The Michigan Department of Natural Resources and Environment (DNRE) today denied Holland Board of Public Works - James DeYoung Plant's (HBPW) air quality Permit to Install application for a new 78-megawatt (MW) (gross) circulating fluidized bed solid fuel-fired boiler and associated equipment.  The decision follows a thorough review of the permit application under state and federal law.

The state's decision is based on findings of the Michigan Public Service Commission (MPSC), which said HBPW failed to demonstrate that the plant was needed to meet future energy supply needs.  This was in response to public comment on alternatives to construction of the plant.

Last year, Governor Jennifer M. Granholm asked energy experts at the MPSC to analyze whether there was a need for the proposed Holland facility and if there were alternative methods of meeting their customer demand.  The DNRE also considered the MPSC analysis as part of its air permit review process, consistent with the department's duties under state and federal law.

The DNRE determined that the HBPW had not adequately demonstrated through the alternatives analysis the ability to obtain other sources of power to meet their community's needs.  The MPSC analysis showed there were a number of alternative methods that would allow Holland to adequately supply its customers at a fraction of the cost of constructing a new coal-fired power plant.

Details of the review and decision along with a copy of the denial letter and the MPSC analysis can be viewed at www.deq.state.mi.us/aps/cwerp.shtml.

The DNRE is committed to the conservation, protection, management and accessible use of the state's environment, natural resources and related economic interests for current and future generations. For more information, go to www.michigan.gov/dnre.