LITCHFIELD, MI (WTVB) – It will be lights out a year from now at the Michigan South Central Power Agency plant in Litchfield. The MSCPA, which has served Coldwater and Union City along with Marshall, Hillsdale and Clinton for more than 3 decades announced Thursday their intent to close the Endicott Generating Station after 34 years of operation. June 1, 2016 has been selected as the scheduled decommissioning date.
Glen White, General Manager of the MSCPA said the cost of operating a small coal fired generator is simply not competitive with other options. The original debt service is paid, but White said today’s market prices don’t allow for the recovery of their fuel costs, let alone the remaining operations and maintenance and capital requirements. Significant changes to the industry have occurred over the past several years contributing to the decision to shutdown.
White said loads have increased, energy markets have been formed, the economy is more global and there is a distinct shift in public perception with a greater emphasis on the environment. Paul Beckhusen, Coldwater Board of Public Utilities Director and board chairman at MSCPA, called it a difficult decision and said they wanted to make sure they did the strategic planning to provide the right solution.
Over the next few months the MSCPA will be meeting with each member community to fully explain the economic and replacement options. The Endicott Generating Station has 74 full time employees and White said every effort will be made to assist all of their workers through the coming changes, hoping to provide some with other duties as they develop new services for their members.
