Dive Summary:
- Coal mining company Foresight Energy has offered to pay $250 million to install a scrubber at Ameren Illinois' 1,151-megawatt (MW) coal plant, CEO Michael Beyer announced at an Illinois Pollution Control Board hearing Tuesday.
- In return, Foresight is asking that Ameren sign an extended coal purchasing contract with the company's Illinois mines. Beyer said the deal would accelerate compliance with the state's environmental rules.
- Dynegy Inc. is trying to buy Ameren Illinois' plants, but wants to install the scrubber in 2020. Beyer's testimony came at hearing over Dynegy's request to delay compliance with state rules, to which Ameren had previously agreed.
From the article:
Environmentalists adamantly oppose allowing Dynegy to delay cleaning up the plants. At today's hearing, Foresight became an unlikely ally.
"Our analysis shows that even with (a purchase contract covering the cost of the scrubber) the delivered cost of our coal could well be lower than the current delivered cost and the current market price of imported Wyoming coal," Mr. Beyer said in prepared testimony. "Alternatively, Foresight Energy would be willing to assume Dynegy's role in the proposed acquisition, acquire the assets as structured and construct the scrubber."
