A New Life for Coal Plants: How Repurposing Coal-Fired Energy Plants Could Help Revitalize Midwestern Communities 

By: Annmarie Buckley 

As the U.S. continues efforts to prioritize clean energy, coal-fired energy plants across the country are shutting down. These shutdowns have had enormous health and environmental benefits on the surrounding communities.[1] Despite those benefits, the decommissioning of coal plants can have detrimental effects, particularly on the towns that relied on the plants for economic growth and stability.[2] Midwestern and Appalachian towns are acutely affected by coal plant decommissions, as coal has been the economic lifeblood of those communities for generations.[3] To alleviate the economic burdens of decommissioning, there is a growing demand for ways to repurpose retired coal plants to serve the needs of the communities surrounding them.

When they no longer provide coal-fired energy generation, decommissioned coal plants can provide a host of development opportunities. The plants can be beautified and contribute to native ecosystems as parks and habitat rehabilitation sites.[4] They can also still be used for energy generation by becoming sites for solar and nuclear power generation.[5] New sites for clean energy from retired coal plants could provide an opportunity to strengthen communities’ economies by providing jobs while also mitigating environmental and health risks correlated with pollution.[6]

Coal-Fired Energy

Coal-fired energy was a staple of American life throughout industrialized history.[7] Over time, however, as public concern arose about the effect of coal emissions, the U.S. became less and less reliant on coal.[8] Several factors are linked to coal’s downfall, including environmental regulation, competition from competing energy industries like natural gas and renewables, and generally increased efficiency of coal itself.[9]

Several alarming effects of air pollution roused public concern, such as acid rain. Acid rain forms when sulfur dioxide and nitrogen dioxide react with rainwater and oxygen, resulting in harm to the environment.[10] Concerns about the detrimental effects of air pollution on human and environmental health led to the passage of the Air Pollution Control Act in 1955, which provided funding for air pollution research.[11] Later, in 1963, the Clean Air Act, a sweeping body of legislation that aimed to decrease air pollution, was passed.[12] The Clean Air Act was amended several times, with the last revisions being implemented in 1990. These amendments expanded legislation to address concerns about climate change, ozone layer depletion, and the adverse effects of air pollution on human health.[13]

Alongside the policy shift away from heavily polluting coal-fired energy generation, new developments in the energy sector have positioned natural gas and renewables as strong competitors to the once-dominant coal industry.[14] Coal also had to compete with itself, as “cleaner” coal mined on the American West Coast was found to be more efficient as an energy source and less pollutant due to lower sulfur emissions from its burning.[15] Thus, many older coal plants closed operations and existing coal plants required fewer workers.[16] As a result, many decommissioned coal plants have stood useless for decades.[17]

Michigan’s Initiative

Recently, Michigan started a new initiative, working with a rather unlikely team of conservation groups and utility companies. The Saginaw Basin Land Conservancy and Consumers Energy are working to redesign the Dan E. Karn coal plant to be both a community green space and a site for renewable energy generation.[18] The decommissioned plant has been an eyesore along the Saginaw Bay for years, blocking public access to the waterfront and providing no economic benefit.[19] For this initiative, Michigan plans for the Karn plant to be repurposed with park space, waterfront access, natural habitat preservation areas, and 250,000 new solar panels.[20]  The initiative’s main focus is creating a space for mixed-use development, combining industrial use with community beautification and environmental rehabilitation.[21]

The initiative comes at the heels of Michigan’s recent commitment to a transition to clean energy sources. This commitment is embodied in newly passed legislative packages, including the Clean Energy Future package (consisting of Senate bills 271, 273, 277, 502, 519) and the Clean Energy and Jobs Act (consisting of House bills 5120 and 5121).[22] Following the recommendations of Michigan’s “MI Healthy Climate Plan,” a directive developed by Michigan residents, public leaders, and environmental justice organizations, the legislative packages expanded funding opportunities for clean energy projects.[23] The directive also created workforce development opportunities for the transition to clean energy-related jobs and stated a commitment to Michigan’s transition to 100% clean energy reliance by 2040.[24]

Benefits of Repurposing Coal-Fired Energy Plants

By emphasizing the importance of clean energy to cut back on carbon emissions and meet climate goals, Michigan has seen significant job growth in the energy sector with the implementation of more clean energy sources. Michigan ranks 6th in the nation for clean energy job growth, with jobs in clean energy growing twice as fast as those in other sectors.[25] The promising employment opportunities in clean energy can provide hope for recovery, especially for communities struck by the economic blow of decommissioning coal plants.

Further, the employment opportunities from repurposed coal plants can be pinpointed to the communities surrounding them by providing access to various jobs in the energy sector as coal-related positions are phased out. Workers who have lost opportunities working on coal-fired power plants could find opportunities in clean energy maintenance and assessment. Michigan specifically is aiding this transition for workers by expanding workforce development to train or retrain workers to meet the needs of clean energy generation.[26]

Challenges Ahead

Although promising for both beautification and economic rehabilitation, repurposing coal plants is a long and difficult undertaking. Before plants can be repurposed, significant remediation efforts to clean up the residual pollution surrounding the plant are necessary.[27] Those remediation efforts take an average of twenty-seven years to complete.[28] In addition to the obstacles caused by remediation, stakeholders must navigate public policy hurdles before repurposing the plants.[29] Zoning issues and land use restrictions can limit the purposes for which the plant can be redeveloped.[30] Even after remediation efforts, if the land is too contaminated, it may not be suitable for public use.[31] Utility companies have the final say in how land with existing utility infrastructure is used and, therefore, may limit the options for repurposing.[32] Finally, there is limited data on the costs associated with remediation and repurposing of coal plants.[33] Thus, communities will have to grapple with ways to balance the expenses of years of remediation and repurposing and seek ways to fund the project through both private and public sources.

