By Winston Jones | Douglas County Sentinel | May 17

GreyStone Power Corporation has pulled the plug on its plans to participate in the construction of a new coal-fired electric generating plant in Washington County, Georgia, company officials announced Friday.

Gary Miller, GreyStone president/CEO, said that an uncertain political climate in Washington led the cooperative to withdraw from its alliance with Power4Georgians, the group of 10 electric cooperatives that originally joined to build the plant.

“Not knowing how changes in Washington, D.C., with regard to coal and environmental regulations might affect plans for Plant Washington, and with an immediate need to secure additional power resources to meet future demand, we felt the near-term solution was to step away from an ownership interest in a new coal-fired plant,” Miller said.

He said the vote to withdraw was made at GreyStone’s January board of directors meeting, but the company withheld an announcement while it heard some last minute proposals from Power4Georgians for reconsideration.

“We heard nothing to change the board’s feelings,” he said.

Miller said he still believes that coal is a necessary and viable source of electric power generation.

“It’s very abundant and has always been an economical source of power,” he said. “We recognize that coal is an absolutely essential part of a comprehensive plan to assure that our members’ lights stay on today and come on when they flip their switches many years from now.”

He said GreyStone’s retail rates are among the lowest in the state.

Miller said since energy costs remain volatile and the U.S. has a 250-year supply of coal, it must remain part of the equation for reliable and affordable power.

He said GreyStone may still consider purchasing power from Plant Washington, if it’s built.

“We’re just stepping away from an ownership interest at this time,” he said.

Miller said GreyStone is negotiating with several power generators, including a 30 percent share in an Oglethorpe Power natural gas plant and a 36-megawatt commitment to Georgia Power’s Plant Vogle two nuclear generators.

He said GreyStone is also becoming involved in biomass generating plants, contracting for a 4-megawatt share of a Decker Energy Corporation plant in Fitzgerald which will burn wood scraps. He said the company will also be committed to 44 megawatts of three 100-megawatt plants planned by Oglethorpe.

According to 2008 sales statistics supplied by GreyStone, the company last year generated 46.2 percent of its power by natural gas; 30.7 percent by coal; 19.2 percent by nuclear; 3.5 percent by hydroelectric; and 0.4 percent by “green” sources.