Texas grid OKs Luminant plan to mothball Texas coal unit


HOUSTON, Oct 10 (Reuters) - The Texas electric grid operatorapproved Luminant's request to suspend operation of the 750-MWMartin Lake 3 coal unit located in Rusk County, according to anotice issued on Thursday.

Luminant plans to shut the unit by mid-December and tooperate it in the summer months only from June to September. Twoother coal-fired units at the site will continue to operateyear-round.

Overall, Luminant will mothball three coal units totaling1,880-MW over the winter months when power demand in Texas tendsto be much lower than in the summer.

A mothball plant can return to service, but might requireweeks or months of advance notice.

One megawatt will supply about 500 Texas homes during mildweather and about 200 homes during peak summer demand.

Luminant is a unit of Energy Future Holdings, which is ownedby a group of private equity firms, including Kohlberg KravisRoberts & Co.

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