By: Carla Branch
While GenOn’s Potomac river generating station, the coal-fired power plant on Alexandria’s waterfront, is on track to close Oct. 1, 2012, redevelopment remains far into the future.
"PRGS is on track to quit producing electricity by October 1, 2012. At that time, the plant will begin what we are calling “phase I” decommissioning activity,” said Misty Allen, a GenOn spokesperson. “Phase I will consist of all activities necessary to put the plant into a “cold shutdown” status by de-energizing and mitigating potential environmental risks at the site. GenOn is not demolishing the plant or any related structures it owns on the site. It is expected that Phase I activity will last well into 2013.
“Once the plant is secure and has achieved “cold shutdown” status, GenOn will continue to maintain 24/7 security at the site as well as a basic maintenance plan. It is anticipated that over the next few years, potential developers will show interest in the site. GenOn has a fiduciary duty to create value for its shareholders. Any financially solid developer that submits a term sheet to GenOn will be reviewed. Once a developer is on board, it would be expected that the closure then moves into what I call “Phase II”, ultimate disposition of the leasehold, and redevelopment of the site. Any redevelopment must consider the owner of the land, which is Pepco, and its switchyard. Our arrangement is complicated and unique, to say the least," Allen said.