US power plant operator Dominion has announced plans to close and decommission its Kewaunee Power Station in Carlton, Wisconsin after the company was unable to find a buyer for the 556-megawatt nuclear facility. Pending a grid reliability review by the Midwest Independent Transmission System Operator, the station is expected to cease power production in the second quarter of 2013 and move to safe shutdown.
Dominion announced in April 2011 that it would seek to sell Kewaunee as part of a regular review of its portfolio of assets to determine which assets fit strategically and support its objectives to improve return on invested capital and shareholder value, however was unable to find a buyer for the facility.
“This was an extremely difficult decision, especially in light of how well the station is running and the dedication of the employees,” said Thomas F. Farrell II, Dominion chairman, president and CEO. “This decision was based purely on economics. Dominion was not able to move forward with our plan to grow our nuclear fleet in the Midwest to take advantage of economies of scale. In addition, Kewaunee’s power purchase agreements are ending at a time of projected low wholesale electricity prices in the region. The combination of these factors makes it uneconomic for Kewaunee to continue operations.”