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Reliability orders keep US fossil plants open
USA Energy security
US Secretary of Energy Chris Wright has issued emergency orders to ‘minimise the risk of blackouts’, ahead of the high electricity demand expected this summer, and address ‘critical grid security issues’, in the Midwestern and Northeast regions of the United States. The first order directs the Midcontinent Independent System Operator (MISO), in co-ordination with Consumers Energy, to ensure that the 1560 MW Campbell coal-fired plant in West Olive, Michigan remains available for operation, to minimise any potential capacity shortfall that could lead to unnecessary power outages. The plant had been scheduled to shut down on 31 May, 15 years before the end of its scheduled design life.
The second ordered PJM Interconnection to operate specified generation units at the Eddystone gas and oil fired plant in Pennsylvania past their planned retirement. “Today’s emergency order ensures that [consumers] in the greater Midwest region do not lose critical power generation capability as summer begins and electricity demand regularly reach high levels,” Secretary Wright said when issuing the MISO order. “This administration will not sit back and allow dangerous energy subtraction policies to threaten the resiliency of our grid and raise electricity prices on American families.”
The emergency orders, issued by the Office of Cybersecurity, Energy Security, and Emergency Response (CESER), are authorised by Section 202(c) of the Federal Power Act and in accordance with president Trump’s Executive Order declaring a national energy emergency. The aim is to ensure that the power generation availability in the region does not dip below 2024 capacity levels.
Elevated risk
North American Electric Reliability Corporation (NERC) had warned that the region served by MISO “is at elevated risk of operating reserve shortfalls during periods of high demand.” Upcoming planned thermal generation retirements remain a primary contributing factor to these tight reserve margins, NERC noteds, as well as the risk of supply shortfalls during the late summer months when solar output diminishes earlier in the day. The PJM order followed recent statements from the organisation warning that its system faces a “growing resource adequacy concern” due to load growth, the retirement of dispatchable resources, and other factors. The order specifies that PJM shall, in co-ordination with Constellation Energy, run specified units at the Eddystone Generating Station, when PJM deems necessary, past their planned retirement date of May 31 this year.
DTEK raises €67 m to build huge storage complex
Ukraine Energy storage Ukrainian utility DTEK has reached agreement with a consortium of Ukrainian banks led by Oschadbank in the largest financing yet of an energy storage project in Ukraine. Oschadbank, along with Ukrainian International Bank (PUMB) and Ukrgasbank (UGB), are providing around 3 billion UAH (€67 million) to fund the construction of what will be one of the largest energy storage complexes in Eastern Europe. The deal is DTEK’s largest domestic loan agreement to finance new energy infrastructure.
DTEK CEO Maxim Timchenko said: “DTEK’s investments in new energy capacity are not only a response to current challenges but also a contribution to the long-term strategy of ensuring Ukraine’s energy resilience and independence. Our goal is not just to restore but to create modern and reliable energy that will become the foundation for the country’s economic development”.
8 | June 2025 |
www.modernpowersystems.com
The loan agreement covers five energy storage installations with a total capacity of 180 MW. In total, six energy storage installations with a capacity of 200 MW are planned for construction in various regions of the country. The bank lending will finance part of the project costs, with the remainder coming from DTEK’s own funds. The agreement runs until 25 September 2030. Serhiy Chernenko, Chairman of PUMB’s Board said: “The stable operation of the energy sector is critically important for Ukraine, especially under constant attacks from the enemy targeting our energy infrastructure. This is not just about investing in infrastructure – it’s about strengthening the strategic energy independence and security of our state”. The project will enable simultaneous electricity supply to 600 000 Ukrainian households. Construction of the storage installations is expected to be completed during 2025.
RWE wins civil liability case Germany Legal issues
In the proceedings instigated by Peruvian farmer Saúl Luciano Lliuya against RWE AG, claiming potential damage to his farm, the Hamm Higher Regional court in Germany has dismissed the plaintiff’s appeal as unfounded. The case is a long standing legal challenge – nine years to date – between RWE and the Peruvian farmer that could set a global precedent by holding major polluters responsible for the effects of climate change
The plaintiff was unable to provide evidence of a serious threat of damage to his property from a flood wave from RWE’s upstream glacier lagoon. Following an extensive hearing of evidence, the court-appointed experts put the probability of flood risk to Mr Lliuya’s property at “1 per cent over the next 30 years”. From the court’s point of view, there was therefore no reason to investigate the existence of a causal link between RWE’s CO2
emissions
and the alleged danger to the plaintiff’s property.
The decision of the Hamm Higher Regional court means that the attempt, supported by German NGOs, to use Mr Luciano Lliuya’s lawsuit to create a precedent for holding individual companies responsible for the effects of climate change worldwide under German law has failed. RWE has always considered such civil ‘climate liability’ to be inadmissible under German law. It would have unforeseeable consequences for Germany as an industrial location, because ultimately claims could be asserted against any German company for damage caused by climate change anywhere in the world.
The court of first instance ruled that it is impossible to substantiate a motion for injunctive relief against the company, as the individual effects of climate change cannot be traced back to certain emitters owing to the large number of polluters. Other German courts have dismissed similar climate lawsuits – for example against Volkswagen, Mercedes-Benz and BMW – in both first- and second-instance proceedings, as injunctive relief cannot be granted against individual polluters if they comply with applicable public law regulations.
This is in line with the legal opinion of RWE, which comments that it operates its plants in accordance with applicable laws. It would, says RWE, be an insoluble
contradiction if the state were to allow CO2 emissions, subject them to detailed statutory regulations and actually call for them in certain cases, while ordering the assumption of civil liability for them retroactively.
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