New West Feature

Coal-fired Plants Lose a Big Battle

Forced retrofit of New Mexico facility could be a harbinger of nationwide change.

By New West Editor, 8-08-11

  The San Juan Generating Station, near Farmington, New Mexico. Photo courtesy of Grand Canyon Trust.
  The San Juan Generating Station, near Farmington, New Mexico. Photo courtesy of Grand Canyon Trust.

One of the dirtiest coal-fired power plants in the West has been given five years by the Environmental Protection Agency (EPA) to clean up its act, which its operators say could cost $750 million or more.

The EPA issued a final rule on Friday that Public Service Company of New Mexico (PNM) must retrofit its San Juan Generating Station near Farmington, New Mexico to diminish emissions that cause visibility problems.

The agency determined that an implementation plan submitted by the state government in 2007 violated “good neighbor” requirements of the Clean Air Act with regard to the San Juan plant, by interfering with the required visibility programs of other states. The plant is located in the Four Corners area.

In January 2009, EPA determined that New Mexico had failed to submit a plan addressing certain regional haze requirements, including one for best available retrofit technology. The state was given until January 2011 to correct the problem, and last December, EPA proposed its plan to cut emissions.

The state’s department of environment proposed an alternate plan, which it argued would be easier on ratepayers.

In a statement accompanying the ruling, EPA noted that “the state plan New Mexico recently submitted to the agency did not provide a basis to delay today’s decision.” The agency imposed nitrogen oxides (NOx) and sulfur dioxide (SO2) emission limits on the San Juan plant.

Although the decision emphasized visibility issues, EPA’s accompanying comment indicated that its actions were also aimed at “cutting dangerous nitrogen oxide emissions by over 80 percent from one of the nation’s largest polluting power plants.”

It added, “These efforts will dramatically improve visibility in 16 park and wilderness areas in the southwestern US, decreasing the number of days with impaired scenic views and as a result, promoting local tourism.”

PNM management announced in a press release that the decision would be appealed. The company contends that the same federal visibility rules can be met with different technology, which would cost roughly a tenth of the funding needed under the EPA ruling.

Basically, the difference between the two plans is that EPA requires selective, catalytic reduction on all four units, while PNM proposed employing selective, non-catalytic reduction technology.

PNM officials also believe EPA violated the Clean Air Act by finalizing its rule without proper review of New Mexico’s revised plan, which was approved by the state on June 1.

“The EPA plan adds unnecessary costs to one of our lowest-cost sources of reliable power,” said Pat Themig, vice president of generation. “If it stands, it will lead to significantly higher future electric rates for the two million customers who rely on the plant for reasonably priced power.”

The Grand Canyon Trust conservation group declared that EPA’s requirement for reduction in nitrous oxide emissions most likely will necessitate the selective catalytic controls.

Its statement described this as the nation’s first federal plan requiring nitrous oxide reduction to improve visibility. “There are decades-old plants with major pollution problems in more than 40 other states that will face similar decisions on pollution upgrades in the coming year or two,” it said.

The American Lung Association has given an “F” for ozone pollution to San Juan County, where the plant is located.

Yesterday, the Farmington Daily Times reported, “Local elected officials, business groups, and PNM waged a fierce campaign to persuade the EPA that a less restrictive state plan would be adequate to cut pollution.”

The article said the city of Farmington owns 8.5 percent of the San Juan plant’s fourth unit. “Jobs are now vulnerable,” Mayor Tommy Roberts said.

Mike Eisenfeld, New Mexico energy coordinator for San Juan Citizens Alliance, told the paper, “It’s perhaps a new day, when it comes to continued reliance on coal-fired power plants that emit huge amounts of pollution and affect communities in many ways.”



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By bearbait, 8-08-11
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By The Dirty Democrat, 8-13-11
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