EPA Foes Vow To Block Power Plant Rules. It May Not Matter

Regardless of whether the rule stands or falls, the standards it sets could happen anyway.

The U.S. Environmental Protection Agency issued its final rule to limit carbon dioxide emissions from power plants Thursday, and the reaction from state officials was swift.

West Virginia Attorney General Patrick Morrisey said he’d take the case to court. Republican U.S. Sen. Shelley Moore Capito said she’d introduce a repeal resolution in the Senate. Democrat Joe Manchin, who’s not running for re-election, said he’d support her measure.

Regardless of whether the rule stands or falls, the standards it sets could happen anyway.

Morrisey was successful in his bid to block President Barack Obama’s Clean Power Plan. The U.S. Supreme Court sided with him in West Virginia v EPA two years ago.

The policy never took effect. But as Amanda Levin, director of policy analysis for the Natural Resources Defense Council, points out, the goals it set were met, and earlier than planned.

“That was also a rule at that time, there were concerns about whether or not the power sector would be able to achieve it, and it ended up achieving those standards 11 years early, even though the rule was stayed,” she said.

Now, as then, critics of the rules, including some in the electric power sector, say they can’t be achieved. Manchin points to the 2021 winter storm in Texas that caused deadly power outages.

“We saw what happened in Texas, how many people’s lives were lost, how much was disrupted in the economy, went to heck in a handbasket down there when their gas lines froze up.” he said.

The failures in Texas, and more recently in the eastern United States in late 2022, were mostly of fossil fuel infrastructure, especially natural gas. Renewables and battery storage helped hold the Texas power grid through last summer’s heat.

Levin says the new EPA rules come at a time when electric utilities are rapidly building wind, solar and battery storage. They’ve already surpassed coal and even nuclear.

“Clean energy sources are now the cheapest and fastest growing source of new power generation,” she said.

Even West Virginia is building more solar and will soon begin building storage batteries.

Mon Power activated the largest solar facility in the state in January in Monongalia County and is building another one in Harrison County.

Form Energy is building a long-duration storage battery plant in Weirton. Other companies coming to West Virginia, including steelmaker Nucor, wanted access to renewable power.

Phil Moye, a spokesman for Appalachian Power, which operates three coal plants in West Virginia, says the company is looking at the EPA rules to see how they affect plant operations and future investments.

“The development of new dispatchable generation resources and storage technologies will be critical in determining how quickly the industry can meet the requirements of the new rules,” he said.

Appalachian Power is an underwriter of West Virginia Public Broadcasting.

Electricity Remains Off For Thousands Following Tuesday’s Storm

As of Wednesday afternoon, more than 76,000 Appalachian Power customers were still waiting for their power to be restored.

Tens of thousands of Appalachian Power customers remain without electricity after Tuesday’s storm.

As of Wednesday afternoon, more than 76,000 Appalachian Power customers were still waiting for their power to be restored.

An update from the company on Wednesday morning indicated most customers in four counties – Boone, Logan, Mingo and Raleigh – could expect to have their power back by 11 p.m. Wednesday.

It also said most customers in Cabell, Clay, Fayette, Greenbrier, Jackson, Kanawha, Lincoln, Mason, Nicholas, Putnam, Roane and Wayne counties could expect restoration by 11 p.m. Thursday.

More than 2,200 workers are part of that effort, the utility said, including 1,300 line workers from several surrounding states.

They’re dealing with downed trees, broken or damaged poles and transformers, and wires on the ground.

Customers can check their outage status, view an outage map, report an outage or sign up for outage alerts at AppalachianPower.com.

Appalachian Power is an underwriter of West Virginia Public Broadcasting.

State Coal Plants Meet A New EPA Standard, Except For One

The EPA proposes a revision to its Mercury and Air Toxics Standards to lower emissions of nickel, arsenic and lead from coal-burning power plants.

The U.S. Environmental Protection Agency has proposed stricter standards on non-mercury metal pollution, and one West Virginia power plant may not meet the new requirements.

The EPA proposes a revision to its Mercury and Air Toxics Standards to lower emissions of nickel, arsenic and lead from coal-burning power plants.

According to the agency, most West Virginia power plants can meet the new standard. However, the Mon Power Harrison Power Station in Harrison County may have to be upgraded.

The updated rule is under interagency review, according to the EPA. When implemented, power plant operators will have three to four years to comply.

Hannah Catlett, a spokeswoman for Mon Power, said the company reviews all new and proposed rules for operational impacts.

“As proposed, we do not currently believe that this rule change will have a material impact to the operations of the Harrison Station,” she said.

The original Mercury and Air Toxics rule, issued in 2012, resulted in the retirement of numerous older coal-burning power plants in Appalachia.

