Georgia Power is cancelling a 2008 proposal to convert Plant Mitchell Unit 3, in Albany, Ga. from a coal-fired unit to biomass and plans to file a request with the Georgia Public Service Commission (PSC) to decertify the 155-MW unit.
With increased capital costs, costs related to environmental compliance, and lower natural gas prices, the utility stated the conversion would not be cost effective for its customers. The company considered converting the unit to Powder River Basin (PRB) coal or natural gas, neither of which proved viable, according to a release from Georgia Power.
If the decertification is approved, it will be retired by April 16, 2015, which is the compliance date of the United States Environmental Protection Agency's (EPA) Mercury and Air Toxics Standards (MATS) Rule.
Previously, Georgia Power received approval from the PSC to retire more than 2,000-MW of coal- and oil-fired generation, as part of its 2013 Integrated Resource Plan (IRP).
By 2017, Georgia Power is expected to have more than 2,300-MW of generation from renewable sources in operation or under contract.