Has the economic downturn eliminated the need for this new coal plant?
No. Even in our current economy, the demand for electricity has increased. Additionally, we have recently seen the retirement of 30 gigawatts of existing generation capacity in the U.S. Experts estimate that we will need 250 gigawatts of new generating capacity between 2008 and 2030 (http://www.eia.doe.gov/oiaf/aeo/electricity.html).
That is approximately 300 times the generating capacity of Iatan 2. When we made the decision to build a new coal-fired plant five years ago, we were in lock step with the community and regulators. We made this decision because it was, and still is, the best way for us to maintain reliable affordable service in the long term — 40 or more years. Though prices for natural gas are currently low, history tells us this will not be the case forever as gas pricing is volatile. We believe coal, which is the least expensive generating fuel, will continue to be a price-stable, reliable resource. The economic downturn has not eliminated the need for Iatan 2.