A natural gas meter with pipe on wall. Two environmental groups are seeking to challenge Alabama Power’s proposed acquisition of a natural gas plant in Autauga County. (Bill Oxford/Getty Images)
Two environmental groups want to intervene in a review of Alabama Power’s proposal to purchase a natural gas power plant in Autauga County.
The Southern Environmental Law Center filed a motion with the Alabama Public Service Commission on Nov. 15 to enter the process, citing concerns about pollution and effects on customer rates.
“Once again, Alabama Power is trying to double down on gas when it could be pursuing lower-cost, less-risky renewable energy and energy efficiency options,” said Christina Andreen Tidwell, a senior attorney for the Southern Environmental Law Center, in a statement sent Friday.
Alabama Power filed a request with the PSC to acquire the plant on Oct. 30, citing increased power needs. The utility said the acquisition could increase utility bills for Alabama Power customers by up to $3.80 a month starting in mid-2027.
“Our proposed acquisition of the Lindsay Hill generating facility highlights our commitment to deliver 24/7 dependable energy to customers,” an Alabama Power spokesperson said in a statement. “We respect the Public Service Commission’s review and certification process and believe the information we provided will demonstrate how and why the generation facility will benefit customers.”
The utility company purchased Lindsey Hill power plant’s sister facility in 2020. The natural gas power plant is currently owned by Omaha-based Tenaska. According to Forbes, Tenaska is the 12th largest private company in the country as of 2023.
Alabama Power estimates that its power reserves will be up to 650 megawatts in 2026 but will decline to 150 megawatts by 2028. The utility cited increased power demand from population growth and the development of data centers.
Energy Alabama and GASP want to intervene in the acquisition in the hopes of addressing renewable energy in the state. Tidwell said in a statement that Alabama Power was “already heavily reliant on gas as a fuel source.”
“This acquisition will further increase Alabama Power’s reliance on gas,” the statement said. “Methane, the primary ingredient of ‘natural gas,’ is a fossil fuel and greenhouse gas that is more than 80 times as potent as carbon dioxide for the first 20 years that it is in the atmosphere.”
The PSC earlier this year denied a request from Energy Alabama to intervene in a proposal from the utility to increase its charges for third party power generators to connect to its grid, which critics said would hinder the development of solar power in the state.
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