‘Clean coal’ initiative costs a bigger blow than expected to city utility

‘Clean coal’ initiative costs a bigger blow than expected to city utility

news@theeveningtimes.com

The Environmental Protection Agency played brinkmanship with demands for clean air scrubbers at White Bluff and Independence coal plants, now costing West Memphis Utilities nearly $700,000.

The local utility owns one percent of the coal fired plants and commissioners voted to move bond funds designated for the environmental fix into an spending account to make its proportion to the $60 million dollar compliance effort.

$190,000 had been budgeted for the annual expense, but the city’s required share came in at $694,095, more than a halfmillion dollar’s difference.

The EPA had been jockeying with coal plant providers for new emission scrubbers to improve clear views in a wide area around the plants. Ultimately the appeals process backed into the completion dates set 18 months from now. With the legalities still up in the air the plants must start installing the environmental controls now should the current EPA ultimatum stand.

Assistant Utilities Manager Todd Pedersen asked commissioners to amend the budget and outlined the federal implementation plan (FIP) for Arkansas air quality.

“The FIP covers the installation of low NOx (mononitrogen oxides NO and NO2) burners, and separated over fire air controls at both facilities,” said Pedersen. “The mandated time frame for that to be done is 18 months. In order to get it done and ready by the due date, we had to start the project. They’ll be installing these controls over the next 13 months. The cost at both facilities totals about $60 Million.”

Pedersen indicated that if a court reversed directions any unused money would come back to the company and warned that he’d be back to ask for even more money if the new regulations stands. “We have appealed with the EPA but because of the short time frame we have to start the project,” said Pedersen. “The project could be halted but we have to start the project.

“The appeal does not stop the timeline,” noted City Attorney David Peeples.

West Memphis Utilities has the money on hand from a $9 million bond for environmental controls on electrical projects. Voters approved it in 2009 according to Pedersen.

“This is what it is for,” said Pedersen.

West Memphis expected to pay $ 694,095 to meet environmental regulations

By John Rech