Wittkowski reporyed in ealt July 2023 that while the future of the former Palisades Nuclear Power Plant remains in limbo, several state and local officials gathered this past week in support of repowering the facility. State Rep. Joey Andrews hosted a “Repowering Roundtable” with media members before taking part in a tour of the Covert Township plant. He said the roundtable was held to underscore the urgency of securing state and federal funding for the Southwest Michigan plant.
“We could be the first in the country to do it,” Andrews said in reference to repowering Palisades. “There are a lot of plants in this country that shut down when they didn’t need to.”
Representatives from Holtec International – the current owner of Palisades – spoke along with community, labor and local government stakeholders. Mike Mlynarek, site vice president at Palisades, said reopening the plant would be a “historic opportunity” to return reliable power generation to the state.
“We want to be an example of ingenuity and determination for the nuclear industry and for our country, in so doing creating hundreds of jobs for our region and driving economic growth far beyond,” he said.
The former nuclear plant once employed more than 600 people and produced more than 800 megawatts of electricity. Shortly before the plant’s closure in May 2022, Gov. Gretchen Whitmer asked the federal government for funds to prevent its closure. Later, when Holtec bought the plant from Entergy Inc., it applied for civil nuclear credits from the U.S. Department of Energy.
That effort failed, but the company is now reapplying for federal loans directly from the DOE Loan Office and asking the state for $300 million. Holtec officials said they expect to hear the DOE’s decision this summer, as well as the state Legislature’s. This past Wednesday, the state House of Representatives passed the state’s fiscal 2023-24 fiscal budget to include $150 million for restarting the plant.
The DOE Loan Office is considering a $1 billion loan to resume Palisades operations, and it is expected DOE Secretary Jennifer Granholm – a former Michigan governor – will submit a letter of commitment. While Holtec awaits a notice of federal funds, Michigan legislators are also expected to signal whether they’ll issue a $300 million grant during that same timeframe.
Andrews, D-St. Joseph, said it was a rare day to bring representatives from the business community and organized labor together.
“I just want to point out how unifying this issue has been for our community and leaders,” Andrews said. “The nuclear plant here represents hundreds of jobs, plus an extra thousand-plus jobs during refueling and outages. Those are significantly well-paying jobs for our community, creating opportunities for all other industries to flourish around it.”
Covert Township Supervisor Daywi Cook said the township board approved a resolution earlier this year in support of reopening the former power plant:
“This is a necessary step toward solving our energy challenges,” she said Monday. “Of course the repowering of this plant would have a huge economic impact on our township by providing millions of dollars in tax revenue and hundreds of jobs. Our public school (district) alone has already reduced their budget by over $3 million since the closure.
“… We’re entering an era where something needs to change,” she added. “The current renewable energy solutions are not reliable enough and require a much larger physical footprint.”
Pat Dillon, executive vice president of Utility Workers Union of America, said he first visited Palisades in 1992 – about 20 years after the plant began generating power:
“Hopefully, pulling together, all of us can get this over the finish line and the state of Michigan can ensure its energy independence,” he said in support of the area’s utility workers.
Arthur Havlicek, president of the Southwest Michigan Regional Chamber of Commerce, called the effort to repower Palisades one of the most important initiatives to the region:
“Palisades, for over 50 years, has been able to provide safe, reliable and clean energy to countless citizens, homes and businesses throughout the area,” Havlicek said. “Whenever businesses look to invest anywhere in any community, the reliability of the grid is one of their chief concerns because that affects their ability to do business. On behalf of our members, we are fully supportive of bringing this plant online and encourage all stakeholders to come together and get behind this effort.”
The plant has been in active decommissioning since May 2022, closing nine years prior to its license expiring. Holtec, which bought the plant from Entergy Inc. shortly after it closed, has not taken any significant steps toward decommissioning, as state and local officials have urged a reopening. Between July and October, Holtec officials said they will make a final decision as to whether to reopen the plant – which is contingent on what kind of funding can be secured.
Another hurdle to be cleared is Holtec’s lack of a license to operate a nuclear plant. However, the company is in talks to work with a licensed operator – should it reopen the plant.
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