could mean renewables. It sold the Gavin plant at Cheshire, Ohio, a few years ago, and it has announced plans to reduce output at its large plant at Rockport, Indiana. DTE is currently planning on closing Monroe in 2040, but has said it will study an earlier retirement date as part of its long-term plan submitted to Michigan utility regulators. "If we were to max out every available roof space in this state and all the usable land, we may be able to reach 30 percent of powering the grid -- maybe," she said. High 52F. Electric utilities have already closed coal-fired power plants nationwide in favor of cheaper, abundant natural gas produced through hydraulic fracturing. . The ELG rule, for example, has been mired in rollbacks, prompting some uncertainty within the coal power sector about where and when to make investments. esgSubNav, Discover more about S&P Globals offerings, Global Credit and Risk Symposium: Unlocking Possibilities, JW Marriott Sao Paulo Av. person will not be tolerated. Coal-fired power plants peaked at 314 gigawatts of electricity in 2011, according to the U.S. Energy Information Administration. While AEP has made a major effort to pare down its reliance on coal powerkeeping with ambitions it announced in September 2019that it would seek to go net-zero by 2050as of June 30, the AEP system held 12.1 GW of coal-fired capacity, which is still nearly half its total capacity of 24.7 GW. However, coal plants are also increasingly uneconomic compared to alternatives in some places, and at the same time, increased scrutiny on sustainability is driving corporate decisions to retire more coal. Have the latest local news delivered every afternoon so you don't miss out on updates. "It's incredibly difficult for many of these plants to compete with the new generation coming from advanced combined cycle plants for natural gas or some of the new utility-scale solar," said Brian Lego, an economic forecaster at West Virginia University's Bureau of Business and Economic Research. "The coal industry has always kept our people in the dark, and I don't look for it to change. After negotiating various components of the request, the two parties decided that Appalachian Power would study what would happen if the two plants were retired and the company replaced their output with other sources. A report published by the National Bureau of Economic Research shows that the John Amos, Mountaineer and Mitchell plants will no longer be economical to operate in five years. Theyve also embraced renewables. In that report, the examiner recommended that the SCC should approve only recovery of CCR-related costs. Twenty-eight percent of active coal-fired power plants are set to be retired by 2035. Choose wisely! Our next steps will be to evaluate our options in light of those orders, determine the best path forward to meet the resource needs in each state, and return to the commissions if necessary for consideration of our updated costs and plans, a spokesperson said. That fee would pay for wastewater treatment projects that are required to keep the plants in operation through 2040. The organization supports technologies like carbon capture and storage, even though it may take time before that is developed and deployed at a larger scale. For more than four decades, the plant, now Appalachian. And even 2030 is feeling optimistic at this point, for sure.. Former acting EPA general counsel Kevin Minoli calls West Virginia's Supreme Court challenge of EPA authority to regulate greenhouse gas emissions at power plants one of the most significant environmental cases in U.S. history. However, without the John Amos Power Plant generating 2,900 megawatts of electricity, life's simplest tasks would be much harder. Such plants are becoming more scarce as the nation retires much of its coal fleet in a transition to other forms of electricity generation.Source: S&P Global Market Intelligence. As of June 30, Appalachian Power estimated its total ELG investment c. ) balances at both plants amounted to $28 million. High 53F. Aerial image of the Mountaineer plant with groundwater testing results near ash waste. Plans include retrofitting economizer ash handling systems on Amos 1 and 2 and installing a new FGD biological treatment system with ultrafiltration. American Electric Power's coal-fired John E. Amos Power Plant in Winfield, West Virginia. The state's largest coal-fired power facility -- the John Amos plant in Winfield, West Virginia -- sits 40 miles west of Clendenin along the Kanawha River. AEP has committed to reducing its carbon dioxide emissions and obtaining more of its power from renewable resources while also