Sign in Subscribe
Social services

Southwestern Electric Power Company Seeks Certificate of Public Convenience and Necessity for Natural Gas-Fired Generation Units in Texas

Strategic Insights

— 2 min read

Southwestern Electric Power Company (SWEPCO) has filed a supplemental amendment to its application with the Arkansas Public Service Commission (APSC) to construct and operate natural gas-fired generation units, the Hallsville Project, at the site of the retired Pirkey Plant in Texas. The company also seeks to convert existing Welsh Units 1 and 3 from coal to natural gas-fired generation units, the Welsh Project, under the Strategic Investment Rider (SI Rider) cost recovery mechanism.

Key Takeaways:

  • SWEPCO filed its original application on December 17, 2024, for a Certificate of Public Convenience and Necessity (CCN) for the Hallsville and Welsh Projects.
  • Arkansas Governor Sanders signed Act 373 of 2025 into law on March 20, 2025, making the SI Rider cost recovery mechanism available for new generation and transmission infrastructure projects.
  • SWEPCO filed a Supplement to its Application on March 26, 2025, stating its intentions to seek recovery of the Hallsville and Welsh Projects via the SI Rider.
  • Administrative Law Judge (ALJ) issued Order No. 4, instructing SWEPCO to address its eligibility for the SI Rider in its April 17, 2025 Rebuttal Testimony.
  • The Commission's General Staff and the Attorney General filed Surrebuttal Testimony on May 8, 2025, stating their position that the eligibility of the Projects under the SI Rider should be addressed in SWEPCO's future application to implement the SI Rider.
  • The General Staff and the AG also asserted that they were not provided adequate time or notice to address the eligibility issue and were instead focused on the Company's requested relief.
  • The APSC docket number for this matter is 24-052-U.
  • The Company's Supplement provides additional information on SWEPCO's plans to construct and operate the Hallsville and Welsh Projects.

Statistics:

  • December 17, 2024: SWEPCO filed its original application for a CCN for the Hallsville and Welsh Projects.
  • March 20, 2025: Arkansas Governor Sanders signed Act 373 of 2025 into law, making the SI Rider cost recovery mechanism available for new generation and transmission infrastructure projects.
  • March 26, 2025: SWEPCO filed a Supplement to its Application stating its intentions to seek recovery of the Hallsville and Welsh Projects via the SI Rider.
  • April 17, 2025: Administrative Law Judge issued Order No. 4 instructing SWEPCO to address its eligibility for the SI Rider in its Rebuttal Testimony.
  • May 8, 2025: The Commission's General Staff and the Attorney General filed Surrebuttal Testimony stating their position on the eligibility of the Projects under the SI Rider.

Sources:

  • BEFORE THE ARKANSAS PUBLIC SERVICE COMMISSION IN THE MATTER OF THE APPLICATION OF SOUTHWESTERN ELECTRIC POWER COMPANY FOR A CERTIFICATE OF PUBLIC CONVENIENCE AND NECESSITY TO CONSTRUCT THE HALLSVILLE NATURAL GAS PLANT IN HARRISON COUNTY, TEXAS AND FOR AUTHORITY TO CONVERT WELSH POWER PLANT UNITS 1 AND 3 TO NATURAL GAS ) ) ) ) ) ) ) ) DOCKET NO. 24-052-U

Read more