Ricky Junquera: ricky.junquera@sierraclub.org, 617.599.7048
Michigan City, IN – Today, the Indiana Utility Regulatory Commission (IURC) issued a decision approving a bailout for NIPSCO’s Schahfer and Michigan City coal-burning power plants, despite uncontested evidence that shows that retiring these plants would save customers money. NIPSCO’s own data showed that retiring all of the Schahfer plant would save its customers between $178 million and $420 million, depending on the various company forecasts.
A decade ago, the Schahfer coal-burning units operated about 75 percent of the time. Today, these units operate less than 25 percent of the time, have some of the highest equipment breakdown rates in the region, and aren’t needed to maintain a reliable grid. Yet, NIPSCO sought permission to increase customer bills to pay for projects to keep these units operating for decades, costing hundreds of millions for construction plus millions more in annual operating costs, instead of retiring those Schahfer units. The Commission in its order today approved this NIPSCO coal bailout.
Not only will this decision harm customers by increasing their bills, it will allow more air pollution in northwest Indiana by keeping these coal-burning plants in operation. According to the Indiana State Department of Health, Lake County is among the worst counties in the state of Indiana for the rate of asthma-related emergency department visits and hospitalizations.
In response, Wendy Bredhold, Senior Representative for the Sierra Club’s Beyond Coal Campaign in Indiana, released the following statement:
“NIPSCO customers are over-burdened with dirty air and high utility bills, due to the utility company’s poor decision to continue burning coal for power. Northwest Indiana deserves better, and its residents already have the second-highest utility bills in the state, even before this increase. NIPSCO needs to begin to evaluate lower-cost options for customers’ energy needs, and start building toward a sustainable long-term, low-cost, cleaner future. Sierra Club is reviewing the Commission’s disappointing decision and is considering an appeal to the Indiana Court of Appeals.”
About the Sierra Club
The Sierra Club is America’s largest and most influential grassroots environmental organization, with more than 3 million members and supporters. In addition to helping people from all backgrounds explore nature and our outdoor heritage, the Sierra Club works to promote clean energy, safeguard the health of our communities, protect wildlife, and preserve our remaining wild places through grassroots activism, public education, lobbying, and legal action. For more information, visit www.sierraclub.org.