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Goliad County Power Plant Merger Could Impact Economy

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The owners of the Coleto Creek Power Plant is planning to merge which could have an effect on the economy in Goliad County.
Coleto Creek Power Plant is owned by Dynegy which is a coal fueled plant. In Spring of 2018, Dynegy will merge with. Vistra has recently decided to close a few coal fueled power plants.
In a research report by the Institute Energy Economics and Financial Analysis (IEEFA), they  listed Coleto Creek as one of the 7 plants that will likely be retired for their failure to compete. 
"Continued operation of Luminant’s Monticello and Big Brown plants, will be extremely unprofitable for Luminant (or any owner) whether or not the plants are required to install new scrubbers, and the same is true for Dynegy’s Coleto Creek plant. "
Executive Summary of the report, The Beginning of the End: Fundamental Changes in Energy Markets are Undermining the Financial Viability of Coal-Powered Plants in Texas:

Fundamental changes in the Texas electricity market are putting coal-fired power plants under increasing economic and financial stress and the industry today is under siege from a number of challenges:  ?

The collapse of natural gas prices and subsequent declines in the cost of generating power and increases in the generation at natural gas-fired power plants.  ?
Increased competition from thousands of megawatts (MW) of new wind and, increasingly, solar photovoltaic (“solar PV”) resources due to steep declines in installation prices, improved operating efficiencies and transmission upgrades.
Low energy market prices in the ERCOT (Electric Reliability Council of Texas) deregulated wholesale markets, driven by lower natural gas prices and increased generation from renewable resources.   ?
Sharp reductions in generation from coal-fired plants as their output is displaced by renewable and natural gas-fired capacity. Although coal-fired plants generated 39 percent of the electricity in ERCOT in 2015, they provided only 24.8 percent of the power by May 2016.  ?
New public health and environmental regulations that give owners of coal-fired plants pause on whether to make expensive investments in their aging coal plant(s).
These circumstances have combined to undermine the profitability of the companies and public power utilities and power agencies that own coal-fired power plants.  

Goliad County Judge Pat Calhoun says the Coleto Creek plant has dropped in value in the last 10 years with Goliad County's total revenue down.  Calhoun says this can be laid at the feet of the power plant. 

The power plant is the largest tax payer in the county and the loss of this plant could affect the Goliad County economy. 
Calhoun says no matter how many small businesses you bring to Goliad its not going to make up for the loss of an industry. 
This was a concern for Calhoun and plans to meet with agencies in Corpus Christi to discuss how to bring another industry to Goliad County.  With Goliad not having an Economic Development Coordinator, Calhoun wears the hat of trying to brain storm ways to bring an industry to the area. 
As of right now there are no plans for the plant to close.
Calhoun plans to meet with contacts to bring in another industry in January.
 Click here to read about the merger.
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