Coal

A decision by the Environmental Protection Agency (EPA) to impose new pollution limits on three coal-fired power plants in Arizona on Friday drew criticism from state officials, who said that the costly measure, which overrides the state’s regional haze plan, is designed to protect visibility, not public health.

FuelCell Energy Inc. on Monday announced an order from its South Korean partner, POSCO Energy, for 121.8 MW of fuel cell kits and services to be manufactured at the FuelCell Energy production facility in Torrington, Conn. The company said this represents the largest order for both its company and the fuel cell industry.

Natural gas–fired generation gave up some ground to coal during the third quarter, and coal producers are optimistic that higher natural gas prices will benefit coal, especially coal sourced from the Powder River Basin in Wyoming. Even so, at least one Midwest utility expects natural gas to power what could be as much as 1,500 MW of new generating capacity it may add over the next several years.

The Clean Water Act Section 316(b) rule changes regarding cooling water intake structures that are expected next year could affect up to 428 power plants, representing 1,156 individual units, according to the Electric Power Research Institute. Depending on plant size and the complexity of the retrofit project, retrofit capital costs could range from very low to over $500 million for large nuclear plants. The power industry total cost is projected to be over $100 billion.

Four coal and two oil generating units at two of the oldest power plants owned by Santee Cooper are to be retired. South Carolina’s state-owned utility said last week that the decision was reached by its board of directors after considering generation resource needs and the cost of complying with new environmental regulations.

The Environmental Protection Agency (EPA) on Friday appealed a federal court decision handed down on Aug. 21 that vacated the agency’s July 2011–finalized Cross-State Air Pollution Rule (CSAPR) because, the court said, it violated federal law. The EPA is now seeking a rehearing en banc that would involve all eight judges that serve at the U.S. Court of Appeals for the D.C. Circuit.

An update to a 2010 analysis on the market and regulatory outlook facing coal-fired power plants in the U.S. from economists at The Brattle Group forsees that 59 GW to 77 GW of coal plant capacity are likely to retire over the next five years—about 25 GW more than previously estimated—due primarily to lower expected natural gas prices.

A settlement proposed by New Mexico’s Environment Department on Wednesday calls for retiring two units at the 1,800-MW San Juan Generating Station located 15 miles west of Farmington, N.M., by December 2017 and installing selective noncatalytic reduction, a less-costly air emissions control technology than one proposed by the U.S. Environmental Protection Agency (EPA), on the other two units, 3 and 4. Plant owner PNM Resources  said in statement that it was hopeful the state’s proposal would resolve a long-standing dispute with the EPA to address regional haze.

On Oct. 1, GenOn shuttered its 482-MW coal-fired Potomac River Generating Station as Progress Energy Carolinas retired three coal-fired units—two at the 316-MW Cape Fear plant near Moncure, N.C., and the 177-MW H.B. Robinson Unit 1 near Hartsville, S.C. Utah’s Rocky Mountain Power, a unit of PacifiCorp, meanwhile reportedly warned employees and public officials that it may close its 190-MW coal-fired Carbon Power Plant in northeastern Utah over the next few years because it has no room to install air emissions controls to make it compliant with federal rules by 2015.

Since the Northside Generating Station’s two repowered units were placed into service in 2002, a series of modifications and repairs have been undertaken to make its two circulating fluidized bed boiler plants reliable. The two chief problems were ash agglomeration on heat transfer surfaces and poor Intrex heat exchanger performance. JEA reports these problems have been permanently resolved, and data shows the two units have joined the top tier of reliable fossil plants.