The city approved a plan in 2020 to shut the Fayette Power Project plant with the aim of eliminating carbon emissions. But political, economic and technological forces have gotten in the way.
The Fayette Power Project plant is a coal-fired power plant located near La Grange, in Fayette County., The Texas Tribune’s daily newsletter that keeps readers up to speed on the most essential Texas news.
Austin has already moved away from fossil fuels faster than the rest of the state, and today, the Fayette plant is responsible for most of Austin Energy’s remaining carbon emissions. But closing the plant in the name of fighting climate change has proven easier said than done. There are 13 coal plants currently operating in Texas. Since 2012, seven others coal have fully decommissioned, and another four plants are set to retire some or all of their units before 2030, according to data from the Energy Information Agency.
“Every time you have a new ancillary services product that has to do with dispatchability, power plants that are dispatchable like coal and natural gas benefit from it,” Enger said. “If Austin sold out of that coal plant, it might not be able to replace that energy with anything less expensive,” Hirs said.
Austin Energy is now in the process of updating its resource, generation and climate plan. Cyrus Reed is the conservation director at the Lone Star Chapter of the Sierra Club and chair of a working group of community stakeholders that will make a recommendation to the city’s Electric Utility Commission for the final plan that must be approved by Austin City Council.
Austin Energy expects a final version of its updated plan to come before the City Council in early 2024. If the city decides to stick with the plan to leave behind its coal plant, it will eventually need to reach a deal with the plant’s co-owner, the Lower Colorado River Authority, which was created by the Legislature, and its board of directors are appointed by the governor.
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