Will West Virginians Pay The Full Cost To Keep 3 Coal Plants Alive?

West Virginia electric power customers may be asked to pay more to keep three coal-burning power plants open longer, but not everyone is on board.

On Friday, the West Virginia Public Service Commission will consider whether customers of Appalachian Power and Wheeling Power will pay the full cost of upgrades to the John Amos, Mitchell and Mountaineer power plants.

The three plants need changes to their wastewater treatment systems. The changes would allow the plants to remain in operation through 2040. Without them, the plants would be required to close by the end of 2028.

That’s where it gets complicated. The Mitchell plant is half owned by Wheeling Power and Kentucky Power. Kentucky utility regulators rejected the company’s request to upgrade the plant.

Roughly 60% of the power the Amos and Mountaineer plants generate goes to customers in Virginia. The State Corporation Commission there rejected the upgrades for those plants as well.

That raises a difficult question. Is it fair for customers in those states to receive electricity from power plants upgraded entirely at the expense of West Virginians?

Emmett Pepper, policy director for Energy Efficient West Virginia, says no.

“It’s not fair for West Virginia ratepayers to have to pay for a power plant that other states are getting power from and getting the benefit from,” he said. “It’s not fair for West Virginians to pay for something that’s for Kentuckians and Virginians.”

Pepper’s group isn’t alone. The West Virginia Consumer Advocate Division opposes the plan. So do groups representing the state’s largest industrial customers of electricity.

Rebecca McPhail, president of the West Virginia Manufacturers Association, urged the commission in a letter to reject the plan. She called the proposal “counterproductive” and wrote that higher electric power costs would make the state’s manufacturing base “less competitive.”

Pepper’s group calculated that a 3.3% rate increase to pay for the projects at the three plants would add $4.50 a month to the average residential customer’s bill.

It may not stop there. Changes in the ownership structure of the plants could add more costs. If Wheeling Power were to purchase Kentucky Power’s half ownership of the Mitchell Plant, that could cost hundreds of millions of dollars. Again, consumers would pay.

Pepper said he’s seen that happen before.

“In the past, that cost us a lot of money,” he said. “That cost us a lot of rate increases.”

Appalachian Power and Wheeling Power have said they need an answer from the Public Service Commission by Oct. 13. If the companies decide to pull the plug on the wastewater projects and shut the plants down in 2028, they have to let state officials know by then.

Friday’s hearing will give stakeholders, and the public, a chance to let the commissioners know what price they’re willing to pay to keep the electricity flowing from the three power plants. Even if the answer is not one penny more.

More information on how to watch Friday’s hearing and how to submit a comment.

Coal Keeps The Lights On, For Now, At The Mountaineer Power Plant

The first thing that strikes you about the Mountaineer power plant is its sheer size.

Its stacks rise more than 1,000 feet over the Ohio River floodplain, almost as tall as the Empire State Building. Its massive cooling tower can hold 8.5 million gallons of water.

A 20-story building houses its 1,330-megawatt generator. It produces enough electricity to power a city of a million people. Or more than half of West Virginia.

Mountaineer has been generating electric power since Jimmy Carter was president.

But due to changing environmental regulations and the competition from natural gas and renewable energy, time could be running out.

The plant requires upgrades to its wastewater treatment system. Under federal rules, it can operate until 2040 with the upgrades. Without them, it has to close by the end of 2028.

Conflicting decisions between utility regulators in two states complicate the plan to extend the plant’s life. West Virginia’s Public Service Commission approved the plan.

Virginia’s Corporation Commission, however, rejected it.

The regulatory snag shows the limits of what supporters of West Virginia’s coal plants can do to keep them from shutting down as the country moves away from fossil fuels.

‘Closing of a Culture’

Shutting down the plant would deliver an economic blow to Mason County. It employs more than 150 workers and supports other jobs in the community. Local schools depend on tax revenue from the plant.

