Municipal utility to stop burning coal by year-end

December 05, 2011

The municipal utility serving the Eastern Indiana community of Richmond will stop burning coal to generate electricity before the end of 2011. Richmond Power & Light (RP&L) cited the cost of complying with the imminent Cross State Air Pollution Rule as the reason for the shutdown.

At the same time, RP&L announced that it hopes to develop a facility that will burn municipal solid waste. The utility is negotiating with a Delaware company known as Cate Street Capital to fund the development of the $100 million-plus facility, and hopes to receive a federal grant to offset some of the cost.

In the meantime, RP&L will purchase power through the Indiana Municipal Power Agency. The utility intends to keep its 33 power plant employees busy with maintenance projects until the trash-to-electricity plant becomes a reality.