DOE cools off on FutureGen’s clean coal plant

The Department of Energy may have just handed out $27.6 million for clean coal projects, but it’s already looking to curtail its involvement — particularly in the large-scale Illinois clean-coal plant being built by the FutureGen Alliance, the nexus of nine utilities pushing to make it a reality.
The DOE and FutureGen have inked a deal to slash construction costs and bring in more partners to carry the anticipated $2.4 billion load. Right now, the DOE is carrying the bulk, having granted $1.1 billion to the project.
The government’s enthusiastic support is based on the claim that carbon sequestration equipment installed in the plant will trap up to 60 percent of its greenhouse gas emissions. If the FutureGen plant proves to be a success, it may pave the way for similar commercial-scale plants, creating thousands if not millions of “green collar” jobs — at least that’s the thinking.
Still, the DOE is looking to dilute its role in the project, perhaps to free up funds for other cleantech initiatives. In order to make this possible, FutureGen agreed to up the number of companies in its consortium from nine to 20. When VentureBeat last reported on FutureGen, it was 11 utilities strong, but Southern Co. and American Electric Power opted out in June in order to tighten their belts.
Their departure, and the DOE’s decision to back off are not so surprising. Since the 275-megawatt Illinois plant was pitched to the government, the terms have changed. Originally, the new equipment was supposed to trap up to 90 percent of carbon emissions — a figure that has since been scaled to 60 percent. The shift pointed to a lack of technical understanding of the facility’s feasibility. Also, recruiting 20 companies into the fold has been a long-standing goal, but little progress has been made.
On top of those drawbacks, politicians involved in supporting FutureGen and its bold plans have become increasingly wary that their constituencies oppose the plant and clean coal efforts in general. Eco-friendly states where renewables rule object to the idea that coal will ever be clean. While industrial states with a wealth of coal are upset that carbon sequestration and other initiatives are upping costs. Now, with the DOE deal, it looks like the bloom might officially be off the rose.