Those included Appalachian Power’s Philip Sporn plant in Mason County, the Kanawha River plant in Kanawha County and the Kammer plant in Marshall County.

The EPA estimates the original rule led to a 90 percent reduction in mercury emissions from coal plants by 2021. 

The revised rule would reduce filterable particulate matter, including non-mercury metals, by 67 percent.

According to the agency, emissions of mercury and non-mercury metals can cause fatal heart attacks, cancer and developmental delays in children.

Tiny Homes, The Water Crisis And The State Of The State, This West Virginia Week

On this West Virginia Week, we began with interim meetings of the West Virginia Legislature and then the 2024 regular session kicked off on Wednesday along with Gov. Jim Justice’s final State of the State Address. 

On this West Virginia Week, we began with interim meetings of the West Virginia Legislature and then the 2024 regular session kicked off on Wednesday along with Gov. Jim Justice’s final State of the State Address. 

We hear about a new program to build tiny homes for kids aging out of the foster care system and a look back at the West Virginia Water Crisis. There are also stories about Appalachian Power’s request to bill customers for an extra $231 million, and we have the minority response to the governor. 

News Director Eric Douglas is our host this week. Our theme music is by Matt Jackfert.

West Virginia Week is a web-only podcast that explores the week’s biggest news in the Mountain State. It’s produced with help from Bill Lynch, Briana Heaney, Caroline MacGregor, Chris Schulz, Curtis Tate, Emily Rice, Eric Douglas, Liz McCormick, and Randy Yohe.

Learn more about West Virginia Week.

PSC Decision May Help Appalachian Power Parent Save On Taxes

American Electric Power reported Thursday to the U.S. Securities and Exchange Commission that it will record a pretax charge of $222 million for the third quarter of 2023.

Appalachian Power’s parent company will report a pretax loss as a result of a West Virginia Public Service Commission’s decision this week.

American Electric Power reported Thursday to the U.S. Securities and Exchange Commission that it will record a pretax charge of $222 million for the third quarter of 2023.

That reflects the PSC’s disallowance of $232 million of the $553 million the company sought to recover from electricity customers for fuel costs going back to 2021.

In addition to helping reduce the company’s tax burden, the loss appears to have no effect on AEP’s plan to pay its shareholders $1.9 billion in 2024, $200 million more than it paid them in 2023, according to an investor presentation this week.

Appalachian Power did say Wednesday that it planned to explore legal options for the PSC ruling. The commission’s decision Tuesday allowed the company to recover $321 million from customers. That will cost the average household $2.50 a month for 10 years.

Appalachian Power is an underwriter of West Virginia Public Broadcasting.

Appalachian Power Could Take Legal Action Against PSC, Chief Says

In a decision Tuesday, the PSC denied the recovery of $232 million of the $553 million the company sought from electricity customers to account for higher fuel and purchased power costs from 2021 to last year.

Appalachian Power said it’s exploring legal options against the West Virginia Public Service Commission (PSC).

In a decision Tuesday, the PSC denied the recovery of $232 million of the $553 million the company sought from electricity customers to account for higher fuel and purchased power costs from 2021 to last year.

The PSC did allow the recovery of $321 million over 10 years. That amounts to $2.50 a month on the average residential customer’s bill, and they will begin paying that on Sept. 1.

In a statement, Appalachian Power President and Operating Chief Aaron Walker called the commission’s ruling “disappointing and deeply troubling.”

“Through the information and facts we presented to the commission, and the relevant legal standards, it is our position that no disallowance was warranted,” Walker said. “We are studying the order in detail and will explore all legal remedies available to us.”

The PSC paid an outside consultant to review Appalachian Power’s fuel procurement and power plant management practices during the past three years. It concluded that the company did not respond quickly enough to changes in the coal market, nor did it run its power plants when it was most economical to do so.

The company countered that it had managed its operations the best it could under challenging conditions. The economic rebound in 2021 led to a surge in demand for electricity, pushing up the price of coal and natural gas.

In 2021 and 2022, Appalachian Power and other utilities found themselves short of the coal they needed to operate their plants.

The company sought approval of a settlement that would have spread the cost out over 20 years and reduced the requested amount to $503 million.

The Kanawaha County Commission was among those opposing the settlement. The commission asked the PSC to reject the company’s entire request.

Still, commissioners applauded the PSC’s decision on Wednesday.

“It sends a clear message that excessive rate hikes will not go unchallenged, and utility companies must be held accountable for their actions,” Commissioner Ben Salango said in a statement. “We will continue our fight for fair utility rates that reflect the economic realities facing our community.”

Appalachian Power is an underwriter of West Virginia Public Broadcasting.

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