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Interstate P&L to close coal plants and switch to natural gas

8 February 2008 -- Interstate Power and Light Company (IPL) proposed to regulators retiring coal-fired generating units and switching the fuel source of other coal-fired units to natural gas when its proposed 630 MW, hybrid coal Sutherland Generating Station Unit 4 becomes operable in 2013.

The proposed changes to IPL's generating fleet will be filed with the Iowa Utilities Board (IUB) as part of IPL's application for ratemaking principles for the proposed Sutherland Generating Station Unit 4 and are subject to the approval of the IUB and the Minnesota Public Utility Commission. IPL expects to make the filing late first quarter of 2008.

As part of its proposal, IPL would retire Lansing Generating Station's coal-fired units 2 and 3. In addition, the company would permanently switch the fuel source of its Dubuque Generating Station Units from coal to natural gas. This will reduce these units' maximum potential to emit CO2 by more than 800,000 tons per year. These potential changes in IPL's generating fleet are contingent upon the company receiving all applicable regulatory approvals related to Sutherland Generating Station Unit 4's site certification and ratemaking principles applications.

IPL recently received approval to build 200 MW of wind generation in Iowa by 2013. In addition, Sutherland Generating Station Unit 4 is being permitted to use up to 5 percent renewables, such as switch grass or corn stalks, as fuel and, as such, can be considered a hybrid facility.




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