The boards of Lincoln Electric System and the Sheldon Station owner Nebraska Public Power District voted to dissolve a power purchase agreement in place since the early 1980s, multiple media outlets report.
LES will pay $10.5 million to NPPD to exit the contract, which was for the life of the plant. NPPD announced plans to convert part of the coal plant to burn hydrogen on a utility scale in 2015, but will continue to burn coal in one boiler.
LES said it has more capacity than it needs, and doesn’t plan on replacing the lost capacity from the Sheldon Station anytime soon.
