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Duke Energy Edwardsport Plant Settlement Expanded

The Duke Energy coal gasification plant in Edwardsport

A settlement agreement with Duke Energy Indiana concerning its coal gasification plant in Edwardsport has been expanded, which includes an agreement to cease burning coal at another plant no later than the end of 2020.

The original settlement in September was a response to the plant’s rising operating costs while failing to meet performance expectations.

In the new agreement, Duke Energy agrees not to charge customers for $87.5 million of the operating costs of the Edwardsport plant, $2.5 million more than the original agreement.

Duke Energy has also agreed to provide $500,000 to fund solar installations for community organizations and/or low income customers, and to donate $500,000 to a fund that benefits Duke’s low income customers.

“Although this settlement doesn’t achieve all that we sought through this litigation, it does offer substantial relief for ratepayers, acknowledges problems with the Edwardsport plant’s startup and reduces Duke’s coal footprint in Indiana,” said Steve Francis, Chair of the Sierra Club Hoosier Chapter, in a statement.

The agreement is subject to Indiana Utility Regulatory Commission approval.

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