Kentucky Power has reached a settlement agreement with the state’s industrial customers over a power plant in West Virginia. Not everyone is on board, though.
The settling parties want the Kentucky Public Service Commission to approve Kentucky Power’s proposal to preserve its half of the Mitchell plant beyond 2028.
Kentucky Power and the Kentucky Industrial Users Coalition signed the agreement on the future of the Mitchell power plant. The office of Kentucky Attorney General Russell Coleman did not sign the agreement but will not oppose it. The Sierra Club did not agree to the settlement.
The Sierra Club’s expert witness, Devi Glick, filed written testimony earlier this month that investing in Mitchell is not in the best interest of electricity customers.
Sarah Nusbaum, a spokeswoman for Kentucky Power, says the settling parties agree that Mitchell is the best option.
Kentucky Power serves about 165,000 customers in 20 eastern Kentucky counties. The company is also seeking a 15% rate increase.
Glick testified that the Mitchell investment would not be the best choice for customers, in part because one of its concrete cooling towers requires repair or replacement.
She said the plant could be converted from coal to natural gas at a lower cost.
In a rebuttal filed the same day as the settlement agreement, company witness Alex Vaughan testified that Mitchell would still need the cooling tower if it converted to gas, in part or whole.
Read the rest at WEKU.
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