Dynegy Supports Illinois Multi-Pollutant Standard Proposal to Lower Allowable Emissions

Dynegy Inc. (NYSE: DYN) supports the Illinois Multi-Pollutant Standard (MPS) proposal that the Illinois Environmental Protection Agency has filed with the Illinois Pollution Control Board for its consideration and approval.

The rule change, which targets only the Company’s eight MPS-affected coal-fueled generating facilities in downstate Illinois, would replace two sets of annual emission rate limits with a single set of specific annual tonnage limits. The amount of annual emissions allowed would be lower than under the current rule, including a 20% reduction in sulfur dioxide (SO2) emissions from the fleet. All other federal and state air quality regulations, including health-based standards, will remain unchanged and in place.

Even though this proposal places new fixed limits on allowable emissions from our plants, we support it because it will provide regulatory clarity, consistency and create a single MPS operating group,” said Dean Ellis, Dynegy’s Executive Vice President of Regulatory Affairs. “This will help us in the future to better meet changing electricity demand and preserve jobs, while maintaining very low levels of emissions.

These plants have already been retrofitted with approximately $2 billion in emission control technology that reduced sulfur dioxide emissions by 90% since 1998, with significant reductions of nitrogen oxides (NOx) and other emissions as well,” Ellis added. “The MPS proposal will cap annual emissions at levels lower than envisioned by the original MPS rule.”

The MPS proposal provides additional environmental and compliance-related benefits, including:

  • Allowing for the operation of the eight plants as a single MPS group with simplified annual compliance metrics that are consistent with existing federal programs;
  • Imposing new requirements to ensure the continuous operation of selective catalytic reduction (SCR) control systems during the ozone season, and for SCR-controlled units to meet a seasonal limit of 0.10 pounds NOx per million British thermal units (mmBtu); and
  • Setting an additional, site-specific annual SO2 limit for the Joppa Power Station.

Labor Support

The International Brotherhood of Electrical Workers, Local 51, (IBEW 51) also voiced its support of the proposed rule. “This new standard will help ensure that power generating facilities are available 24/7 to meet customer demand while providing additional environmental protections,” said John Johnson, IBEW 51 President. “These facilities provide good-paying union jobs for over 700 full-time employees, including 524 IBEW workers, and hundreds of part-time union and building trades jobs.”

About Dynegy

At Dynegy, we generate more than just power for our customers. We are committed to being a leader in the electricity sector. Throughout the Northeast, Mid-Atlantic, Midwest and Texas, Dynegy operates power generating facilities capable of producing 28,000 megawatts of electricity—or enough energy to power more than 22 million American homes. We’re proud of what we do, but it’s about much more than just output. We’re always striving to generate power safely and responsibly for our wholesale and retail electricity customers who depend on that energy to grow and thrive.

Forward-Looking Statements

This news release contains statements reflecting assumptions, expectations, projections, intentions or beliefs about future events that are intended as “forward-looking statements,” particularly those statements concerning Dynegy’s expectations and beliefs regarding the Illinois MPS proposal; future electricity demand; job preservation and emissions levels. These statements are based on the current expectations of Dynegy’s management discussion of risks and uncertainties that could cause actual results to differ materially from current projections, forecasts, estimates and expectations of Dynegy is contained in Dynegy’s filings with the Securities and Exchange Commission (the “SEC”). Specifically, Dynegy makes reference to, and incorporates herein by reference, the section entitled “Risk Factors” in its 2016 Form 10-K and subsequent Form 10-Qs. Any or all of Dynegy’s forward-looking statements may turn out to be wrong. They can be affected by inaccurate assumptions or by known or unknown risks, uncertainties and other factors, many of which are beyond Dynegy’s control.

Finally a Little Good News for Our Coal Plant Members

The head of the Environmental Protection Agency said Monday that he will sign a new rule overriding the Clean Power Plan, an Obama-era effort to limit carbon emissions from coal-fired power plants.

“The war on coal is over,” EPA Administrator Scott Pruitt declared in the coal mining state of Kentucky.

For Pruitt, getting rid of the Clean Power Plan will mark the culmination of a long fight he began as the elected attorney general of Oklahoma. Pruitt was among about two-dozen attorney generals who sued to stop President Barack Obama’s push to limit carbon emissions.

Closely tied to the oil and gas industry in his home state, Pruitt rejects the consensus of scientists that man-man emissions from burning fossil fuels are the primary driver of global climate change. President Donald Trump, who appointed Pruitt and shares his skepticism of established climate science, promised to kill the Clean Power Plan during the 2016 campaign as part of his broader pledge to revive the nation’s struggling coal mines.

