$457 Million + Cost For Merrimack Power Pland Deserves Extra Scrutiny: Conservationists Say More Information, Transparency Needed to Fully Understand Long-Term Impacts

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Colin Durrant, CLF Director of Communications
617-850-1722

Concord, NH (January 15, 2009) – At a public hearing this evening on the Merrimack Station power plant, conservationists will urge state officials to ask for additional information and full transparency in the air pollution permitting process so that decision makers and the public can fully assess the public health and environmental impacts of the coal plant’s ratepayer-funded mercury scrubber installation plans.

Merrimack Station is among the most polluting power plants in New England and questions remain as to why the plant’s owners, Public Service Company of New Hampshire (PSNH), have not opted to install more efficient mercury control equipment that would achieve much greater mercury emissions reductions at a fraction of the scrubber project cost. PSNH’s permit application to install mercury pollution control equipment does not include a full accounting of pollution emissions associated with all work done in connection with the project, including modifications made by PSNH to increase the capacity of one of its steam turbine generators. And, the costly planned mercury controls would not achieve the level of mercury pollution reduction soon anticipated to be required by the federal government, a circumstance that likely will lead to additional ratepayer costs in the future.

“The $457 million dollar-plus question is whether this is the right decision for New Hampshire, from an environmental, economic and energy security standpoint. To answer that question, New Hampshire citizens and ratepayers need to know the true costs of continued operation of this over forty-year old coal plant, and compare that to the cost of cleaner reliable alternatives,” said Melissa Hoffer, Director of the Conservation Law Foundation’s New Hampshire Advocacy Center. “The permitting process requires that PSNH provide a full picture of all pollution emissions associated with all the modifications made as part of the scrubber project-including the turbine upgrades PSNH represents are necessary to satisfy the additional power requirements of the scrubber. We just don’t have a complete picture, and the project should not move forward until we do.”

PSNH is required under the New Hampshire Clean Power Act (CPA) to install by 2013 a wet flu gas desulphurization scrubber system that will reduce mercury emissions from the plant by eighty percent. PSNH failed to obtain necessary clean air permits before beginning construction on aspects of the scrubber project last year.

In 2007, Merrimack Station was one of New England’s highest emitters of carbon dioxide (3.7 million tons), a key global warming pollutant. Additionally, the coal plant released 36, 484 tons of sulfur dioxide, 3,227 tons nitrogen oxide, and over 137 pounds of toxic mercury compounds. Unlike most of the power plants in New England, its owner is a regulated utility that receives full rate-based support for the costs to operate and upgrade Merrimack station. As a consequence, the costs for scrubbers and environmental requirements will be borne by the ratepayers providing an incentive to PSNH to extend the plant’s useful life.

The Department of Environmental Services’ public hearing on Merrimack Station’s “Flue Gas Desulphurization System” permit will be held TODAY, Thursday, January 15, at 6:00PM in the Auditorium at New Hampshire Department of Environmental Service located at 29 Hazen Drive, Concord, NH. Public comment must be received no later than Friday, January 23, 2009.

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The Conservation Law Foundation (www.clf.org) works to solve the most significant environmental challenges facing New England. CLF’s advocates use law, economics and science to create innovate strategies to conserve natural resources, protect public health and promote vital communities in our region. Founded, in 1966, CLF is a nonprofit, member-supported organization with offices in Maine, Massachusetts, New Hampshire, Rhode Island and Vermont.