Kansas Utilities Run Coal Plants Year-Round Even Though It Costs Ratepayers Millions

The way Westar Energy runs its coal plants in Kansas unnecessarily costs consumers millions of dollars a year through an obscure, if common, practice known as self-committing generation.

The company essentially runs its coal plants year-round, even during the winter months when it’s not cost-effective. An analysis by the Union of Concerned Scientists, which advocates for reduced reliance on coal, says that’s been costing Westar customers $20 million a year in added fuel costs.

But market operators including the Southwest Power Pool (SPP) — Westar buys and sells wholesale electricity through the organization — worry that the practice hurts the market.

Regulators in Missouri, where Westar’s parent company Evergy is headquartered, have opened up an investigation to see if it’s unfairly costing consumers.

Read more: https://www.kmuw.org/post/report-kansas-utilities-run-coal-plants-year-round-even-though-it-costs-ratepayers-millions