Herald-Leader Staff Report
Environmental groups are challenging the federal Rural Utilities Service's decision to to allow the East Kentucky Power Cooperative to waive federal debt obligations and seek private financing for a planned coal-fired power plant in Clark County.
The utilities service is a government agency that has stopped financing coal-fired plants, but it gave East Kentucky Power permission to seek private money to build the proposed plant.
The Sierra Club and Kentuckians for the Commonwealth sued, saying the agency ignored environmental concerns and put public money at risk.
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"The government has proposed to overlook massive outstanding debt by the East Kentucky Power Cooperative and allow the cooperative to take on even more debt with the proposed coal plant," said Amanda Goodin, a lawyer representing Earthjustice in the case.
East Kentucky Power spokesman Nick Comer said, "The business of generating electricity is capital-intensive." He also said that environmental groups have sued the cooperative a number of times.
Read the complaint here: www.earthjustice.org/library/legal_docs/ekpccomplaint.pdf.