divesting itself of much of its coal-powered generating fleet. Winds WSW at 10 to 20 mph. The John Amos Plant has a nameplate rating of 2,933 MW, making it the largest generating plant in the AEP system. As noted here before, the coal-fired fleet in this region is expected to reach its scheduled retirement age sometime around 2040. Appalachian Power may have used the rate process in Virginia to begin the process of accelerating its move toward natural gas and renewables at the expense of coal. Click #isupportlocal for more information on supporting our local journalists. The West Virginia Public Service Commission (WVPSC) on Aug. 4 ultimately approved cost recovery for both CCR and ELG investments at all three plantsAmos, Mountaineer, and Mitchell. content Inside and outside our model, 2040 is hard to imagine, said Scott Holladay, an associate professor of economics at the University of Tennessee. 2023 Access Intelligence, LLC - All Rights Reserved. The plant employs around 300 people with . The plants three units were completed between 1971 and 1973. When AEP has built new fossil fuel-powered plants in recent years, they have been gas burners. Curtis Tate/West Virginia Public Broadcasting Listen By 2026, half of U.S. coal plant capacity will have retired over the course of just 15 years. to approve $317 million to pay for the retrofits to keep the plants operating until 2040. Built in the 1970s, the 900-foot-tall John Amos Plant has kept the lights on for millions of customers, while employing hundreds, if not thousands, of local workers. With a nameplate rating of 2,933 MW, it is the largest utility in the AEP system. For example, NRG Energy Inc. announced June 17 that it would retire about 1,600 MW of coal capacity in the PJM Interconnection following the results of the May capacity auction. And even 2030 is feeling optimistic at this point, for sure.. "Every time it rains and storms, I'm lying awake at night. Both states commissions will consider AEPs proposal later this month. Based on already planned and announced retirements, less than half of the U.S. coal-fired power generation capacity that existed at the start of 2015 will remain online by 2035, a new S&P Global Market Intelligence analysis shows. "To allow un-elected bureaucrats just to decide under the guise of good government that's not right. The Mitchell Plant in Moundsville, the Mountaineer Plant in New Haven, and the John Amos Plant in Winfield require costly upgrades to comply with new federal environmental rules. The turn away from coal is part of AEPs long-term strategy. Appalachian Power is proposing several options including making the pollution control modifications to all three plants or closing Mitchell by 2028 and making the modifications to John Amos. A carbon tax puts a price on climate-changing greenhouse emissions, encouraging a shift toward cleaner energy. A report by West Virginia Universitys Bureau of Business and Economic Research estimated the states power plants account for $4.8 billion in direct output, $725 million in wages and $97.3 million tax in revenue. Since then, the agency has attempted to enact new limits on power plant carbon dioxide emissions, a primary driver of global warming. After negotiating various components of the request, the two parties decided that Appalachian Power would study what would happen if the two plants were retired and the company replaced their output with other sources. Buy Now. Utility customers in West Virginia, Virginia and Kentucky would pay for the cost. At Amos, Appalachian Power has proposed to modify the bottom ash handling system (to prevent discharge of bottom ash transfer water), as well as install two new ash bunkers. Don't Threaten. The John Amos Power Plant, operated by American Electric Power, sits on 400 acres along the Kanawha River in Winfield, WVa. They also support, directly and indirectly, 6,600 jobs. "I think the days of coal being a primary generation source are over," Morningstar analyst Travis Miller said. Management has assessed technology additions and retrofits to comply with the rule and the impacts of the Federal EPAs recent actions on facilities wastewater discharge permitting for FGD wastewater and bottom ash transport water. Permit modifications for affected facilities were filed in January 2021 that reflect the outcome of that assessment, AEP said. Mitchell and Amos began operating in 1971, and Mountaineer in 1980. Closing the Amos plant alone in 2028 could save $1.4 billion, the Sierra Clubs analysis found. The region's recovery from the 2016 flood -- and continued reliance on the fossil fuel economy -- illustrate the dueling human