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Prairie State Officials Say Emissions Restrictions Would Increase Costs for Consumers: Power Plant is Under Construction Outside Lively Grove
Wednesday, October 14, 2009 12:52 PM


(Source: Belleville News-Democrat (Belleville, Ill.))trackingBy Will Buss, Belleville News-Democrat, Ill.

Oct. 14--Although the coal-powered Prairie State Energy Campus under construction outside Lively Grove will include the latest carbon dioxide-restricting technology, proposed federal legislation could place more restrictions on emissions at the plant.

These restrictions would increase the cost of compliance and increase consumers' power bills, according to Prairie State officials.

Sen. John Kerry, D-Mass., one of the sponsors of the legislation, said the legislation has major consumer protections built in, according to a statement on his Web site.

Construction of the $4 billion, 1,600-megawatt power plant and coal mine has been under way for the past year. When completed in 2011, it will supply power to residents in nine states.

But a bill that sits before lawmakers in Washington, D.C., proposes a 15 percent further reduction in emissions. The federal climate bill, sponsored by Kerry and Sen. Barbara Boxer, D-Calif., is an attempt to make changes to a similar bill sponsored by Rep. Henry Waxman, D-Calif., and Edward Markey, D-Mass., that passed the House in June.

The Kerry-Boxer bill calls to further reduce emission targets while keeping the same timetable that was in the Waxman-Markey bill. The House bill proposes 17 percent reductions by 2020, while the Kerry-Boxer bill pushes for 20 percent reduction by that time. The Obama administration has proposed a 14 percent reduction.

According to a letter sent Aug. 17 to legislators from Prairie State Generating Co. LLC President and Chief Executive Officer Peter DeQuattro, both bills would have a devastating impact on the Washington County plan. DeQuattro said the Kerry-Boxer bill places "unrealistic reduction targets" and "insufficient time to develop the program," which would be a "recipe for economic disaster."

He said the Waxman-Markey bill carries an estimated price tag that cost that nation's power plants more than $3 trillion in the first 20 years, and the Kerry-Boxer bill would be more costly.

He also said it is too ambitious and moving too quickly for everyone involved to understand or regulatory bodies to provide opportunity for public comment needed to successfully and fairly implement the bill.

Sheri Bilderback, manager of public relations for the Prairie State Generating Co., said if this bill passes, the 2.5 million families who will be served by the Prairie State Energy Campus could witness steeper utility bills. Prairie State Energy Campus is owned by a consortium of nine owners, including eight nonprofit municipal power companies. Any added cost would have to be passed on to consumers.




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