In his order Tuesday, Pruitt is expected to declare that the Obama-era rule exceeded federal law by setting emissions standards that power plants could not reasonably meet.

Appearing at an event with Senate Majority Leader Mitch McConnell, Pruitt said, “The EPA and no federal agency should ever use its authority to say to you we are going to declare war on any sector of our economy.”

Obama’s plan was designed to cut U.S. carbon dioxide emissions to 32 percent below 2005 levels by 2030. The rule dictated specific emission targets for states based on power-plant emissions and gave officials broad latitude to decide how to achieve reductions.

The Supreme Court put the plan on hold last year following legal challenges by industry and coal-friendly states.

Even so, the plan helped drive a recent wave of retirements of coal-fired plants, which also are being squeezed by lower costs for natural gas and renewable power, as well as state mandates promoting energy conservation.

The withdrawal of the Clean Power Plan is the latest in a series of moves by Trump and Pruitt to dismantle Obama’s legacy on fighting climate change, including the delay or roll back of rules limiting levels of toxic pollution in smokestack emissions and wastewater discharges from coal-burning power plants.

The president announced earlier this year that he will pull the United States out of the landmark Paris climate agreement. Nearly 200 countries have committed to combat global warming by reducing carbon dioxide and other greenhouse gases that contribute to global warming.

Healthy Moms / Healthy Babies $250 gift card

Lineco provides a prenatal program for its participants called Healthy Moms = Healthy Babies.  This program provides resources and support for maternity patients, and helps ensure timely assistance for women during pregnancy. Upon completion of the program, participants receive a $250 gift card.  Visit the Lineco website for more information.

Hurricane Disaster Fund

Hurricanes Harvey and Irma have wreaked devastation in cities throughout Texas, the Gulf Coast region and the island of Puerto Rico.  Many of our brothers and sisters have lost homes and most of their possessions, inflicting major hardships.

IBEW members are encouraged to stand in solidarity and support the Hurricane Disaster Fund.  The money collected by the fund will be used to provide urgent relief to those most in need.  Make checks payable to the IBEW Unity Fund, indicating "Hurricane Disaster Fund" in the memo portion.  Our members may make contributions with a credit card by visiting http://secure.ibew.org/unityfund/

Please give what you can and show what true IBEW solidarity can accomplish.  Thank you!

Vote "YES" for the Ameren Contract


August 25, 2017

Ameren Cilco, IP and IP-Clerical
Local 51 Members

Dear Sisters and Brothers:

After the membership rejected the July 27th Ameren and IBEW System Council U-05 tentative agreement, the U-05 System Council Business Managers met with Ron Pate and Rita Zindars of Ameren Illinois on August 24th.   Ameren refused to change the July 27th tentative agreement.

Ameren said the rejected July 27th tentative agreement is their last, best and final offer.  Accordingly, there are no changes to the agreement rejected by the membership during the August meetings. 

The rejected tentative agreement that was unanimously recommended for a “yes” vote by the four (4) IBEW Locals will be voted again.  If the recommended last, best and final is rejected again, the Company has said they will change the offer.  They said if rejected they will implement a lesser offer on September 19th.  They did not say how the implemented package will be changed.

We asked the Company to extend all agreements until September 30th.  The Company said there was no need to extend the contracts.  We pointed out there are possible issues when working without a contract including the loss of the grievance/arbitration procedure.  The Company agreed to extend all contracts until midnight on September 8th, 2017.

To ensure the voting is completed by the evening of Thursday September 7th we will be voting in operating centers, at other work sites and at unit meetings scheduled the week of September 4th.  Also, from August 28th -September 7th between 8:00 am and 4:00 pm you can vote at the Local 51 Hall.

Per the System Council by-laws, we will count the ballots together and tally the results on September 8th, 2017.  Per the by-laws, there will be no absentee ballots. The times and locations of the scheduled voting are listed below. You may vote at any listed location. If due to storms, training, etc., members are away from their reporting center or their regular unit meeting on a scheduled voting day, and if they cannot vote at an alternative voting location, they should contact their Business Representative so attempts can be made to allow them to vote.

This vote is a STRIKE vote.  The ballots will have a box to vote “yes” to accept the last, best and final offer and a box to vote “no” to strike, which indicates a member’s willingness to strike.  We ask that you take this very serious and do everything possible to ensure you vote.

If the last, best and final offer is rejected, a strike would not begin on September 9th; but the Company stated a lesser package will be implemented on September 19th. 

If you have any questions, please contact Bob Wedell, Karlene Knisley, Tony Cook or myself.

In Solidarity,

John H. Johnson
Business Manager/Financial Secretary
IBEW Local 51