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Business Groups and Organized Labor Oppose Potential Coal Plant Closures

The coal fired City, Water, Light, & Power plant in Springfield would face closure if Governor JB Pritzker and environmental advocates get their way in a new energy bill.

A group of business and labor leaders say if coal-fired power plants in Illinois are required to close under a new energy bill, it will raise costs for consumers and put thousands out of a job.

“This is the largest rate hike on Illinois businesses and families in our state’s history and will create reliability issues,” said Illinois Manufacturers’ Association President & CEO Mark Denzler. “Manufacturers have reduced emissions by 21 percent in the last decade while increasing economic output by 18 percent. We ask the governor and lawmakers to rethink this proposal, which will end one of best competitive advantages in Illinois.”

No formal bill has been reached and lawmakers have yet to take a vote, but unions and business groups are at odds with Governor JB Pritzker and clean energy advocates over a forced closure of coal-fired power plans by 2035 and an increased reliance on green energy. Advocates say Illinois needs to be a leader at addressing climate change, but opponents say shutting down coal plants will require Illinois to ship in coal-produced energy from states like Missouri and Kentucky.

Denzler says the Governor’s office estimates show the proposal will result in an overall rate hike of 10-12 percent for industrials in the Ameren territory and a slightly smaller percentage increase in ComEd territory.

Rick Tervin of the Illinois Pipe Trades Association says the bill would have negative consequences for employees, many of whom live in small towns around the state.

“The current proposal is so aggressive and unrealistic in enforcing plant closures, it will cause unnecessary pain for many workers, businesses, and communities across the state.,” Tervin said. “We feel there is a better approach that can largely achieve the same end goals but is more thoughtful and sensitive to the impact on workers.”

Some Democrats have said they won’t vote for any energy package that allows coal-burning energy sources to stay open past 2035.

None argued against a potential $700 million bailout for Exelon, the parent company of Commonwealth Edison, which was at the center of a bribery scandal involving former House Speaker Michael Madigan.

“If the state moves in a direction, for example, where the nuclear facilities are forced to close, not only does it put men and women from labor out of work, but it creates reliability issues,” Denzler said. “Then you’re going to have a significant cost impact.”

All of the groups involved Thursday say they support clean energy and investing more in clean energy like wind and solar. But, they say, you can’t rely on it for affordability and supply yet.

Patrick Pfingsten

@pfingsten1 patrick@theillinoize.com