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Dynegy Corp.
PI Original
by Ellyn Fortino
3:21pm
Tue Sep 17, 2013

Proposed Dynegy Coal Pollution Waiver Divides Environmental, Labor Groups At IL Hearing

Environmentalists and labor groups were strongly divided at an Illinois Pollution Control Board (IPCB) hearing in Springfield Tuesday over whether the Texas-based energy company Dynegy should be granted more time to meet the state's clean air standards for five local coal-fired power plants it plans to buy. Progress Illinois was there for the hearing.

Quick Hit
by Ellyn Fortino
4:57pm
Thu Sep 12, 2013

Report: Pending Sale Of Five Illinois Coal Plants A Risk For Nearby Communities

Environmental groups say they are even more wary of the pending, no-cash sale of five Illinois coal-fired power plants from St. Louis-based Ameren Corp. to Dynegy, a Texas-based energy company, now that a new financial analysis has shed more light on the proposed deal.

According to a report issued Thursday by ACM Partners, an independent financial analyst, Dynegy is preparing for the high-risk purchase by creating an unfunded shell company, Illinois Power Holdings, to operate the five central and southern Illinois coal-fired power plants. The plants are located in Bartonville, Canton, Coffeen, Joppa and Newton.

David Johnson, financial analyst and the report's author, said the findings show that Dynegy is purposefully using a shell company for shareholder gain and to minimize any financial hardship for itself. Essentially, the company is taking "a cost-free gamble that energy prices will rise," Johnson said.

The analysis also found that Illinois Power Holdings won't have the proper capital in order to install coal-pollution controls at the plants, conduct daily maintenance or make regular repairs, among other concerns. 

It’s also likely that the Dynegy subsidiary will eventually declare bankruptcy, Johnson noted. And if it does, there's a risk that workers’ pensions would be left unfunded and local communities would have to pick up the tab for environmental cleanup costs. The company, however, would suffer no “ill effects.”

Quick Hit
by Ellyn Fortino
4:03pm
Fri Aug 16, 2013

Environmental Groups Push Back Against Dynegy Pollution Waiver

Environmental groups are strongly opposing Houston-based Dynegy Inc.'s recent request for a pollution-control waiver for five Illinois coal-fired power plants. 

The Sierra Club, Environmental Law and Policy Center, Respiratory Health Association and Natural Resources Defense Council filed formal objections with the Illinois Pollution Control Board (IPBC) Thursday over the proposed pollution variance, which would give Dynegy five extra years to comply with Illinois’ Multi-Pollutant Standards.