Mohave Plant Status in Limbo

Mohave Plant Status in Limbo

Oct 22 - Las Vegas Review - Journal

By JOHN G. EDWARDS

REVIEW-JOURNAL

The future of the Mohave Generating Station remains undecided after a proposal late Wednesday that urged denial of a conditional certificate for continued operation of the plant.

The proposal to deny a conditional certificate was issued by Administrative Law Judge Carol Brown at the California Public Utilities Commission.

The Hopi Tribe and neighboring Navajo Nation in northeastern Arizona wanted the California Public Utilities Commission to issue a conditional certificate for continued operation of the coal-fired plant in Laughlin.

However, Southern California Edison, operator and part-owner of the plant, opposes the certificate to continue operations because several key issues remain unresolved. As a result, Edison may close the 1,200-megwatt plant at the end of 2005.

The proposed order now goes to the full California Public Utilities Commission for final action.

Despite the proposal, one Hopi Tribe official was upbeat.

"I am very encouraged by the proposed decision, which recognizes the value of the plant to ratepayers and finds the expenditures necessary to preserve the plant to be reasonable," James Ham, an attorney for the Hopi Tribe, commented in an e-mail.

"I am also gratified that the proposed decision directs Edison and the parties to explore additional energy projects supplemental to Mohave that will provide additional benefit to the Hopi and Navajo people, allowing them to build a sustainable economy and increase employment," Ham said.

The power plant is a source of low-cost electricity for Nevada Power Co. of Las Vegas, Edison and other utilities. It creates jobs for Hopi and Navajo Indians who mine coal that is transported to the Laughlin plant by a slurry line.

However, the Environmental Protection Agency this summer declared that Mohave caused more lead pollution than any other coal- or oil- fired power plant in the nation.

Environmental groups, including the Sierra Club, sued and in 1999 persuaded the power plant owners to agree to either install pollution control equipment costing $1.1 billion or shut the plant down by the end of 2005.

"Until there is resolution of the water and coal supply and cost issues, this Commission does not have enough data to determine if the future functioning of Mohave as a coal-burning facility is in the public interest and that the necessary $1.1 billion investment will inure to the benefit of the Edison ratepayers," the proposed order states.

The order directs Edison to continue funding studies of an alternative underground water source for the coal slurry line and to continue working toward resolution of water and coal issues.

For far more extensive news on the energy/power visit: http://www.energycentral.com .