AES Indiana wants to convert its remaining coal units to natural gas

AES Indiana wants to convert its remaining coal units to natural gas

AES Indiana has filed a request with the Indiana Utility and Regulatory Commission (IURC) for a Certificate of Public Convenience and Necessity (CPCN) to convert its remaining coal units, Petersburg Units 3 & 4, to natural gas.

The refueling will result in a carbon intensity reduction of 70% by 2030 compared to 2018 levels, AES Indiana said. The coal-to-gas conversion is expected complete by the end of 2026, which would make AES Indiana the first investor-owned utility in the state to cease burning coal.

AES Indiana says converting Petersburg Units 3 & 4 aligns with its 2022 Integrated Resource Plan (IRP). In addition to repowering, the Company’s portfolio includes adding approximately 1,300 MW of wind, solar and battery storage through competitively bid projects.

Last week, AES Indiana announced it acquired the Hoosier Wind project, a 106 MW wind farm in Benton County, Indiana. Earlier this year, AES Indiana received IURC approval for a 200 MW, 4-hour standalone battery energy storage system, the largest in the MISO region.

Petersburg Units 3 and 4 each have a nameplate capacity of 690 MW and came online in 1977 and 1986, respectively. AES Indiana retired the 230 MW Petersburg Unit 1 in May 2021 and the 415 MW Petersburg Unit 2 in June 2023.