The Wood River Power Station in Alton will close in 2016. Dynegy Inc. announced Wednesday it would shutter the plant in the middle of next year, including two coal fired units that entered commercial operation in 1954 and 1964. The plant which sits along the Mississippi River near Wood River Creek, employs about 90 people.
The company said it a statement that the decision to close the plant is due to the uneconomic operation stemming from a poorly designed wholesale capacity market in central and southern Illinois that does not allow competitive generators to recover costs. The Wood River Plant must compete with power suppliers from other states that are regulated and can provide greater compensation. The Midcontinent Independent System Operator must approve the closure. The company says it will work to minimize the impact of the closure on its employees.