Upstream, coal mines in northern West Virginia supply the plant with its fuel, which is delivered by barge. Those jobs are at stake, too.

“This is closing of a culture, this is closing of a community,” said Rick Altman of Wheeling, who’s been a coal miner for 44 years. “This is closing of a generational lifestyle that has really fueled this country.”

When Mountaineer opened, coal was the nation’s dominant source of electric power. Four decades later, natural gas dominates and renewables are catching up.

Coal plants like Mountaineer are becoming more expensive to operate. American Electric Power, the parent company of Appalachian Power, has two other coal-fired plants in West Virginia: the John Amos plant in Putnam County and the Mitchell plant in Marshall County. They face the same pressures.

The company has set a goal of becoming 80% carbon-free by 2030. Reaching that goal will require more coal plants to shut down.

President Joe Biden wants the nation’s power supply to become carbon-neutral in 2035. That’s five years before the West Virginia plants are scheduled to shut down if they are upgraded.

The United Nations Intergovernmental Panel on Climate Change warns that drastic action is necessary to curb the most devastating impacts of global warming — which in the Ohio Valley would mean less predictable weather, more flooding, and second-hand impact from coastal displacement and global disruptions.

One path forward: Replacing the coal plants with carbon-free sources of energy.

Gypsum and Molasses

It isn’t only the jobs at the power plants, the coal mines or the barge companies on the line. The plant produces and consumes other materials that contribute to the local economy.

Fly ash is collected and hauled off by the truckload. It gets recycled in concrete and asphalt.

The exhaust is filtered through a huge drum that spins with powdered limestone and steel balls.

“We mix limestone and water inside of that drum that’s got them rotating balls in it,” said Brett Watt, the plant’s senior maintenance superintendent. “And it crushes this limestone up to where it’s a slurry. It’s actually finer than the coal is.”

That removes sulfur dioxide and produces gypsum, which is used to make the drywall.

Probably the strangest part of the process involves molasses. Yes, molasses.

It’s used to grow bacteria that eat mercury and selenium.

“We bring in tanker trucks of molasses to feed the bacteria,” said Brian Mabe, the plant manager. “There’s, you know, a living organism that removes that.”

The plant’s closure would be bad news for the drywall plant and the molasses maker.

Curtis Tate
/
WVPB
The stacks at the Mountaineer power plant in Mason County, West Virginia

Fossil Fuel Allies

One thing the plant, and most like it, can’t remove from the exhaust stream is carbon dioxide.

For several years, Mountaineer participated in a pilot program, funded by the U.S. Department of Energy, that took some of the carbon and injected it deep underground.

Carbon-capture technology has not been adopted on a mass scale. It’s expensive.

Still, West Virginia Sens. Joe Manchin and Shelley Moore Capito have included more funding to develop carbon capture and storage in a big infrastructure bill that just passed the Senate.

West Virginia lawmakers have made an effort to bolster the state’s remaining coal-fired power plants. This past spring, they passed a bill that makes it harder for coal plants to shut down.

Gov. Jim Justice has also taken steps to save the state’s coal plants. He reactivated the dormant West Virginia Public Energy Authority and appointed fossil fuel allies to serve on it and find ways to keep the plants from closing.

One of them was Chris Hamilton, president of the West Virginia Coal Association.

“We know these plants won’t run forever,” Hamilton said. “You know, we’re looking for about a 20 year run. Maybe a couple of decades.”

Justice also appointed the former top coal lobbyist in West Virginia to the Public Service Commission, which regulates coal plants. Justice himself owns companies that mine coal.

The federal government is poised to spend billions of dollars to reclaim abandoned mines in Appalachia, and that could help communities that are losing jobs.

Altman started working in the mines when he was 19, and he said he’s heard the promises before. As more power plants and coal mines close, he said, the government needs to step up.