Blueprint for the Future

Even amidst the obstacles, as Michigan’s initiative gets underway, the eyes of environmentalists, community leaders, and utility companies alike will be on the Karn plant. A successful repurposing of the Karn plant could serve as a powerful blueprint for other Midwestern states looking to rehabilitate coal plants and revitalize surrounding communities.

 

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[1] Sheena E. Martenies et al, Health and Environmental Justice Implications of Retiring Two Coal-Fired Power Plants in the Southern Front Range Region of Colorado. 3(9) GeoHealth. 266, 271-279 (2019) (discussing the health benefits and environmental justice impacts of decommissioning coal plants).

[2] G. Jason Jolley et al, The Economic, Fiscal, and Workforce Impacts of Coal–Fired Power Plant Closures in Appalachian Ohio, 11 Regional Science Policy & Practice. 403, 406-407 (2019) (discussing job loss caused by coal plant shutdowns).

[3] Siri Chilukuri and John McCracken, Across the Midwest, communities grapple with the idea of a future without coal, MinnPost (Oct. 10, 2023). https://www.minnpost.com/other-nonprofit-media/2023/10/across-the-midwest-communities-grapple-with-the-idea-of-a-future-without-coal/.

[4] Id.

[5] Patricia DeLacey, Pinpointing coal plants to convert to nuclear energy, considering both practicality and community support, University of Michigan School of Engineering (July 11, 2024). https://news.engin.umich.edu/2024/07/pinpointing-coal-plants-to-convert-to-nuclear-energy-considering-both-practicality-and-community-support/.

[6] DOE Report Shows Clean Energy Jobs Grew at More Than Twice the Rate of Overall U.S. Employment, United States Department of Energy (Aug. 28, 2024). https://www.energy.gov/articles/doe-report-shows-clean-energy-jobs-grew-more-twice-rate-over

[7] Christopher Jones, Overview: Rise of Coal in the Nineteenth-Century United States, Energy History Online, Yale University (2023) https://energyhistory.yale.edu/rise-of-coal-in-the-nineteenth-century-united-states/.

[8] Charles D. Kolstad, What is Killing the Coal Industry? Stanford Institute for Economic Policy and Research (Mar. 2017). https://siepr.stanford.edu/publications/policy-brief/what-killing-us-coal-industry.

[9] Id.

[10] Overview of the Clean Air Act and Air Pollution, United States Environmental Protection Agency (Oct. 2, 2024) https://www.epa.gov/clean-air-act-overview.

[11] Id.

[12] Id.

[13] The Clean Air Act – Highlights of the 1990 Amendments, United States Environmental Protection Agency (Nov. 21, 2023) https://www.epa.gov/clean-air-act-overview/clean-air-act-highlights-1990-amendments.

[14] Charles D. Kolstad, supra note 8

[15] Id.

[16] Id.

[17] Id.

[18] Transformative Vision for Retired Coal Plant Site Restores Community Waterfront Access, Offers Model for Coal Plant Closures, Environmental Law and Policy Center (Sept. 12, 2024). https://elpc.org/news/vision-for-coal-plant-site-restores-waterfront-access-offers-model-for-coal-plant-closures/.

[19] Kelly House, Could parks and beaches replace coal plants in Michigan? Bay City may find out | Bridge Michigan, Bridge Michigan (Sept. 14, 2024). https://www.bridgemi.com/michigan-environment-watch/could-parks-and-beaches-replace-coal-plants-michigan-bay-city-may-find

[20] Transformative Vision for Retired Coal Plant Site Restores Community Waterfront Access, Offers Model for Coal Plant Closures, supra note 4.

[21] Id.

[22] Michigan becomes a national leader in climate action with new legislation, making progress on the goals of the MI Healthy Climate Plan, State of Michigan (Nov. 28, 2023) https://www.michigan.gov/egle/newsroom/mi-environment/2023/11/28/michigan-becomes-a-national-leader-in-climate-action-with-new-legislation.

[23] Id.

[24] Id.

[25] ICYMI New Report Michigan Ranks 6th Nationally for Clean Energy Jobs, State of Michigan (Sept. 23, 2024). https://www.michigan.gov/leo/news/2024/09/23/mi-ranks-6th-nationally-for-clean-energy-jobs

[26] Michigan becomes a national leader in climate action with new legislation, making progress on the goals of the MI Healthy Climate Plan, supra note 22.

[27] Transforming Coal Plants into Productive Community Assets, Delta Institute (Oct. 21, 2014). https://delta-institute.org/wp-content/uploads/2020/04/Coal-Plant-Overview-Report-10-21-14.pdf.

[28] Id.

[29] Plant Decommissioning, Remediation and Development, United States Environmental Protection Agency, https://www.epa.gov/sites/default/files/2016-06/documents/4783_plant_decommissioning_remediation_and_redevelopment_508.pdf

[30] Id.

[31] Id.

[32] Id.

[33] Id.