Testimony in Support of Power Plant Mercury Emissions Rule

Illinois Environmental Protection Agency
LADCO
Complete September 2006.

Synapse examined the impact of a proposed state-specific Mercury emissions rule upon wholesale electricity market prices, competition, and retail electricity consumers in Illinois. In our testimony, we demonstrated how IPM model results obtained by ICF Corporation did a poor job of resolving state-specific economic and dispatch impacts of the proposed rule. To rectify this, we developed our own estimates of the likely direct and indirect economic implications of the rule for the state and the surrounding region. Synapse's research and analyses showed that the benefits of implementing this rule significantly outweighed the costs. As a result, a slightly modified version of the rule was accepted upon settlement by all affected utilities and the state. Project completed in September 2006.