“Don’t just have a plan and say, ‘don’t you worry.’ I’m 63 years old. I got laid off the first time in 1979. You know what I was told by the government? ‘Don’t worry about this, we got you covered. We’re going to educate you, we’re gonna do this.’ I’m still waiting for that to happen. I’m truly waiting for that to happen.”

Union Carbide Faces New Lawsuit Over Water Pollution

An attorney for the Courtland Company has filed a new complaint in U.S. district court in Charleston over water pollution from an industrial landfill that Union Carbide owns.

In his fourth lawsuit since 2018, Charleston attorney Michael Callaghan alleges that Union Carbide operated the landfill from the 1950s to the 1980s and that it was not designed to contain toxic materials.

The site is adjacent to a property Courtland owns, and the lawsuits have alleged contamination of its property from the Union Carbide landfill.

Expert testing of Davis Creek, which runs along both properties, has revealed high levels of arsenic, chromium, cadmium, lead, selenium, mercury and other toxic substances.

According to the complaint, the site was used to dispose of coal ash and the byproducts of chemical manufacturing and wastewater treatment. It was never designed to keep the substances from leaking into nearby groundwater and streams, the complaint says.

The lawsuit seeks to force Union Carbide to clean up the site and pay civil penalties under provisions of the federal Clean Water Act.

No enforcement action has yet been taken by the U.S. Environmental Protection Agency or the West Virginia Department of Environmental Protection.

In the previous lawsuit, Courtland sought a temporary restraining order to force Union Carbide to immediately take steps to clean up the site.

Union Carbide argued that the state agency should oversee the case, not federal regulators.

In his April decision, Senior Judge John Copenhaver agreed with Union Carbide.

State officials last October issued a violation against Union Carbide under the West Virginia Water Pollution Control Act based on evidence that the landfill was polluting the streams.

Union Carbide is a subsidiary of Dow Chemical.

Sept. 11 Postcards: Memories Of That Fateful Day

A Brother Worried For A Teen Sister Working at the U.S. Capitol

By Curtis Tate

On the crystal clear day of Sept. 11, 2001, I was hardly on the front lines of the nation’s pain and sorrow. Yet I still felt it.

I was a 22-year-old journalism student at the University of Kentucky, after a failed attempt at another degree at another university. Because of a late-night shift on my part-time retail job, I didn’t even know what had happened until I found out why my midday class was canceled.

I did, however, worry instantly about my 16-year-old sister.

Melanie was a page in the House of Representatives in Washington. On an ordinary Tuesday, she would have been at her page school in the Library of Congress before dawn. And then by mid-morning, performing her regular duties across the street at the Capitol. One of them was raising a U.S. flag above the House chamber.

It pained me that she was in harm’s way, and I wasn’t.

We’ve long believed we can thank the passengers and crew of United Flight 93 for sparing her and others at the Capitol that day. They took back the plane from the hijackers, and it crashed at a reclaimed coal mine site near Shanksville, Pennsylvania. Everyone on board was killed.

On that day, and in the days after, like many of my fellow Americans, I struggled to conceive the inconceivable. The attackers were able to hijack four commercial airliners? They were able to destroy the World Trade Center and severely damage the Pentagon? It simply made no sense.

In the intervening two decades, though, I have had to conceive a lot of inconceivable things.

We launched wars in Afghanistan and Iraq and stayed bogged down in those places for years, at a cost of thousands of American lives, trillions of dollars and our standing in the world.

A major American city, New Orleans, drowned in the aftermath of a hurricane, and that was only a preview of destructive weather events yet to come, driven by climate change.

The U.S. economy cratered, and millions of lives were shattered, because we put too much faith in the stock market, fueled by a housing boom that was really a house of cards.

We elected America’s first Black president. But we also elected someone who represented a backlash to that change.

We saw the U.S. Capitol attacked violently, not by foreign terrorists, but by fellow Americans.

In more personal terms, I never thought the U.S. Supreme Court would make it possible for me to marry my partner.

