Arkansas high court blocks coal-fired power plant

Arkansas's highest court Thursday upheld an appeals-court ruling that reversed a regulatory panel's decision to approve a $1.7 billion coal-fired power plant. "Justices unanimously reversed the decision by the Public Service Commission to grant a permit for the Southwestern Electric Power Co.'s John R. Turk Plant in southwest Arkansas," Andrew DeMillo of The Associated Press reports. "The ruling sent the case back to the PSC." The court agreed with opponents of the plant that the "commission violated state law by considering the need for the plant in a separate proceeding before considering whether to permit it."

In a concurring opinion, Justice Robert L. Brown also voiced concerns about the plant's environmental impact, writing, "preference given to coal over natural gas seems arbitrary in light of cost and the higher toxic emissions associated with coal." A SWEPCO spokesman told AP the company was reviewing the decision and had no further comment. Chuck Nestrud, an attorney representing opponents of the plant, said that SWEPCO, a subsidiary of American Electric Power, would have to reapply for the permit to allow the plant to proceed. (Read more)

UPDATE, June 2: AEP and the commission filed a motion with the high court, asking it to reconsider and clarify its ruling. "AEP said it is continuing construction [which began in late 2008] during the rehearing process," Mark Peters of Dow Jones Newswires reports. "The state certificate for the plant was challenged by property owners and hunting clubs near its site." (Read more)