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Chart of the day: Coal power’s decline

By | July 31, 2012, 4:00 AM PDT

Not every aspect of the fossil fuels industry is experiencing the same kind of revival as offshore oil exploration. For example, a record 9 gigawatts of coal-fired power plant capacity is expected to be retired in the United States this year alone.

Power plant owners and operators say they expect to retire almost 27 gigwatts of capacity from 175 coal-fired generators between 2012 and 2016 — more than four times greater than retirements in the previous five-year period, according to the U.S. Energy Information Administration.  In 2011, there were 1,387 coal-fired generators in the United States. The planned closures are equivalent to 8.5 percent of total 2011 coal-fired capacity.

About nine gigwatts of coal-fired capacity will retire this year, the largest one-year amount in the nation’s history. That record isn’t expected to stand for long. Nearly 10 GW of coal-fired capacity is expected to retire in 2015, the EIA said.

EIA data shows the closures will be concentrated in the mid-Atlantic states, namely Ohio, Pennsylvania, Tennessee and West Virginia. And the plants that do close will be, on average, larger in size than in previous years. Coal generators that retired between 2009 and 2011 had an average size of 59 megawatts. The average size of a coal-fired plant planned for retirement between 2012 and 2015 is 154 MW.

Some might blame the coal power plant closures on increasing regulations. The cost of compliance with existing and anticipated federal environmental regulations are a factor.

Natural gas has been a major disrupter to coal as well. The boom in shale gas production has driven natural gas prices lower. the variable costs of operating natural gas-fired capacity have fallen relative to those coal-fired plants, the EIA said.

While power plant owners prepare to pull the plug on some of their oldest, least efficient facilities, an effort is underway by the U.S. Department of Energy to keep some of them open. The DOE is funding new “clean coal” technologies that would retrofit existing power plants to be in compliance with pollution rules.

Photo: Flickr user Wigwam Jones, CC 2.0

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Kirsten Korosec

About Kirsten Korosec

Kirsten Korosec is a contributing editor for SmartPlanet.

Kirsten Korosec

Kirsten Korosec

Contributing Editor

Kirsten Korosec has written for Technology Review, Marketing News, The Hill, BNET and Bloomberg News. She holds a degree from Northwestern University's Medill School of Journalism. She is based in Tucson, Arizona.

Follow her on Twitter.

Kirsten Korosec

Kirsten Korosec

Kirsten does not have financial holdings that would influence how or what she covers.

She writes for SmartPlanet and is not an employee of CBS.

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0 Votes
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Coal-fired power plants
When such plants are shut down, what happens to them? Are they dismantled, left standing? Can they be converted to gas?

If removed from the sites where they stood, are the utilities that operated them obligated to restore the land for other uses, assuming that the land could be so used?

What is "clean" coal?
Posted by Vazir Mukhtar
31st Jul
+1 Vote
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Most of them will be shut down
I live in a town (Boulder, CO) with a small coal plant that will be shut down. One of the old coal burners in the plant was already converted to gas, but the one being shut down will be left idle.

There have been conversions in the past, but for gas the greatest efficiencies and least CO2 come from entirely new designs. These also allow for quicker ramping up and down times to supplement erratic renewable sources such as wind and to a lesser extent solar.

One story not usually reported is that when a major coal plant is retired, it can have a big impact on local employment. Many coal plants are in remote areas and provide a major source of employment. See http://www.inthesetimes.com/working/entry/12829/coal_plant_closings_nationwide_mean_job_losses_opportunities/ .

As to what happens to the actual physical plants, they are still under private ownership by the utilities on private land. Unless they are under specific state or local regulations, they don't have to be torn down the same as any other closed factory. I assume they would still have to be made safe in terms of any toxic substances such as removing any leftover ash from burning coal.

"Clean" coal used to mean coal where the particulates and sulfur compounds have been scrubbed. In addition these days it is also taken to mean coal where the CO2 output has been significantly reduced. Nobody yet knows how to do that at a competitive price. The EPA hasn't outlawed coal plants per se (they don't have the authority), but what they've done is set the allowable CO2 emissions level down to a point where gas is OK but coal needs expensive technology which isn't competitive.
Posted by zackers
Updated - 31st Jul
+2 Votes
+ -
coal costs
Right now natural gas is at a all time low thus everyone is ready to get rid of coal?

what happens when it goes through the roof will they bring coal back?
Posted by jpwalkerjr
31st Jul
0 Votes
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Brownfields
@Vazir
Clean coal is a myth. What is left of my great aunt's house is now under a tailings pile in PA.
Power plants can be converted to burn other fuel or torn down.
When the plant is torn down the utility still owns the land and can do with as it pleases after appropriate clean up.
Posted by zclayton3
31st Jul
0 Votes
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Bars on a chart vs mountains in a range
The petrochemical industry in the US did not rise in a vacuum on its own without the support of government. Our very choices in developing infrastructure grew the petrochemical industry. If we were to devote a commitment to solar energy and a hydrogen based economy equal to and modeled after the commitment we made to so called fossil based fuels we would be well on the path to developing a stable, profitable and nondestructive energy future.
Posted by ddcmall
31st Jul
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