Trump Administration orders power plant near Delaware border to remain open

This order follows recent statements from PJM warning that its system faces a “growing resource adequacy concern” due to load growth, the retirement of dispatchable resources, and other factors, an Energy Department release stated.

Earlier, PJM stated that its peak power reserves could be under stress if record consumption occurred during a hot spell this summer. 

The administration has been issuing a flurry of executive orders that are normally reserved for wartime or other emergency  conditions. 

“Maintaining access to affordable, reliable, and secure power is always our top priority, particularly during the summer months when electricity demand reaches its peak,” said U.S. Secretary of Energy Chris Wright. “Americans should never be left wondering whether they will be able to turn on their lights or air conditioning. This emergency order helps keep money in consumers’ pockets while keeping their homes and businesses fully powered. Energy shortfalls or unnecessary price increases are not options in this Administration.”

DOE’s order states that PJM shall, in coordination with Constellation Energy, run specified units at the Eddystone Generating Station, when PJM deems necessary, past their planned retirement date of May 31.

PJM supported the decision, noting that it is temporary and is in keepng with the organization's concerns over the energy supply.

The folowing is PJM's statement:

For over two years, PJM has repeatedly documented and voiced its concerns over the growing risk of a supply and demand imbalance driven by the confluence of generator retirements and demand growth. Such an imbalance could have serious ramifications for reliability and affordability for consumers. In light of these concerns, PJM supports the U.S. Department of Energy’s Order, issued May 30, pursuant to Section 202(c) of the Federal Power Act, to defer the retirements of certain generators operating in PJM’s footprint, which spans all or part of 13 states and the District of Columbia. The Department’s Order is a prudent, term-limited step that will retain the covered generators for a 90-day period. This will allow DOE, Constellation Energy and PJM to undertake further analysis regarding the longer-term need and viability of these generators. 

The Eddystone units are capable of running fuel oil or natural gas. The units had been slated for closing, due to the high costs of maintaining units that operate during peak power periods.

The  Energy Department indicated  the units would save ratepayers money in the long-run, if severe power shortages developed and electric prices skyrocketed.  The units at Eddystone are more than a half-century old.

Earlier, the administration ordered a coal-fired power plant in Michigan to remain open, even though the utility had built a replacement power plant.

An appeal is expected in the case of the Michigan plant, since it would likely increase electricity bills. A suit is also possible in Pennsylvania.

To date, the administration has not taken action regarding the Indian River power plant near Millsboro in Sussex County.

The coal-fired unit was closed in February,  a year ahead of schedule. Plant operator NRG  kept the site open while power line infrastructure around the site was improved. 

During that period, operating losses at the plant were borne by utility customers. Indian River, like many older coal-fired plants was no longer competitive with natural gas and renewable sources.

Constellation Energy was spun off from Exelon, the owner of Delmarva Power,  a few years ago. Constellation is the nation's largest operator of nuclear power plants.