DOE Announces Plans to Modernize Existing Coal-Fired Power Plants

Mark Morey
Mark Morey
Verified Source
Published Feb 17, 2026 2 min read
**Key Insight:** The U.S. Department of Energy's (DOE) funding announcement for coal-fired power plant modernization projects highlights the importance of efficiency and reliability in the U.S. energy mix.

On February 11, 2026, the U.S. Department of Energy (DOE) announced that $175 million in funding will be provided to support six projects to modernize and extend the life of seven coal-fired generating plants in the eastern United States. According to DOE, the projects are part of a larger effort to reinvigorate America’s coal fleet through targeted upgrades that increase efficiency, extend plant life, and add dependable capacity using infrastructure already operating and connected to the grid.

Funding will be directed to 16 generating units at seven power plants located in four states. Five of the plants are located within the PJM Interconnection, with the other two situated in the Southeastern Electric Reliability Corporation (SERC) region. The five coal-fired plants in PJM have been steady suppliers to that grid for better than five decades.

Capacity at the 16 units totals 10,166 megawatts (MW), with the fleet having an average age of 55 years. In 2025 the 16 units produced roughly 44,500 gigawatt hours (GWH) of electric energy, resulting in an average capacity factor of 50.1%. Nearly 45 million tons of coal were burned to produce this energy. The majority of coal was supplied from mines in the Northern Appalachian region, most notably large underground operations working the Pittsburgh seam. The following table provides details of each unit.

John E. Amos: The plant is situated near Charleston, WV and owned by a subsidiary of the America Electric Power Company (AEP). It consists of three supercritical generating units, two of which supply 800 MW of capacity and another 1,300 MW. The plant entered service in the early 1970’s. Only one of the three units had a capacity factor estimated better than 50% in 2025.

Mountaineer : The plant is situated along the Ohio River and is owned by a subsidiary of AEP. It consists of one supercritical unit supplying 1,300 MW of capacity The plant entered service in 1980, and in 2025 had an average capacity factor of 58%.

Cardinal 1&2: The plant is situated along the Ohio River near Wheeling, WV. It is owned by Buckeye Power, a generation and transmission cooperative providing power to 24 Ohio-based electric cooperatives. The Cardinal plant consists of three supercritical 600 MW generating units, with units 1&2 slated to receive funding from DOE. Units 1&2 entered service in 1967, with both running at a capacity factor greater than 70% in 2025. The Cardinal plant is a competitive generation facility in PJM, the only one among this group.

Fort Martin: The plant is located along the Monongahela River, near the border of West Virginia and Pennsylvania. It is owned by a subsidiary of First Energy. The plant consists of two 550 MW supercritical coal-fired units that entered service in 1967 and 1968. Unit one operated at an average capacity factor of 59% in 2025, and Unit two ran at a 75% capacity factor. Recently, First Energy announced plans to build a 1,200 MW combined-cycle gas turbine plant adjacent to the Fort Martin coal-fired units.

Kyger Creek : The plant is located along the Ohio River near Portsmouth, Ohio. It is jointly owned by as many as eight investor-owned utilities. The plant consists of five 192 MW, subcritical units that entered service in 1955. The plant consistently operates at better than a 55% capacity factor. Originally, the plant supplied electricity to the now closed uranium enrichment facilities operated by the Atomic Energy Commission. Today, the plant serves electric customers in the Ohio River Valley area and to its parent holding companies. The plant is dispatched into the PJM grid.

Belews Creek : The plant is located in North Carolina near Winston-Salem and is owned by Duke Energy Carolinas LLC. It consists of two 1,110 MW supercritical units that opened in 1974 and 1975 respectively. Unit 1 was offline for most of 2025, resulting in a low average capacity factor. Unit 2 operated more consistently and had an estimated capacity factor of 64%. Over the past five years, the plant has been switching between burning coal and natural gas, with coal typically having a one-third share.

Ghent 2 : The plant is located along the Ohio River halfway between Cincinnati and Louisville and is owned by Kentucky Utilities, part of the PPL corporation. The plant consists of four 486 MW coal-fired generating units, with only unit 2 to receive funds from DOE. Unit 2 opened in 1977. It ran hard in 2025, with an estimated capacity factor of 69%.

GasGx Editorial Insight
**Key Insight:** The U.S. Department of Energy's (DOE) funding announcement for coal-fired power plant modernization projects highlights the importance of efficiency and reliability in the U.S. energy mix.

**Body Paragraph 1: Analysis of the market/tech situation**
The DOE's investment in coal-fired power plants is a strategic move to enhance their operational efficiency, extend their lifespan, and increase their dependability on the grid. This initiative aligns with the broader goal of transitioning the U.S. energy sector towards cleaner, more sustainable sources.

**Body Paragraph 2: The specific operational implication**
The funds allocated for these projects will be directed towards upgrading existing coal-fired units, which have been serving the U.S. grid for decades. This includes improving their capacity factors, increasing their average age, and enhancing their overall efficiency. By doing so, these plants can become more resilient to fluctuations in electricity demand and supply, thereby reducing the need for frequent maintenance and repairs.

**GasGx Take:** In light of the DOE's investment in coal-fired power plants, GasGx can offer its customers a solution that addresses the challenges associated with coal-fired generation. Our LCOE Calculator can help customers accurately forecast the cost of coal-fired power plants, while our Smart Monitoring System can provide predictive alerts for any potential issues or maintenance needs. Additionally, our data integrity reporting features can ensure that customers are compliant with regulations and emissions standards.

**Recommended SEO Tags:** "U.S. Department of Energy", "Coal-Fired Power Plants", "Modernization", "Energy Efficiency", "Levelized Cost of Energy"
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