Michigan utility plans to stop burning coal by 2040

TRAVERSE CITY, MICH.» Consumers Energy will phase out electricity production from coal by 2040 to slash emissions of heat-trapping gases that cause global warming, the Michigan utility’s president and CEO said.

The utility plans to generate 40 percent of its power from renewable sources such as wind and solar energy by then, Patti Poppe said Monday. She said the utility will rely on natural gas, hydropower and improved efficiency to meet customer needs.

Consumers Energy and DTE Energy Co., which supply most of Michigan’s electricity, are among many U.S. providers moving away from coal even as President Donald Trump’s administration boosts fossil fuels and seeks to unravel former President Barack Obama’s policies that promoted cleaner power.

“We believe that climate change is real, and we can do our part by reducing our greenhouse gas emissions. And we also believe it doesn’t have to cost more to do it,” Poppe said. “We believe we’re going to be on the right side of history on this issue.”

Coal is becoming less competitive as the cost of producing renewable energy falls steadily, she added.

Environmental groups praised the move after the utility officially announced the move Monday. But they also urged the utility to make the transition from coal to renewable sources in less than 22 years.

“It’s a great sign that the tide is turning,” said Kate Madigan, an energy policy specialist with the Michigan Environmental Council. “We’re looking forward to working with them and making sure they follow through on this commitment — and seeing if we can get there even faster.”

Power companies are under increasing pressure to reduce emissions of carbon dioxide, which are trapping heat in the atmosphere and promoting what scientists describe as a dangerously warming climate that will endanger human health and natural systems.

A 2016 state law set a renewables target for Michigan utilities of 15 percent by 2021. Environmentalists are circulating petitions for a statewide ballot initiative that would require 30 percent by 2030, which Consumers Energy and DTE have criticized as unnecessary.

Poppe told the AP that Consumers Energy will file a plan by June with the Michigan Public Service Commission with a detailed timetable for phasing out coal and supplying its customers with power from a mix of renewable and traditional sources. Commission approval will be needed before the utility can proceed.

The utility closed seven of its 12 coal-fired plants in 2016, which the company said had lowered its carbon generation by 38 percent from 2008 levels. Its long-term strategy will yield an 80 percent reduction in carbon emissions, Poppe said.

Rapidly developing technology and falling prices are making green energy more cost-effective than it was even a decade ago.