Published: March 27, 2008 11:07 pm         

Environmental group files lawsuit to force DEP to pull co-gen plant’s permit

CHARLESTON — An environmental group says the air pollution permit for a proposed $416 million clean coal plant should be revoked because the developers have waited too long to begin construction.

The West Virginia Highlands Conservancy filed a lawsuit Wednesday in Kanawha County Circuit Court seeking to force the state Department of Environmental Protection to revoke the permit.

Western Greenbrier Co-Generation is trying to build the 98-megawatt electric plant in Rainelle. The plant would serve as a demonstration project by using coal waste, or gob, for fuel.

It also would make cement from coal ash and other waste, and provide heat to nearby businesses.

The DEP issued the air pollution permit in April 2006. The lawsuit argues that state rules require the DEP to revoke the permit after 18 months if the company does not submit “written proof of a good-faith effort that such construction ... has commenced.”

Western Greenbrier spokesman Wayne Brown said the developer is awaiting final approval from the U.S. Department of Energy before beginning construction.

A status report submitted to the DEP in October 2007 said options to purchase land had been signed and Western Greenbrier had obtained permits and selected an engineering firm.

John Benedict, director of the DEP’s Division of Air Quality, said earlier this week that the agency has not decided whether the status report was adequate.

Western Greenbrier has struggled to shore up financing for the project. Earlier this month, Brown said the project needs an additional $25 million in capital to satisfy Citigroup, which would underwrite an approximately $300 million bond offering for the project.