Charah Solutions adds PA power plant to its demo list

Property redeveloper has acquired the Cheswick coal-fired plant in western Pennsylvania.

Image provided by Dreamstime.

Image provided by Dreamstime.

Louisville, Kentucky-based Charah Solutions Inc. says it has completed the acquisition of the coal-fired Cheswick Generating Station near Pittsburgh, along with the Lefever Ash Landfill and the Monarch Wastewater Treatment Facility.

The trio of properties were obtained from Atlanta-based GenOn, and Charah says it will “begin environmental remediation and sustainable redevelopment of the Pennsylvania properties immediately.”

The existing power plant will be demolished and potential redevelopment uses for the properties include renewable energy and battery storage options that utilize the existing transmission system; re-use of a rail switchyard; transportation and logistics that utilize river shipping assets; and “other potential industrial uses,” says Charah.

The asset purchase agreement with GenOn was signed last December and the full transfer was completed April 6. The Cheswick Generating Station ceased electrical generation operations on March 31.

The purchase comes on the heels of another Charah transaction with GenOn that involves the demolition and remediation of a power plant site on the shore of Lake Erie near Cleveland.

Charah, which describes itself as a leading provider of environmental services and byproduct recycling to the power generation industry, says the Cheswick acquisitions have been made through three companies related to its subsidiary, Charah Environmental Redevelopment Group LLC (CERG).

The retired Cheswick Generating Station in Springdale, Pennsylvania, is near Pittsburgh and located along the Allegheny River. The 56-acre primary generating station site, along with an adjacent 27-acre parcel, consists of an operating rail line, a coal yard, bottom ash emergency and recycle ponds, waste ponds, a coal pile runoff pond, coal delivery equipment, and an ash handling parcel, says Charah.

“CERG will be responsible for the shutdown and decommissioning of the coal power plant, the remediation of the two ash ponds and performing all environmental remediation and redevelopment work at the site,” states the firm.

The Lefever Ash Landfill is located three miles from the Cheswick power plant. The 182-acre site includes a 50-acre landfill that currently is operating and provides disposal of coal combustion residuals (CCR) and residual waste from the Cheswick Generating Station “under an active solid waste permit,” according to Charah. CERG will be responsible for the closure design, remediation closure work and post closure monitoring of the landfill.

The Monarch Wastewater Treatment Facility is located on seven acres in Springdale. CERG will be responsible for day-to-day management and operations and compliance with all applicable environmental regulations, according to Charah.

“Our environmental risk transfer (ERT) services are innovative and sustainable solutions designed by Charah Solutions to meet the evolving and increasingly complex needs of our utility partners to lower their costs and meet their environmental commitments,” says Scott Sewell, Charah Solutions president and CEO. “The Cheswick project is another example of Charah Solutions providing a custom approach for these complex projects while sustainably remediating the site and redeveloping the properties in an environmentally responsible manner designed to create economic and environmental benefits for the entire community.”

CERG has retained Toronto-based Avison Young to provide real estate advisory, development, and brokerage services.

With approximately 240 existing coal-fired power plants in the United States expected to be decommissioned over the next 10 to 15 years, Charah says it is positioned to capitalize on its ERT services model to partner with additional utilities “to perform the shutdown, remediation and redevelopment of these plant properties for years to come.”

“This is the end of an era for Cheswick, and the retirement of this facility reflects the changes occurring in our nation and around the world,” comments David Freysinger, CEO of GenOn. “We are delighted to reach agreement with Charah Solutions. This transaction will bring Charah Solutions’ expertise to bear in redeveloping the property for the benefit of the community.”