CEAC-2021-04-April
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News<br />
Report Details Problems at Colorado<br />
Coal-fired Power Plant<br />
DENVER (AP) — A coal-fired power plant in Colorado has<br />
faced operational, equipment and financial problems that<br />
have led to more than 700 days of unplanned shutdowns<br />
since 2010, regulators said in a report.<br />
The report by the Colorado Public Utilities Commission questions<br />
performance at the Pueblo plant operated by Minneapolis-based<br />
Xcel Energy Inc., The Colorado Sun reported<br />
March 3.<br />
The report found the cost of electricity at the plant was 45<br />
percent higher than projected, reaching $66.25 for each<br />
megawatt-hour. It also said annual operating costs were 44<br />
percent above forecasts, hitting $34.8 million a year.<br />
“We are closely reviewing the Colorado Public Utilities Commission’s<br />
report on Comanche Unit 3 in Pueblo. Meanwhile,<br />
we are committed to the continued safe and reliable operation<br />
of the plant through its proposed early retirement in<br />
2<strong>04</strong>0,” Xcel Energy said in a statement.<br />
The utility, which is Colorado’s largest electricity provider<br />
with 1.5 million customers, said it’s looking for new ways to<br />
learn and improve the way it runs its facilities.<br />
The problems come as utilities nationwide are turning away<br />
from coal-fired electricity in favor of cheaper and cleaner<br />
natural gas and renewable energy.<br />
The commission did the review after two mechanical failures<br />
closed the plant all of last year and part of this year. The first<br />
failure started in January 2020 and lasted until June while<br />
repairs and inspections costing more than $4 million were<br />
done.<br />
When trying to restart, there was a failure in a key valve that<br />
led to a loss of lubricating oil used to keep elements of the<br />
turbine from overheating, the report said. The valve was obsolete,<br />
so there was no way to purchase replacement parts.<br />
The second failure cost $20 million and forced the company<br />
to spend $14 million in replacement power.<br />
Xcel Energy’s statement said it’s proposing to run the plant<br />
at a significantly reduced capacity after 2030, using it as a<br />
backup to renewable energy generation that isn’t able to<br />
meet demand.<br />
The two failures last year were the latest in a host of problems<br />
since the $1.3 billion unit went into service in 2010.<br />
The report outlines several unplanned outages, adding up to<br />
more than 335 days of unplanned shutdowns between 2012<br />
and 2019.<br />
As a result, Xcel Energy said it will close the plant in 2<strong>04</strong>0,<br />
about 30 years earlier than planned as part of its Clean Energy<br />
Plan aimed at producing zero-carbon electricity by 2050.<br />
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