Luminant to cut 1,300 MW of capacity, sues EPA over CSAPR

Texas power generator Luminant filed a legal challenge against the U.S. Environmental Protection Agency (EPA) saying that EPA’s Cross State Air Pollution Rule (CSAPR) would cost the company 500 jobs and 1,300 MW of generating capacity, about 9 percent of its total capacity.
 
Luminant said it would have to idle units 1 and 2 at the Monticello coal-fired power plant and switch Unit 3 from Texas lignite coal to Powder River Basin coal. Luminant said it also would switch units 1 and 2 at the Big Brown coal-fired power plant to Powder River Basin coal and end lignite mining at three Texas mines.
 
The three Monticello units entered service in 1974, 1975 and 1978. The two-unit Big Brown units came online in 1971 and 1972.

The company said it would invest $280 million by the end of 2012 in emissions control technology for it’s generating facilities, including Monticello Unit 3, Sandow Unit 4 and the Martin Lake Power Plant.

The lawsuit, filed in the United States Court of Appeals for the District of Columbia Circuit, attempts to invalidate the CSAPR for Texas, which was not included in the first proposal in 2010. Luminant is also requesting a stay of the new rule.

David Campbell, Luminant's CEO said the company is committed to “complying fully” with EPA regulation. "However, meeting this unrealistic deadline also forces us to take steps that will idle facilities and result in the loss of jobs.”

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