Report: Electric industry can maintain reliability, reduce emissions

by AF 0817 j3 — August 20, 2010—An expert report finds that the U.S. Environmental Protection Agency (EPA) can move forward in a timely way on new air quality rules for power plant emissions to improve public health while maintaining the reliability of the nation’s power system.

The report, Ensuring a Clean, Modern Electric Generating Fleet while Maintaining Electric System Reliability, was published by M.J. Bradley & Associates and Sue Tierney and Paul Hibbard from the Analysis Group and reviews the impact on power plant operations of proposed EPA rules to reduce emissions of sulfur dioxide (SO2), nitrogen oxides (NOx), mercury, and other hazardous air pollutants.

“Power companies have already announced a number of coal unit retirements and more are expected,” said Michael Bradley, one of the lead authors of the report. “However, these will tend to be older, smaller generating units that are already reaching the end of their design life. We have identified at least 40 units that are scheduled for retirement with an average age of more than 50 years old.”

The report advises that federal and state regulators and the industry must take a proactive approach to managing the transition to a cleaner generating system. According to the report, the industry has a robust toolkit available to manage system reliability while installing pollution control equipment and retiring a portion of the generating fleet.

The report was prepared on behalf of a coalition of electric companies, including Calpine Corporation, Constellation Energy, Entergy Corporation, Exelon Corporation, NextEra Energy, National Grid, PG&E Corporation, and Public Service Enterprise Group. Together, these companies serve nearly a fifth of all U.S. electric customers.

The report is available at M.J. Bradley and Analysis Group.