LOUISVILLE, Ky. — Kentucky Power Co. is withdrawing its bid to spend nearly $1 billion on environmental upgrades to continue burning coal at an aging eastern Kentucky power plant.
Kentucky Power, a unit of American Electric Power Co., filed a motion with the state’s Public Service Commission Wednesday to withdraw a $940 million plan for upgrades at its 800-megawatt Big Sandy No. 2 plant near Louisa. It had planned to build a scrubber system by 2016 in order to meet federal environmental guidelines. The system removes sulfur dioxide and other pollutants from plant emissions.
The utility told ratepayers that the scrubber upgrade, which had to be approved by the PSC, would have increased the average electric bill by about $31 a month.
“We feel it’s in the best interest of all involved, including our customers … to reevaluate all options as it relates to meeting our environmental obligations and…
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