Consumers Energy's clean coal power plant project worth over has been issued an air permit. The 830MW plant is expected to create 1,800 construction jobs, about 2,500 indirect jobs, and then more than 100 permanent jobs after it is operating in 2017. Overall, the plant is expected to provide a $1.2 billion economic boost to Michigan.
John Russell, president and chief operating officer of Consumers Energy, said: ” This permit moves our project a step closer to creating badly needed jobs and boosting the state’s economy. It also provides best-in-class protection for the environment with an offset for carbon dioxide emissions from the new plant and a substantial net reduction in overall emissions from our coal-fired generating fleet. It also will allow us to fully implement our balanced energy plan and provide customers with reliable, competitively priced electricity in the future.”
The new plant is part of Consumers Energy’s Balanced Energy Initiative. That comprehensive plan calls for a portfolio of diverse energy resources to meet the power needs of the utility’s 1.8 million electric customers over the next 20 years.
A recent analysis of the plan details how two-thirds of the projected new energy resources needed to serve customers through 2018 will be provided by renewable energy sources, energy efficiency and demand side management (reducing customer usage during peak periods).
The utility launched its energy efficiency initiative in July with programs to help business and residential customers save energy and save money. The company claims that in its first six months of operation this initiative has benefited more than 170,000 Michigan homes with energy-saving measures.
Consumers Energy plans to invest more than $1.2 billion to build 450MW of wind generating capacity and has secured wind development easements for more than 57,000 acres in Mason, Tuscola and Huron counties.
The air permit for the new clean coal plant includes a commitment from Consumers Energy to retire up to seven of its older, less efficient coal units after the new unit begins operating at the company’s Karn/Weadock Generating Complex, near Bay City.
Mr Russell said the plant retirements are consistent with the company’s Balanced Energy Initiative and will substantially reduce overall emissions from the company’s coal-fired fleet. Emissions are expected to be down as much as 91% for sulfur dioxide; 83% for nitrogen oxides; and 81% for mercury by 2018.
The company said that the new plant will be designed to utilize carbon capture and storage technology once it becomes commercially and economically viable. Consumers Energy has been working with Western Michigan University scientists to evaluate the suitability of the geology surrounding the plant site to store carbon dioxide. Preliminary analysis indicates that the geology surrounding the plant site looks promising for carbon sequestration.
The Balanced Energy Initiative is a key part of Consumers Energy’s strategy, which calls for investing more than $6 billion in the utility over the next five years. That includes investments in energy efficiency, renewable energy, environmental and customer service enhancements, and new power generation.