CEAC-2020-04-April

Senate Panel Alters Bill That Would Slow
Coal Plant Closures
INDIANAPOLIS (AP) — An Indiana Senate panel has passed a
stripped-down version of a bill consumer and environmental
groups have argued could stifle growth in renewable energy
such as wind and solar power by making it more difficult for
Indiana electric companies to close more coal-fired power
plants.
The Senate Utilities Committee voted 8-2 Feb. 27 to approve
the legislation after passing an amendment that removed
language that would allow utilities to increase their coal
reserves and require them to keep coal plants operational
— both of which would likely result in higher rates for their
customers.
plants in the coming years. Experts say market forces favoring
natural gas and other alternative energy sources such as
wind and solar are largely responsible for driving such plants
to close.
Some 40 coal miners wearing denim overalls with reflective
stripes were among about 100 people who attended the Feb.
27 committee meeting. Miners and members of the Indiana
Coal Council spoke in favor of the House version of the bill,
before the changes were made by Merritt’s amendment.
Sen. Erin Houchin, R-Salem, said he’s concerned that what
remained in the bill will have little impact.
The amendment also moved up the House bill’s sunset date
by four months, to Dec. 31, 2020, meaning that it would be
in effect for only six months.
The Senate panel’s chairman, Republican state Sen. Jim Merritt,
said he authored the amendment “because the way the
bill came into my committee, I could not support it.”
“I’m under the impression or opinion that we need to have
our coal plants operational,” he said.
(Continued on page 26)
The bill will now head to the full Senate floor for a vote,
where further changes could be made.
In its original form, the House bill would have raised the bar
— and likely prolonged the process — for utilities wanting
to close coal-fired power plants at a time when such plants
are the only ones closing. Many critics have called the bill’s
efforts to delay plant retirements a coal bailout.
The bill was dialed back in the House with, among other
changes, a provision to require the Indiana Utility Regulatory
Commission to hold a public hearing on the closure of any
electric generation facilities and issue a nonbinding opinion.
The legislation comes at a time when at least four large
Indiana electric utilities intend to close several coal-burning
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