“Our recommended mix of renewable and natural gas resources is expected to maintain the ability to turn on generating resources during times of greatest demand supporting reliability and continuing our strategy of providing cleaner electricity that meets customers’ future energy needs.”— Richard Leger, Senior Vice President, Indiana Electric
Positive Environmental Impact • Maintaining Reliable and Affordable Service
• Flexible, Balanced and Diverse Portfolio • Effective Regulatory
and Legislative Partnerships
We are progressing on our Indiana energy transition plan that seeks to provide a balanced, flexible renewable energy mix to help support a cleaner environment, while responsibly managing costs for our customers.
Our newest Integrated Resource Plan, released in May 2023 and submitted to the Indiana Utility Regulatory Commission, explains CenterPoint Energy’s complete exit of operating coal-fired generation by year-end 2027 and investing further into renewable energy sources backed by natural gas-fired generation.
We have plans to retire 730 megawatt hours (MWs) of coal-fired generation in favor of renewables. We expect to have approximately 1,000 MWs of power generation from sources such as wind and solar by 2025.
Generation is expected to shift from coal to renewables and gas in the near term with a long-term shift from natural gas to mostly renewables.
- By 2030, 80% of energy produced is expected to be from wind and solar resources
- From 2023 to 2030, CO2 emissions are expected to drop by 88% and 97% by the end of the period
GENERATION TRANSITION EXPECTED PLAN GOALS:
- Convert F.B. Culley 3, the last coal unit operated by CenterPoint Energy, to natural gas by the end of 2027, maintaining its 270 MW capacity
- Preserving the 270 MW of dispatchable generation is expected to maintain reliability during long duration summer and winter weather events
- Add 200 MW of wind and 200 MW of solar by 2030, with the potential need for an additional 400 MW of wind resources by 2032
- Two Gas-fired Combustion Turbines at A.B. Brown
- The construction of two natural gas generation turbines and the retirement of our smaller, inefficient coal units will continue to reduce our emissions and maintain our focus on the environment while providing our customers a cost-effective option for delivering energy.
GENERATION TRANSITION EXPECTED PLAN BENEFITS:
- Supports reliability, preserving 270 MW of capacity
- Expected to save customers nearly $80 million in the aggregate compared to the continued use of coal at F.B. Culley 3
- Savings reflect low upfront capital costs, reduced operations and maintenance, and reduced fuel costs result in savings for customers when compared to continuing to run on coal
- Expected to reduce carbon emissions from our electric generation fleet by more than 95% over the next 20 years
- Expected to reduce future customer cost risk by preserving interconnection at Culley 3
- Preserves tax base in Warrick County
Generation transition plan involves forward-looking statements and risk and uncertainties. For more information, see Cautionary Statement and the risk factors included in our annual report on Form 10-K, our quarterly report on Form 10-Q for the period ended March 31, 2023, and in other reports we filed with SEC.