FERC Green-Lights Dynegy's Illinois Expansion

The Federal Energy Regulatory Commission says Ameren Corp. can sell five Illinois coal-fired power plants to Houston-based Dynegy — though the deal still hinges on a pollution-control waiver.

The commission granted federal approval for Dynegy to acquire the plants through its subsidiary, Illinois Power Holdings.

There now remains one regulatory hurdle. Illinois state law requires soot-control equipment be installed at the five plants. Dynegy has applied to the Illinois Pollution Control Board, asking for more time to comply.

Katy Sullivan is a spokesperson for Dynegy.

“Both Ameren and Dynegy are working on completing all the work to be ready to close the transaction, assuming a favorable decision from the Illinois Pollution Control Board, and given that that decision is expected in November, we had looked to close the transaction before the end of the year, if we do receive a favorable decision from that board.”

The sale could still unravel if the board refuses to grant a delay. Saint Louis-based Ameren already has a five-year waiver after claiming financial hardship. But the pollution control board said the waiver couldn’t simply be transferred to Dynegy. 

Bio photo of Andrew Schneider

Andrew Schneider

Business Reporter

Andrew Schneider joined KUHF in January 2011, after more than a decade as a print reporter for The Kiplinger Letter...