Proposed early retirement of Tri-State’s coal units a win for public health and the planet

Energy co-op also announces ambitious pursuit of federal clean energy funding
Contact

Kayah Swanson, 720.460.7785, kayah.swanson@sierraclub.org 

Denver, Colo. - Colorado’s second-largest electricity provider delivered a substantial win today for the health and wellbeing of citizens and the planet—and for the wallets of its members.

Tri-State Generation and Transmission Association, Inc. (Tri-State) announced a proposal to retire two coal units earlier than previously announced in its Electric Resource Plan (ERP), filed December 1. Tri-State proposed a retirement date of no later than September 15, 2031 for Springerville Generating Station’s Unit 3, its coal-fired unit in Arizona. It also proposed to retire Unit 3 of the Craig coal plant on January 1, 2028, roughly two years earlier than the previously-announced retirement date. 

“We are thrilled to see Tri-State committing to reduce its pollution by pursuing clean energy solutions and taking advantage of the federal funds available to help move communities toward a healthier future,” said John Clark, mayor of Ridgway, Colo. “Tri-State’s proposal to accelerate its transition away from coal and toward cleaner energy resources will both reduce harmful emissions and save its customers money.” 

The rural co-op’s proposal includes an ambitious request for federal funding through the New ERA program, a program in the Inflation Reduction Act intended to help rural Americans transition to clean energy. Tri-State has requested federal funding to build significant amounts of wind, solar, and battery storage resources, as well as to refinance costs associated with some of its coal units.  

Tri-State’s proposal to retire Craig 3 and Springerville 3 would significantly reduce the utility’s emissions. In 2022, Craig Unit 3 in Colorado emitted over 2.8 million tons of CO2, more than 1,700 tons of tons of acid rain-causing SO2, and more than 2,900 tons of ozone-causing NOx. Those emissions have caused an estimated average of over $75 million in increased healthcare costs each year from heart attacks, asthma attacks, and other diseases, according to EPA’s COBRA tool. Similarly, in 2022, Springerville Unit 3 in Arizona emitted over 2.8 million tons of CO2, more than 1,200 tons of SO2, and more than 1,000 tons of NOx, which the COBRA tool estimates have caused an annual average of over $50 million in increased healthcare costs.

“The emissions from these coal-fired plants have unnecessarily poisoned people and the planet for far too long,” said Sarah Clark, Colorado Field Manager for the Sierra Club. “As we look ahead to a clean-energy future, we’re committed to working with Tri-State and other stakeholders to support the impacted communities in Moffat County, CO and Apache County, AZ to gain the educational and financial support they need to transition to good-paying, unionized jobs in the clean energy sector.” 

The filing also spells good news for Tri-State ratepayers as costs for basic goods and services continue to rise: Tri-State’s shift from its coal-fired units to clean energy will generate much more affordable power. Tri-State estimates that its plan will save its customers more than $1.8 billion through 2043 compared to a business-as-usual scenario.

Tri-State filed this Phase I ERP application at the Colorado Public Utility Commission. The Commission is expected to issue a decision some time in 2024.  That decision will kick off the second phase of the resource planning process, where Tri-State will solicit bids for resources, then seek Commission approval of the portfolio of resources that Tri-State will acquire.  

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About the Sierra Club

The Sierra Club is America’s largest and most influential grassroots environmental organization, with millions of members and supporters. In addition to protecting every person's right to get outdoors and access the healing power of nature, the Sierra Club works to promote clean energy, safeguard the health of our communities, protect wildlife, and preserve our remaining wild places through grassroots activism, public education, lobbying, and legal action. For more information, visit www.sierraclub.org.