I also never thought that marriage would end in divorce, and at the worst possible time.

I never thought I’d become a reporter at the same Capitol that was spared on 9/11, only to be attacked on Jan. 6.

I never thought my sister, whose life was probably saved by the passengers and crew of Flight 93, would face a breast cancer diagnosis at age 32, and with a young child.

I never thought we’d lose her to that cancer at 34, leaving her daughter and the rest of us to move forward in a world we never thought we’d have to contemplate.

Yes, 9/11 changed all of us who are old enough to remember. We learned to conceive what we could not conceive. And that we should never take anything for granted.

Writing Stories of Heartbreak, Courage As a Reporter Working In Washington, D.C.

By Andrea Billups

I was a reporter in Washington, D.C. on 9-11. As thousands of cars drove away from the city in a frantic escape that morning, the Pentagon in smoke and flames — I drove in alone, fearing for myself and the uncertainty. Like most Americans, I was asking as I watched the giant neon signs on the Beltway urge me to stay away — what is happening here? In my lifetime, I had never known war, as it were, on my own soil.

In the years hence, I have continued to work in media and have also taught journalism at five universities. I always tell my students — one day, the news is going to write itself right up to your doorstep. So you better be ready.

Sept. 11 was such a day.

In recent years, our media has gotten much criticism — some of it deserved, a lot fomented by people who choose to get their information and form their opinions from social media.

But in the midst of this act of terror 20 years ago, I saw many of us who work in the news business rise to do the work. And do it with honor. Never was I more proud of my colleagues.

I remember my editor, Ken Hanner, who was unshakable, moving through a long day and weeks with measure and resolve. On your toughest day in a newsroom, or any job completed in crisis, you want a leader just like that. I have never forgotten how he carried himself for us all. The sky was falling but we would not.

I also remember those who shared their stories with me in the day and weeks after this tragedy. And I want to say that it remains the deepest honor, to hear people with such emotion take the time to share what happened to them with the world.

I remember most a gentleman who was inside one of those Twin Towers in NYC when the plane hit. He managed to ascend the stairs and get out. Then he walked, covered in soot, across the Brooklyn Bridge as he made his way home. He was still processing it as he talked with me, just hours after his life could have very well ended. Many of his co-workers died. It was jarring and painful, but he was one of the lucky ones. He was breathless in fear, and anguished as he came to realize how close he came to death.

I also recall a gentleman who played a university carillon. Who simply left his home that morning, climbed the tower on campus to his organ. And began to bang out every patriotic song he knew. Because it was the only thing he could do, his grief and heartbreak pouring from his fingers into his instrument. He said he played — for America.

On the fourth day after the attack — it hit me. After multiple 12-hour days. I was in the shower when the tears finally came. I was too busy reporting to allow myself that space and feeling. But it welled up and came out in deep, chest-heaving gasps. My God, the stories I heard. And told.

My God — my country.

It’s often tough. To listen and share stories of grief. But that’s the mission. Most of us consider it just that — and still believe in journalism’s dignity.

This postcard isn’t meant as a defense of media. But hopefully a reminder of all of the investigative reporting that followed the 9-11 attacks that shed light about the motive and ideology of the perpetrators. And the steps we needed to keep us all safer.

I’ll never forget everyone, from my fellow reporters to the people on the streets, who rose to the challenge and showed us in that era, what our collective mettle was all about.

It was a horrible day, filled with so much uncertainty and sadness. But 20 years later, I’m still a journalist. America is weathering a different collective storm. And I remember most how our nation in that moment on 9-11, showcased its humanity and goodness.

Evil people might have attacked us. But they could never kill our exceptional spirit, the very heartbeat that leads many from around the world to come to our shores for a taste of freedom.

I believe that indomitable spirit still lives in all of us.

Report Predicts 3 Coal Plants Could Close Within 5 Years

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.

