AEP wins OK to hand over Amos Generation to Appalachian Power

American Electric Power (AEP) received approval December 13 from the Public Service Commission of West Virginia (West Virginia PSC) to transfer the AEP Ohio-owned portion of John E. Amos Plant Unit 3 to AEP unit Appalachian Power.

The West Virginia PSC deferred making a decision about the merger of Wheeling Power with Appalachian Power and the transfer of 50 percent of the 1,600 MW Mitchell Plant to Appalachian Power.

Wheeling customers will continue to be served through an agreement with AEP Generation Resources whose power generation assets will include 50 percent of the Mitchell Plant.

AEP expects the final approvals from the Federal Energy Regulatory Commission (FERC) by year end, which will allow transfer of the 867 MW of Amos Plant Unit 3 to Appalachian Power and 50 percent of Mitchell Plant to Kentucky Power by January 1.

AEP filed in December 2012 for approval from West Virginia PSC and the Virginia State Corporation Commission (Virginia SCC) to transfer AEP Ohio's two-thirds ownership (867 MW) of Amos Plant Unit 3 (1,300 MW) and 800 MW of the 1,600-MW generating capacity of Mitchell Plant to Appalachian Power.

The Virginia SCC agreed to the transfer of Unit 3 of the Amos Plant and the Wheeling Power merger July 31. The Virginia SCC did not approve the ownership transfer of the Mitchell Plant generation.  

AEP also filed to transfer ownership of the remaining 800 MW of the 1,600-MW generating capacity of Mitchell Plant to Kentucky Power. The Kentucky Public Service Commission approved that transfer October 7.       

The FERC approved transfer of the ownership of the Amos and Mitchell generating capacity and the merger of Wheeling Power into Appalachian Power April 29. AEP's application to terminate the interconnection agreement, or pool, that exists among AEP's utilities in the Midwest and for approval of a new Power Coordination Agreement among Appalachian Power, Kentucky Power and Indiana Michigan Power remains pending before the FERC, along with other tariff filings related to corporate separation. AEP anticipates a decision on these related filings by December 31.

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