Consumer Groups Ask Feds To Weigh In On Future Of Coal Plant

Two consumer groups want federal scrutiny over a deal to save a coal-burning power plant in northern West Virginia.

The Citizen Action Group and Energy Efficient West Virginia have asked the Federal Energy Regulatory Commission to weigh in on the future of the Mitchell plant.

The plant requires a costly wastewater treatment upgrade to operate beyond 2028. Under the current plan, West Virginia utility customers will pay for it.

The two West Virginia groups want the commission to examine whether that is in the best interest of ratepayers.

The groups argue that American Electric Power has not demonstrated that it needs all of Mitchell’s capacity or justified the cost to ratepayers.

The plant, in Marshall County, is half owned by Wheeling Power and Kentucky Power, both subsidiaries of AEP. The company is in the process of selling Kentucky Power.

Last year, Kentucky regulators rejected a plan for Kentucky Power customers to contribute to the Mitchell upgrades.

State Eligible For $55 Million To Cap Orphaned Oil, Gas Wells, Feds Say

West Virginia is getting some federal help to clean up abandoned oil and gas wells.

The U.S. Department of the Interior on Monday said the state is eligible for up to $55 million from last year’s bipartisan infrastructure law.

West Virginia has more than 4,000 documented abandoned oil and gas wells, but there are likely many more.

Uncapped wells contaminate soil and groundwater and release methane into the atmosphere. Methane is a greenhouse gas that’s 25 times more potent than carbon dioxide.

The state Department of Environmental Protection is charged with identifying the sites, but the program is understaffed.

The initial round of federal funding will help DEP boost staffing. The Interior Department will issue guidance in the coming weeks on applying for the grants.

Orphaned wells can be costly to fix. On average, it costs $55,000 to cap a well, usually with concrete. Depth is a major factor driving the cost.

'The Year of Babydog': Justice Touts Economy, Tourism In State Of State

Gov. Jim Justice delivered his State of the State address to the legislature Thursday evening.

Justice was supposed to deliver the speech more than two weeks ago, until he tested positive for the coronavirus.

“I’ve never really been 15 days late,” he said, joking about other times he’s been late.

Justice noted the pandemic’s continuing toll on West Virginia.

“I’d like you to all stand and us bow in a moment of prayer,” he said. “We have now lost 5,697 people.”

Otherwise, the governor had mostly positive things to say in his fourth State of the State.

He highlighted the economic development news of recent weeks, and the state’s low unemployment rate.

Justice boasted about the state landing three major employers, including an electric bus manufacturer and a steelmaker.

“You know they went fishing, did they not?” Justice said of his economic development team. “And they caught some big, big, big fish.”

After lawmakers approved a large incentive package, Nucor agreed to bring a steel plant to Mason County, and hundreds of jobs with it.

“And along came Moby Dick, and boom, we got it,” he said. “We absolutely have so many things to be thankful for, but we’ve got Nucor in West Virginia right now.

Justice said the state’s deficit is gone, replaced by a $57 million positive balance.

Still, his budget request is basically flat. He called on lawmakers to enact a 5 percent pay increase for state employees.

Justice praised the state for increasing its focus on tourism and attracting new residents.

“I’ve said, you know, any frog that’s not proud of his pond isn’t much of a frog,” he said. “And forever, forever, we must not have been real proud of our own pond.”

He called on lawmakers to create a Build West Virginia tax credit to encourage the construction of more housing.

Turning to education, Justice said he wants the state to cover the cost of college classes for high school students. He also wants to make computer programming and coding classes mandatory in high school.

Justice touted his Roads to Prosperity project, which has repaired tens of thousands of miles of highways statewide.

“By God a living, we’re gonna run out of miles,” he said.

The governor encouraged the state to tackle yet another infrastructure challenge: connecting every resident with broadband.

Justice ended his remarks by bringing Babydog into the chamber, a cherished member of the first family and the symbol of the governor’s vaccination campaign.

“This has been the year of Babydog, hasn’t it?” he said.

Senate Passes Bill Targeting Banks That Shun Fossil Fuels

The West Virginia Senate advanced a bill that targets banks that shun fossil fuel companies.

Senate Bill 262 would give Treasurer Riley Moore the power to terminate contracts with financial institutions that avoid investments in coal, oil and gas.

The chamber approved the bill Thursday by a vote of 31-2.

Supporters said the bill would help the state’s fossil fuel producers, particularly coal companies.

“They’re struggling to receive the financial means to do business,” said Sen. Mark Maynard, R-Wayne. “This is just one more way to help them out.”

Sen. Owen Brown, D-Ohio, was one of only two no votes on the bill.

“I see this as government getting in the way of business, picking and choosing,” he said.

The bill would only apply to financial institutions that have contracts with the treasurer’s office.

It would not affect funds managed by the state Board of Treasury Investments, public employee pensions or the SMART 529 college savings plan.

Senate Approves Bill To Backstop State Mine Reclamation Fund

The West Virginia Senate has passed a bill to address the state’s mine reclamation liabilities.

SB 1 passed in the chamber unanimously on Wednesday and now goes to the House of Delegates.

The bill establishes a mining mutual insurance company. The company would sell bonds for mine reclamation and serve as a backstop to the existing Special Reclamation Fund.

That fund kicks in when coal companies can’t meet their reclamation obligations, due to bankruptcy or a decline in coal production.

Senate President Craig Blair, R-Berkeley, warned that the need could reach hundreds of millions, or billions of dollars and overwhelm the fund.

As he explained to the Senate Finance Committee, that’s why he sponsored the bill.

“My confidence in this bill is so strong. I don’t sponsor bills,” Blair said. “I’m making an exception this year.”

The bill provides for $50 million in seed money, which would be repaid. The money wouldn’t come from the Special Reclamation Fund.

West Virginia Senate Votes To End Ban On Nuclear Power

A bill to lift the ban on nuclear power in West Virginia passed the Senate on Tuesday.

Lawmakers voted 24 to 7 to end the ban. West Virginia is one of 13 states that restricts the construction of nuclear power facilities.

The ban was enacted more than 25 years ago at a time when few lawmakers supported any form of energy other than coal.

But as Sen. Mike Woelfel, D-Cabell, put it, times have changed.

“I don’t know what the thinking was. I can guess what the thinking was in ‘96,” he said. “But we can’t afford to be protective of any industry at this point.”

Woelfel and other senators noted that Nucor, the steelmaker that is planning to build a plant in Mason County, questioned the ban on nuclear power.

The bill now goes to the House of Delegates.

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