- Some of the biggest U.S. power companies, including American Electric Power (AEP +0.3%), NRG Energy (NRG -0.8%) and Southern Co. (SO +0.4%), say they will move forward with investments in renewable and gas-fired electricity, regardless of the Trump administration’s plans to roll back Obama-era environmental rules.
- “This will not change our planning process,” SO says of the EPA’s proposal yesterday to rescind Obama's Clean Power Plan, an issue that likely will be argued in court for years.
- AEP produced 70% of its power from coal just over a decade ago but the total now is 47%, and the company cut reduced carbon dioxide emissions by a third during the period, CEO Nick Akins says, adding that its decision to spend $4.5B to develop one of the largest wind farms in the U.S. and a related 350-mile transmission line was encouraged my market forces, not government.
- Calpine (CPN +0.3%), PG&E (PCG -0.6%) and Dominion (D +0.3%) also are on record as backing the Obama-era approach.
- The EPA action does offer "a glimmer of hope" for coal producers (NYSEARCA:KOL), says a Bloomberg power analyst, as the Clean Power Plan capped coal’s upside "in the event of an unforeseen, prolonged gas-price spike, [but] the cap on that upside is now washed away."
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Original article