But the Columbus utility (NYSE:AEP) is steadily changing the mix. It projects its coal use to fall to 51 percent next year, with its former share taken up by natural gas, renewables and energy efficiency.
Using less coal is one of the hallmarks of the power plan. CEO Nick Akins said large-scale solar farms, instead of solar panels installed on rooftops, is one way AEP can help states meet the carbon-reduction standards.
“Utility-scale solar can really address the needs of the Clean Power Plan and other objectives that we have,” Akins said Tuesday at the Edison Electric Institute’s annual meeting.
He acknowledged the surprise the response might elicit, but said the plan can help spur new projects for AEP.
“We believe that it can be, if done wisely and rationally, a catalyst for the transformation that’s already occurring in our industry,” he said.
There’s been a large amount of coal power plant retirements in recent years to meet other regulations, and a need to replace them with new generation.
The EPA plan, Akins said, gives the power company an opportunity to work on plans with the 11 states in which it operates.
“That’s a great way for us to continue to invest in the resources of the future,” he said.
