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Sunbury Generation

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Sunbury Generation LLC was formerly owned by Pennsylvania Power & Light, bought by Wisconsin Public Service (WPS) in 1999, and by Corona Power in 2006. It now operates alongside Corona Power as a partner in Shamokin Dam, including its coal-fired Sunbury Steam Station Station.[1]

Existing Coal Plants

Sunbury Steam Station is a coal-fired power station owned and operated by Corona Power along the Susquehanna River in Shamokin Dam, Pennsylvania:[1]

Plant State Year(s) Built Capacity
Sunbury Steam Station PA 1949, 1949, 1951, 1953 425 MW

Proposed coal unit closures

In December 2011, Sunbury Generation announced plans to close five of its six coal-fired generators in Pennsylvania by 2015, including Sunbury Steam Station. Plant control operator Michael Kawa said Sunbury is "more or less" a seasonal plant due to environmental regulations and burns closer to 1 million st/year.[2]

History

The Sunbury Steam Station was commissioned by the Pennsylvania Power & Light (PP&L) company in 1949 and went into operation in 1953. The plant is part of the Pennsylvania/New Jersey/Maryland (PJM) market area. Power from the plant is sold into Pennsylvania’s deregulated electric market. The plant was purchased by Wisconsin Public Service (WPS) Power Development in November 1999 from PP&L Resources.[3]

In 2003 Officials of WPS Resources reported the company had signed an agreement to sell its Sunbury Generating Station to Duquesne Power, for approximately $120 million for the plant, inventory, and related equipment.[4] However the deal fell through when the Pennsylvania Utilities Commission did not grant Duquesne the treatment it had requested as a provider of last resort. WPS Power Development was unsuccessful in arranging a subsequent sale and instead decided to sell emission allowances from the plant while remaining its owner.[5]

In May 2005, the facility's emission allowances for both sulfur dioxide (SO2) and nitrogen oxides (NOX) were sold and a seasonal operation plan was announced. Then in July 2006 Sunbury Generation LLC and its plant were sold to Corona Power, LLC. In 2006, Corona Power, LLC sought and won a substantial reduction in the tax assessment of the property. The assessment was cut by more than two thirds. Additionally, there is a freeze on the assessment for several years regardless of improvements made on the property.[6]

While the future of the Sunbury Generation facility seemed to be in good hands with its purchase by Corona Power in 2006, in October 2007 Corona Power, LLC working with Merrill Lynch started the process of seeking buyers for the 400 megawatt Sunbury Generation facility. However in 2009 the Sunbury Station is still operated by Sunbury Generation alongside its general partner, Corona Power LLC, in Shamokin Dam.[1]

Articles and Resources

Sources

  1. 1.0 1.1 1.2 Tricia Pursell, "Power Plant May Lay Off 83", The Daily Item, August 16, 2009.
  2. "Sunbury to shut five coal-fired generators in Pennsylvania by 2015," Platts, Dec 29, 2011.
  3. "WPS Resources agrees to sell Sunbury Generating Station", Power Engineering, October 28, 2003.
  4. "WPS Resources agrees to sell Sunbury Generating Station" Power Engineering, Oct. 28, 2003
  5. "Difficult Competitive Position Forces Change in Operations at Sunbury Electric Plant", PR Newswire, May 25, 2005.
  6. "WPS RESOURCES CORP 8K", Edgar Online, August 9, 2006.

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