CHICAGO – NRG Energy Inc. announced Thursday its plans to close one Illinois coal-fired generating unit in Romeoville and convert a power facility in Joliet to natural gas, a move the company said would reduce carbon dioxide emissions but also eliminate 250 jobs during the next two years.
Environmental groups called it an important step toward greener energy, but one that doesn't go far enough to reduce the heat-trapping pollutants blamed for global warming.
The New Jersey-based energy company said it will close Will County Unit 3, one of its two coal-fired units in Romeoville, next April. The company plans to convert its Joliet facility to natural gas by mid-2016. The company also said it would install emissions control technology at its plants in Pekin and Waukegan.
The company took over the four Illinois facilities in April when it acquired in a $2.65 billion deal Edison Mission Energy, which had filed for bankruptcy.
The changes represent a $567 million investment for NRG that will reduce overall carbon dioxide emissions by at least 16 million tons annually by 2020, the company said. The reductions would equal more than half of Illinois' carbon dioxide reduction goal called for by President Barack Obama's proposed carbon pollution standards, the company said.
NRG plans to offer voluntary severance packages to workers, company spokesman Dave Gaier said. "These aren't necessarily layoffs," Gaier said.
Environmental groups gave the announcement a cautious nod, but called on the company to do more to phase out coal and invest in alternative energy.
"This is a step in the transition to much a cleaner energy economy in Illinois," said Howard Learner, executive director of Environmental Law and Policy Center. Investment in wind and solar power will create jobs, Learner said.
The Sierra Club released a statement calling attention to NRG's continued coal burning in Waukegan, Pekin and the second unit in Romeoville.
"For a company that describes itself as a trailblazing power producer, we were hoping and expecting a lot more vision, innovation and forward-thinking in NRG's approach to its Illinois operations," said Bruce Nilles of the Sierra Club's Beyond Coal campaign.
Almost 41 percent of Illinois' power came from coal-fired power plants in 2012, according to federal statistics.