Duke Energy to shed Midwest generation business

[bananas]

Source: Associated Press

Duke Energy says it will get out of the wholesale power-generation business in the Midwest because the financial results are too volatile.

The company owns a stake in 11 power plants in Ohio and one each in Illinois and Pennsylvania.

<snip>

Last week, Ohio regulators rejected a $729 million Duke rate-increase request. The Duke CEO had said the decision in that case could influence whether the company sold its generation business in the state.

Duke said it would take 12 to 18 months to sell the six plants that it owns outright and its interest in the other seven. Six burn coal, six run on natural gas, and one burns oil. The plants can generate 6,600 megawatts of power and employ about 600 people.

<snip>

Read more: http://www.washingtonpost.com/business/duke-energy-to-shed-midwest-generation-business/2014/02/17/88ab5284-980e-11e3-ae45-458927ccedb6_story.html

[bananas]

1. Press release with list of plants

http://online.wsj.com/article/PR-CO-20140217-906206.html

PRESS RELEASE
February 17, 2014, 1:05 p.m. ET

Duke Energy to begin process to exit its Midwest generation business

CHARLOTTE, N.C., Feb. 17, 2014 /PRNewswire/ -- Duke Energy has initiated a strategic process to exit its Midwest commercial generation business, which includes ownership interests in 13 power plants.

<snip>

Citigroup and Morgan Stanley will advise Duke Energy in the transaction.

The following is an alphabetical listing of the 13 power plants in Midwest generation.

<snip>

Duke Energy is the largest electric power holding company in the United States with more than $110 billion in total assets. Its regulated utility operations serve approximately 7.2 million electric customers located in six states in the Southeast and Midwest. Its commercial power and international business segments own and operate diverse power generation assets in North America and Latin America, including a growing portfolio of renewable energy assets in the United States.

<snip>

[modrepub]

2. Wonder it this has more to do

with OH becoming a deregulated market than anything else. Have to look at the plants to see how old they are; old plants are more expensive to run for lots of reasons.

[hatrack]

3. Oh, I'm sure they'll use the money to clean up their coal ash pits