OPPD Delays Coal Plant Transition Amid Health Concerns, Energy Needs

OPPD again delays plan to stop burning coal at North Omaha plant

In a significant shift, coal will continue to be used at the North Omaha power plant for the foreseeable future.

The Omaha Public Power District (OPPD) board has decided to postpone the decommissioning of the coal-fired units at North Omaha Station. This delay comes despite previous commitments to transition away from coal due to health concerns. The utility cited a “new energy reality” as the reason behind its decision.

OPPD President Javier Fernandez addressed the issue at the board meeting, responding to public concerns.

“I understand how personal these concerns are,” Fernandez stated, “and they weigh on me. I recognize that some of our decisions have caused frustration and disappointment, and I take that seriously.”

Plans on Hold

For over a decade, OPPD had aimed to cease coal use at the North Omaha power plant. Despite setting a target to convert the plant’s coal units to natural gas by the end of 2026, new energy requirements and rising energy demands have led to further delays.

The delay in the board’s vote, originally scheduled for October, followed a legal challenge by Nebraska Attorney General Mike Hilgers.

The lawsuit argues that OPPD’s plan to retire coal units contradicts its primary mission as defined by state legislation. Hilgers stressed the importance of prioritizing affordability and reliability over environmental objectives.

“Public power providers should not achieve their self-imposed environmental goals by raising prices for Nebraska consumers,” Hilgers mentioned in a press release. The legal proceedings are ongoing.

Multiple factors, including rapid energy demand growth, new winter reserve requirements, and reliability issues, have influenced OPPD’s decision to slow the transition from coal to natural gas.

A previous plan to phase out coal in 2023 was postponed to 2026 due to a regional backlog in integrating replacement power into the grid.

Since 2019, OPPD has experienced a growth of 473 megawatts in its winter energy peak and 544 megawatts in the summer peak, akin to adding the electric grids of Grand Island and Hastings combined.

Additionally, construction of new generation takes longer, and required regional reserve margins are increasing.

Concerns among North Omaha residents and environmental health researchers about the plant’s health impacts have intensified, with allegations that the utility has not adequately addressed risks.

State Sen. Terrell McKinney criticized the decision, attributing it to “environmental classism and racism.”

“It’s just very sad that we’re at this point where people who pretend like they’re progressive climate justice warriors and all these things get into office and do the opposite,” McKinney said. “Fight for the people that you were elected to represent, and not for corporate greed.”

Health Concerns

For years, North Omaha residents and local researchers have linked the coal plant to potential respiratory illness increases. This has sparked public debate following a health risk assessment commissioned by OPPD.

The study found that continued coal burning does not pose a significant risk according to the U.S. Environmental Protection Agency standards. However, Douglas County’s top public health official disagrees.

Douglas County Health Department Director Lindsay Huse, in a letter to OPPD board members, urged retiring the coal-fired units.

“Continuing the operation of coal-fired generation represents a clear detrimental impact to human health, exacerbates existing health inequities, and imposes an unacceptable burden on specific communities, most notably North Omaha,” Huse wrote.

Should the board choose to continue coal operations, Huse requested a collaborative effort between OPPD and the Douglas County Health Department to ensure public accountability and health protection through measures like air quality monitoring and public data transparency.

During a forum hosted by Creighton University, public health experts from Brown University, Harvard, and Virginia Tech expressed concerns that OPPD’s commissioned study didn’t fully acknowledge known health impacts of coal plant emissions or recognize research indicating health improvements when emissions are reduced or plants are closed.

Despite the postponement, the resolution passed by the board outlines continued preparations for transitioning away from coal. If the schedule progresses as planned, the conversion could be completed by 2028.

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