and economic stakes in West Virginia's lawsuit against the EPA. Curtis Tate/West Virginia Public Broadcasting Listen The nation got the lowest amount of electricity on record from coal in the first three months of the year. At the start of 2015, the nation's coal fleet totaled 285.6 GW of capacity, according to Market Intelligence data. State regulators are under pressure from lawmakers and coal industry supporters to prevent the plants from closing. "The only question now is the glide path and how steep it is," Godby said. At the John E. Amos Power Plant, we helped AEP develop an innovative design that would cover, close, and restore the existing 170-acre ash pond. You have permission to edit this article. Chance of rain 90%. For now, that would mean natural gas. An email message containing instructions on how to reset your password has been sent to the e-mail address listed on your account. According to direct testimony submitted to the SCC earlier this year by. We told the Virginia SCC that making the environmental investments for both CCR and ELG compliance at Amos and Mountaineer plants is more beneficial for customers than making only the CCR compliance investments, retiring the plants in 2028, and finding replacement capacity, she said. A carbon tax puts a price on climate-changing greenhouse emissions, encouraging a shift toward cleaner energy. Carbon Capture The. Appalachian Power is supposed to report the results of its study before the end of 2022. 2 Logan, Walk-off hit by Brumfield sends No. Our next steps will be to evaluate our options in light of those orders, determine the best path forward to meet the resource needs in each state, and return to the commissions if necessary for consideration of our updated costs and plans, a spokesperson said. "We understand the energy grid is in transition, but we also believe it's critical to heighten the level of awareness about how a transition away from dispatchable resources like coal can adversely impact system reliability and resilience," Bloodworth said. Please avoid obscene, vulgar, lewd, that is degrading to another person. "While the EPA does have a narrow array of authority to act in the area of carbon emissions, it's nowhere near what the Biden administration is suggesting," said West Virginia Attorney General Patrick Morrisey, a Republican, who warns thousands of jobs, industry profits, state tax revenue, and a reliable source of electricity are on the line. An economic analysis by the Sierra Club comes to a different conclusion: closing the plants could save ratepayers hundreds of millions of dollars. The West Virginia Public Service Commission must decide in the coming weeks whether to approve an environmental compliance surcharge on electricity customers. Both plants handle part of Appalachian Powers baseload needs in Virginia and West Virginia, so their output would have to be replaced with a dependable source. Chance of rain 70%. We are required to have a certain level of capacityin other words, we must be ready to provide our customers a certain amount of power at any given time. As part of a deal to secure a rate increase in Virginia, Appalachian Power has agreed to examine what would happen if the John Amos Power Plant in Putnam County and the Mountaineer Power Plant in Mason County were taken out of service ahead of schedule. That fee would pay for wastewater treatment projects that are required to keep the plants in operation through 2040. Logan County quartet selected for North-South All Star Basketball Classic, Former Herd star Gore hired at Western Carolina, Chapmanville baseball edges Charleston Catholic, 3-2, Scotty Browning inks with Georgetown College, Tigers, Wildcats' boys and girls tennis squads compete in Cardinal Conference tourney, Chapmanville picks up road win at Tug Valley, 10-5, Logan snaps top-ranked Chapmanville's 14-game winning streak, Cooper's no-hitter propels Man to 6-0 win in rematch against AA No. Home Report Predicts 3 Coal Plants Could Close Within 5 Years. 2 Logan to 8-7 win over No. found several ash sites are leaking potentially hazardous chemicals into groundwater. Other than in their local communities, the loss of Sporn and Kanawha River were barely noticed. A carbon tax puts a price on climate-changing greenhouse emissions. Do Not Sell or Share My Personal Information. Meanwhile, the cost of wind and solar energy has plummeted. Its three power units released 10.8 million tons of earth-warming carbon dioxide last year or the equivalent of more than 2 million cars driven for a year government records show. Your Herd from Herald-Dispatch Reach Manager. The problem isn't AEP, it's within our own company, AUS. It predicts Mountaineers single unit would shut down in three years. Your purchase was successful, and you are now logged in. But while the SCC moved to approve AEPs recovery of costs related to the federal Coal Combustion and Residuals (CCR). 