The years-long battle to stop the expansion of We Energies’ coal plant in Oak Creek may have come to an end last week, when the utility and environmental groups agreed to settle their differences. Instead of continuing their legal challenge to the plant which is scheduled to be fired up in 2009Clean Wisconsin and the Sierra Club agreed on a $105 million settlement to be paid by We Energies, Madison Gas & Electric and Wisconsin Public Power.
A full $100 million will be spent on Lake Michigan restoration and protection projects, with $4 million to be parceled out each year for the next 25 years. That sustained funding should help protect the lake from invasive species, polluted runoff and habitat destruction. We Energies will also make a greater commitment to the state’s clean energy goals.
Katie Nekola of Clean Wisconsin said while she thought her group would have prevailed in court, winning the case could mean at least $200 million for the construction of new cooling towers a huge expense that would have come out of the pockets of We Energies’ customers. The already-built cooling system, a 1.5-mile long pipe extended into Lake Michigan, cost about $100 million.
Instead, We Energies will ask the state Public Service Commission to allow it to charge its customers to cover the $105 million settlement in the coming years.
Nekola thinks it’s the best outcome that could be reached. “I think it was a good compromise between getting some good things for the environment and not saddling ratepayers with some outrageously expensive costs,” Nekola said.
