KY PSC approves KY Power purchase of part of Moundsville WV powe - WOWK 13 Charleston, Huntington WV News, Weather, Sports

KY PSC approves KY Power purchase of part of Moundsville WV power plant

Posted: Updated:
  • Local NewsLocal NewsMore>>

  • UPDATE: All Northbound lanes open on I-77 at East River Mountain Tunnel

    UPDATE: All Northbound lanes open on I-77 at East River Mountain Tunnel

    Saturday, July 26 2014 6:42 PM EDT2014-07-26 22:42:00 GMT
    All northbound lanes are back open after a tractor trailer that caught fire inside the East River Mountain Tunnel on Friday. It happened in the northbound lanes of the tunnel that divides Mercer and Bland around 2:00 Friday afternoon.
    All northbound lanes are back open after a tractor trailer that caught fire inside the East River Mountain Tunnel on Friday. It happened in the northbound lanes of the tunnel that divides Mercer and Bland around 2:00 Friday afternoon.
  • Sistersville Woman Crowned Mrs. West Virginia, Will Compete for National Title

    Sistersville Woman Crowned Mrs. West Virginia, Will Compete for National Title

    Tuesday, July 15 2014 4:17 AM EDT2014-07-15 08:17:38 GMT
    A Sistersville mother, wife, and soon-to-be teacher, holds another very impressive title as she gets ready to take on the competition on a national stage.Mrs. West Virginia, Melissa Smith, will compete for the title of "Mrs.United States," in September. Smith travels throughout the state right now helping to push her platform. "Right now, I'm very focused on improving literacy education. I'm going to be an elementary school teacher and I have been traveling throughout West Virginia reading to...
    A Sistersville mother, wife, and soon-to-be teacher, holds another very impressive title as she gets ready to take on the competition on a national stage.Mrs. West Virginia, Melissa Smith, will compete for the title of "Mrs.United States," in September. Smith travels throughout the state right now helping to push her platform. "Right now, I'm very focused on improving literacy education. I'm going to be an elementary school teacher and I have been traveling throughout West Virginia reading to...
  • Federal judge in Martinsburg, West Virginia, sends 10 to prison for violating probation

    Federal judge in Martinsburg, West Virginia, sends 10 to prison for violating probation

    Sunday, July 6 2014 11:00 AM EDT2014-07-06 15:00:12 GMT
    Nine Martinsburg, West Virginia, residents and another from Keyser were sentenced to federal prison for breaking the law while they were on supervised release or probation.
    Nine Martinsburg, West Virginia, residents and another from Keyser were sentenced to federal prison for breaking the law while they were on supervised release or probation.

FRANKFORT, Ky. (AP) — The Kentucky Public Service Commission conditionally approved a proposal Monday by Kentucky Power Co. to purchase half interest in a power plant in West Virginia to supply electricity in parts of eastern Kentucky.

That agreement came after Kentucky Power withdrew an earlier proposal to retrofit the 800-megawatt Big Sandy plant north of Louisa, Ky., with an emission-removing scrubber, opting to close the plant instead. The Big Sandy plant is along the Big Sandy River near Fort Gay, WV.

On Monday, the PSC authorized Kentucky Power to purchase a 50 percent interest in Ohio Power Co.'s 780-megawatt Mitchell plant south of Moundsville, WV. Both are subsidiaries of American Electric Power Co.

Under a 2007 federal court consent decree, Kentucky Power agreed to close the unit in mid-2015 unless it is upgraded to meet stricter air emission standards. Kentucky Power plans to close the 800-MW unit and has said it intends to seek PSC approval to convert a 278-MW unit at Big Sandy to burn natural gas instead of coal.

Although the Mitchell acquisition will be the least costly for Kentucky Power and its 173,000 ratepayers in 20 eastern Kentucky counties, the PSC noted that the shutdown of the larger Big Sandy unit will mean job losses and a sharp decline in local tax revenue.

To help offset that, Kentucky Power pledged to spend $100,000 annually on economic development initiatives, including $33,000 for job training programs through the Kentucky Community and Technical College System.

Kentucky Power also agreed to double its energy efficiency investments, which includes weatherizing homes, incrementally over the next three years from $3 million to $6 million.

The agreement includes provisions to freeze Kentucky Power's base rates until May, 31, 2015, and to withdraw a pending application to increase rates by 24 percent. It also includes a commitment by Kentucky Power to consider the purchase of 100 megawatts of wind power the next time the company seeks additional generating capacity.

The Sierra Club heralded the agreement as "an important moment in Kentucky history."

 

Copyright 2013 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.