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Monday, July 1, 2013

WE Energies Admits their Elm Road Power Plant Operates only 20 Percent of the Time

In an interview with Wisconsin Public Radio, company spokesman Brian Manthey attributes low natural gas prices and orders from a Midwest power supply operator to the plant's low operation but Michael Vickerman notes that this is only part of the story. Read or listen to Chuck Quirmbach's story to learn how rate payers are absorbing the costs of the plant's low operation.

 By Chuck Quirmbach
As part of its 'Power The Future' project a few years ago, WE Energies was allowed to build 1,200 megawatts of new coal-fired generating capacity near an existing power plant in Oak Creek. The new plant is called the Elm Road Generating Station. WE Energies concedes the plant only operated about 20 percent of the time last year. Company spokesman Brian Manthey says that's due to orders from a Midwest power supply operator and low natural gas prices that made it cheaper to boost operation of a gas-fired plant. But Manthey says the Elm Road plant really cranked up when the weather got very hot last summer. 
"The two new units actually at times were operating beyond their rated capacity, at a time when there was power needed from every possible source in the Midwest."
Manthey says with natural gas prices going up this year, he expects the Elm Road plant to run more. He says it's available to generate power more than 90 percent of the time. But Michael Vickerman, of Renew Wisconsin, says WE Energies rate payers still have to keep paying for Elm Road, and aren't getting much for their investment.

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