The West Virginia Public Service Commission must decide in the coming weeks whether to approve an environmental compliance surcharge on electricity customers.

That fee would pay for wastewater treatment projects that are required to keep the plants in operation through 2040. But one of the report’s authors predicts they won’t last to the end of this decade.

“Inside and outside our model, 2040 is hard to imagine,” said Scott Holladay, an associate professor of economics at the University of Tennessee. “And even 2030 is feeling optimistic at this point, for sure.”

Holladay says his model is mostly accurate, though he noted that the model can’t know every specific circumstance surrounding each plant.

Still, Holladay’s model says one of the three units at the Amos plant should already be taken offline because it no longer operates economically. The other two would close in five years.

The model predicts one of Mitchell’s two units would close in two years, and the other in three.

It predicts Mountaineer’s single unit would shut down in three years.

Appalachian Power and Wheeling Power have told state regulators that 2028 is the earliest date the plants would close, three years after Holladay’s model forecasts they could close.

The plants are aging. Mitchell and Amos began operating in 1971, and Mountaineer in 1980.

“They’re not very efficient at turning coal into power,” Holladay said, “and new, more efficient technologies coming down the grid and kind of eating their lunch.”

Cheap, abundant natural gas has been eroding coal’s share of electric power generation for more than a decade. Meanwhile, the cost of wind and solar energy has plummeted.

The demand for electricity is flat, even factoring in the pandemic.

Appalachian Power and Wheeling Power, both subsidiaries of Ohio-based American Electric Power, have testified that upgrading the plants represents the best value for ratepayers.

Doing the work on their wastewater systems would delay the cost of retiring the plants and finding new sources of power to replace them.

Still, power customers will have to pay those costs whenever the plants shut down.

There’s also the delicate matter of what happens to the communities that depend on the plants for jobs and tax revenue, as well as the coal mines that supply them.

State regulators are under pressure from lawmakers and coal industry supporters to prevent the plants from closing. Holladay says the utilities may choose to keep them open and lose money.

“And so it’s a tough spot if you own these utilities,” he said, “so I understand why they’re struggling to think about what their options are.”

A final decision should be coming in the next several weeks.

Fate Of West Virginia Coal Plants May Rest With Virginia Regulators

Appalachian Power said it could decide to close the John Amos and Mountaineer power plants in 2028 if the Virginia Corporation Commission denies its request to make upgrades to them.

The company wants to spend $250 million on wastewater treatment projects at the coal-burning plants to bring them into compliance with federal environmental rules.

The projects would enable them to keep operating until 2040. Virginia electricity customers would pay about half the cost through a fee on their monthly bills.

Earlier this month, the commission’s senior hearing examiner recommended denying the request and said Appalachian Power should replace the plants with renewable power.

In a filing with the commission on Monday, the company pushed back against that finding, saying the wastewater treatment projects are the best value for ratepayers.

The company wrote that customers would be subject to a rate increase when the plants close, to pay for replacement capacity as well as the transmission upgrades needed to distribute it.

However, that would be true whether the plants close in 2028, 2040 or sometime in between.

West Virginia’s Public Service Commission has yet to make a decision on the wastewater treatment projects at the Amos, Mountaineer and Mitchell plants.

Earlier this month, Kentucky’s Public Service Commission denied the company’s request for similar upgrades to the Mitchell plant. Without them, the plant would have to close in 2028.

Appalachian Power and Wheeling Power want to submit additional testimony on what it would cost West Virginia utility customers to bear the entire cost of completing the Mitchell upgrades, or completing them on one of the plant’s two units. The other unit would then shut down in 2028.

Environmental and energy efficiency groups, consumer advocates and the commission’s staff oppose the companies’ request to submit the additional testimony. They say the companies should instead submit a new application to the commission or reopen the current application.

Public testimony and comments in West Virginia have favored keeping the plants in operation, but they have found few allies in Kentucky or Virginia.

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