June 9, 2011
AEP says EPA rule would move up plant closings
Lawrence Pierce
AEP says it may have to move up the date for closing the Kanawha River Plant near Glasgow from 2020 to 2014.
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CHARLESTON, W.Va. -- American Electric Power said Thursday it may move up the closings of three aging coal-fired power stations in West Virginia if federal regulators finalize new rules aimed at reducing illnesses and deaths caused by plant emissions.

AEP said the U.S. Environmental Protection Agency proposal could force it to retire the Kanawha River Plant in Glasgow, the Phillip Sporn Plant in New Haven and the Kammer Plant near Moundsville by Dec. 31, 2014.

West Virginia political leaders seized on the AEP announcement to further their criticism of what they call the Obama administration's "war on coal," with Sen. Joe Manchin, Rep. Shelley Moore Capito and acting Gov. Earl Ray Tomblin all issuing statements blasting the EPA proposal.

But AEP officials pointed out that the three West Virginia plants -- all of them more than 50 years old -- were already slated to be closed between 2017 and 2020.

"These units are already slated for retirement anyway, so we don't want to overstate this," said Jeri Matheney, a spokeswoman for AEP's Appalachian Power subsidiary in Charleston.

And while about 240 jobs could be lost at the three West Virginia plants, Matheney said many of the employees in those posts could take retirement before 2014 or be transferred to other positions within AEP. Currently, 62 people work at the Kanawha River Plant, 120 at Phillip Sporn and 60 at Kammer, Matheney said.

The West Virginia plants are among five complete plant closures and six partial closures and retrofits announced by AEP as part of its plan to meet the EPA emissions reductions proposed in March.

In all, AEP would retire 6,000 megawatts of coal-fired power generation, roughly equivalent to two John Amos Power Plants. The company also plans to upgrade or install new emission controls on another 10,100 megawatts of plants.

AEP said it would also switch about 1,000 megawatts of generation from coal to natural gas, and build another 1,200 megawatts of new natural gas-fired plants.

"We support regulations that achieve long-term environmental benefits while protecting customers, the economy and the reliability of the electric grid, but the cumulative impacts of the EPA's current regulatory path have been vastly underestimated, particularly in Midwest states dependent on coal to fuel their economies," said Michael G. Morris, chairman of AEP.

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