OG&E wins state approval to buy two power plants in Oklahoma

• 5 years ago (2019-05-16)
• David Flin

Coal 296 Gas 393 North America 1021

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Oklahoma Gas and Electric Company (OG&E), subsidiary of OGE, has received approval from the Oklahoma Corporation Commission (OCC) for acquiring two power plants in the US state. OG&E will pay a total of $53 million for Shady Point plant and the Oklahoma Cogeneration LLC facility.

The transaction also requires approval from the Federal Energy Regulatory Commission (FERC).

The 360 MW coal and natural gas-fired Shady Point power plant is expected to help OG&E maintain grid stability in eastern Oklahoma and western Arkansas. The 146 MW gas-fired combined cycle Oklahoma Cogeneration power plant will help OG&E support reliability and resiliency of electricity in the Oklahoma City metro area.

OG&E said that it is expanding its natural gas fuelled power generation and reducing its coal-fired capacity to meet the need for electricity with a cleaner approach. This strategy led the company to enter the deals to acquire Shady Point from AES, and Oklahoma Cogeneration from Oklahoma Cogeneration.

OG&E said that this will support the aim of reducing its overall power plant air emissions, with the goal of mitigating CO2 emissions to 50 per cent by 2030.