skip to main content
skip to newscasts

Wednesday, March 19, 2025

Public News Service Logo
facebook instagram linkedin reddit youtube twitter
view newscast page
play newscast audioPlay

The Palestinian Ambassador calls on the UN to stop Israeli attacks. Impacts continue from agency funding cuts and state bills mirror federal pushback on DEI programs.

view newscast page
play newscast audioPlay

The Palestinian Ambassador calls on U.N. to stop Israeli attacks. Impacts continue from agency funding cuts, and state bills mirror federal pushback on DEI programs.

view newscast page
play newscast audioPlay

Cuts to Medicaid and frozen funding for broadband are both likely to have a negative impact on rural healthcare, which is already struggling. Plus, lawsuits over the mass firing of federal workers have huge implications for public lands.

Report Examines Private Equity Power Plants in PJM, Growing Financial Risks

play audio
Play

Thursday, August 24, 2023   

A new report found Pennsylvania communities could be negatively affected by the increasing financial risk in the nation's largest electricity market.

The PJM Interconnection includes Pennsylvania and a dozen other states. According to the Institute for Energy Economics and Financial Analysis, private equity and private capital-owned power plants in the PJM face financial struggles including lower revenue generating capacity.

Dennis Wamsted, energy analyst at the Institute For Energy Economic and Financial Analysis and the report's author, explained the PJM market had robust growth in the last decade from high-capacity prices; but those prices have collapsed, squeezing existing and new developers.

"Financial investors can essentially decide that they no longer want to operate these facilities, and they can notify and tell PJM, OK, we're gonna plan on closing this in 90 days, 100 days," Wamsted outlined. "Unfortunately, that leaves communities in broader areas where these plants are located at risk of losing a great deal of tax revenue, and many good jobs."

Wamsted offered an example of a coal-fired power plant in Homer City, Pennsylvania, which recently closed due to ongoing financial trouble. The owners, who are private equity companies, gave just 90 days warning before the July 1 shut down.

The report pointed out regulatory fines related to last December's winter storm Elliot totaled about $1.8 billion, with some private equity firms hit the hardest, pushing some existing plants into bankruptcy. He added there are no subsidies or loans available for the coal-fired power plants struggling financially.

"There are plenty of subsidies and loans and plenty of carrots, if you will available for new power plant developers, especially those that want to produce wind, solar or battery storage projects that were enacted with the Inflation Reduction Act of 2022," Wamsted stressed.

Wamsted acknowledged no coal-fired plants in Pennsylvania have filed for bankruptcy but elsewhere in the PJM system, there are a number of gas fired plants that have. He added it is another indication of the rising financial risks for power plant owners and developers in Pennsylvania and across PJM.

Disclosure: The Institute for Energy Economics and Financial Analysis contributes to our fund for reporting on Budget Policy and Priorities, Energy Policy, Environment, and Urban Planning/Transportation. If you would like to help support news in the public interest, click here.


get more stories like this via email
more stories
Nationally, veterans are 1.5 times more likely to die by suicide than are nonveteran adults, with an average of almost 18 veteran suicides per day in 2021. (flysnow/Adobe Stock)

Social Issues

play sound

Michigan is home to more than 470,000 veterans, yet many have never accessed the military benefits to which they are entitled. The gap in support …


Health and Wellness

play sound

By Ramona Schindelheim for WorkingNation.Broadcast version by Isobel Charle for Oregon News Service reporting for the WorkingNation-Public News Servic…

Social Issues

play sound

An Illinois documentary takes a deep dive into the Illinois Prisoner Review Board and the politics that influence its decision-making through one man'…


As of November 2024, the U.S. Postal Service employed more than 7,000 people in Kentucky. (Adobe Stock)

Social Issues

play sound

Postmaster General Louis DeJoy is joining forces with the so-called Department of Government Efficiency to cut costs at the Postal Service, this week …

Environment

play sound

For decades to come, South Dakotans can make use of an expanded wilderness in the southeastern part of the state, as a new land deal will keep …

Research shows students' sense of belonging improves academic outcomes, increases continuing enrollment in school and is protective for mental health. (Monkey Business/Adobe Stock)

Social Issues

play sound

As the immigration debate continues, many children of immigrants in Texas who are American citizens are caught in the middle. An elementary school …

Social Issues

play sound

Coloradans with low bank balances would be on the hook for an extra $225 a year if Congress votes to roll back a new rule capping overdraft fees at $5…

play sound

By Ramona Schindelheim for WorkingNation.Broadcast version by Mark Richardson for Virginia News Connection reporting for the WorkingNation-Public News…

 

Phone: 303.448.9105 Toll Free: 888.891.9416 Fax: 208.247.1830 Your trusted member- and audience-supported news source since 1996 Copyright © 2021