Decision not made on possible appeal for Wolverine

by Richard Lamb, Advance Editor

There has been no official word on what will happen next, regarding Wolverine Power?s plans to construct a 600-megawatt power plant in Rogers Township. The state denied Wolverine?s permit request May 21, but Wolverine?s 12-member board of directors could decide to appeal the decision. The board met in its regular monthly session last Thursday but came away with no decision on what to do next.

?The board talked in general terms about options, but it was not a major topic of discussion at the board meeting. It was major in the sense that we know we have to make a decision on it, but it wasn?t major in that the board didn?t spend a lot of time on it,? said Ken Bradstreet, director of communication and government affairs. ?I think it was pretty evident to everyone that this is not something we were going to decide based on the little information we had at this point.?

Bradstreet said that the board would carefully consider the options and do what is best for the member-owners of the six member co-ops, which make up Wolverine. The next board meeting is set for the last Thursday in June. Wolverine?s attorneys will study what strategy is best and will likely make a recommendation to the board of directors. An area to appeal might include why the air quality permit was denied. The governor said the state?s decision was based largely on findings of the Michigan Public Service Commission (MPSC), which said ?the company failed to demonstrate the plant was needed to meet future supply needs,? an opinion not shared by Wolverine. The letter of denial from the state?s ?decision-maker? did not include any reference that the proposed plant would be unsafe to the environment or outside the law regulating plants of this type.

?It is ironic that an air quality permit was denied for reasons that have nothing to do with air quality,? Bradstreet said. ?Certainly the DNRE has no expertise in power plant costs. I would argue that it is not the strong suit of the MPSC either. Obviously from the numbers they have presented, it is not their strong suit.? The permit is supposed to be a ?science permit? Bradstree

t said, not one based on perceived need using numbers which are in dispute. ?Clearly it was determined that the plant would not endanger public health,? Bradstreet said. If it were to be appealed at a circuit court level, it could be interesting to see who would represent the state. Attorney General Mike Cox said Gov. Jennifer Granholm overstepped her authority when she requested the MPSC do a needs analysis last year. Yet the findings of the MPSC were the basis of the denial of the permit by the DNRE. Bradstreet would not speculate on the chances Wolverine would appeal or the timeline for a possible appeal.

Regardless of whether a new plant is built or not, Bradstreet said energy prices will increase. Wolverine estimated a cost of $2,500 Kw and the governor estimated $3,800 Kw. ?The governor needed the $3,800 number in order to project a scary scenario. It is not a believable number,? Bradstreet said. So again the public waits for the next step. Will Wolverine appeal or not? If they do appeal, on what grounds will they challenge the state?s decision and what chance do they have of succeeding? Bradstreet remains hopeful. ?We are not going anywhere. We are not going to fold our tent and go home. We will plant trees and we are looking at what we have said all along that this is a great site for a power plant project. That hasn?t changed through this process. It is still true,? Bradstreet said.

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