1 Winfield, Chapmanville picks up 7-3 road win at Scott, Chapmanville K-9 handler no longer employed with police department, Two women accuse State Trooper of kidnapping and rape in Logan, Man baseball rolls visiting Tug Valley 12-0, Messer throws no-hitter, Charleston attorney wins case against My Pillow founder, who's been ordered to pay $5M to contest winner. The plant operates three landfills and six unlined surface impoundments that were commissioned in 1971. News & Technology for the Global Energy Industry. Both are owned and operated by Appalachian Power, a subsidiary of American Electric Power, and both burn coal to generate electricity. John E. Amos Power Plant is a three-unit coal-fired power plant owned and operated by Appalachian Power. The John Amos power plant in Mason County isn't set to close anytime soon, but many U.S. coal plants are. As part of a deal to secure a rate increase in Virginia, Appalachian Power has agreed to examine what would happen if the John Amos Power Plant in Putnam County and the Mountaineer Power Plant in Mason County were taken out of service ahead of schedule. . Aerial image of the Mitchell plant with groundwater testing results near ash waste. We will take into consideration the three commission orders and the many impacts of all possible options. AEP and all contractors that work within the plant are very nice and Cordial. AEP shut down the Conesville Plant in Coshocton, A 2018 investigation by the Ohio Valley ReSource and partner station WFPL. Keep it Clean. The cost of wind and solar have plummeted in recent years. Your e-mail address will be used to confirm your account. We will take into consideration the three commission orders and the many impacts of all possible options. "Coal and solar have to coexist here.". It sold the Gavin plant at Cheshire, Ohio, a few years ago, and it has announced plans to reduce output at its large plant at Rockport, Indiana. Bloodworth said goals such as the Biden administration's aim for a carbon-free grid by 2035 are "neither achievable nor realistic." The Public Service Commission of West Virginia would have a say, and undoubtedly the governor and the Legislature would step in. Communities in the heart of Appalachia are some of the most vulnerable in the country to the impacts of a warming global climate, according to government scientists, and among the most resistant to government-led efforts to blunt the impacts. Appalachian Power, the AEP subsidiary that owns the two plants, warned in its last 10-Q filing, dated July 22, that denial of ELG investment recovery could cause the company to close the generating facilities by 2028more than a decade earlier than their planned retirement in 2040. Create a password that only you will remember. A variety of resources for professional growth. WV Educational Broadcasting Authority, the WVPB Foundation, and the Friends of WVPB. The EPA is proposing to bring back the 2012 Mercury and Air Toxics Standards rules that were first implemented during the Obama administration. The early and simultaneous retirement of nearly two-thirds of the companys capacity would expose the company and our customers to an imprudent level of uncertainty and market volatility, she said. We need to keep that plant open, Del. Coal ash disposal sites around the region pose environmental and health risks. Experts say strict limits to EPA authority could also make it impossible to cut U.S. carbon emissions in half by 2030 and entirely phase out fossil fuels like coal by 2050 -- top White House objectives. She says the legal fight over coal draws attention from a need to diversify the state's energy portfolio. Still, power customers will have to pay those costs whenever the plants shut down. Retiring a large power plant requires the approval of several parties. It was named after a Democratic National Committeeman from West Virginia. I know it can happen, but I just don't think it will happen again.". One megawatt is enough to power roughly 50,000 homes. "Our people want to have clean air. We won't share it with anyone else. It is owned and operated by Appalachian Power Company (APCO). Its impact on the. This is the name that will be displayed next to your photo for comments, blog posts, and more. Appalachian Power's John E. Amos Plant uses about 6 to 7 million tons of coal each year.
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