Railroads slow to deliver needed coal, electric utilities say
Minnesota utilities say railroads are not catching up on coal deliveries to power plants and they want federal regulators to force railroads to meet the demand for coal.
Delivery schedules are two and a half times longer than normal, Otter Tail Power Co. reported to federal regulators this week. One of three trains that hauls coal to its Big Stone power plant has been parked by BNSF railroad, the Fergus Falls-based utility said in filings this week to the Federal Surface Transportation Board.
The delays have reduced the operation of coal fired plants, and that means customers pay more for electricity, Duluth-based Minnesota Power told the federal agency. Minnesota Power said the coal delivery problems have cost customers more than $20 million this year.
In a related filing, BNSF said a regulatory mandate could seriously impair the company's ability to respond to the critical needs of individual shippers.
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