Dynegy ends coal-plant venture with LS Power

NEW YORK, Jan 2 (Reuters) – Power company Dynegy Inc (DYN.N) will end its power plant development joint venture with LS Power Associates because of tough credit markets and regulatory hurdles in building new coal-fired plants, the company said on Friday.

…Dynegy Chief Executive Bruce Williamson said the climate for new power-plant development has changed significantly since the Houston-based company joined forces with LS in 2006.

“Today, the development of new generation is increasingly marked by barriers to entry, including external credit and regulatory factors that make development much more uncertain,” Williamson said in a statement.

The venture has come under fire from environmental groups for its development of coal plants that emit more carbon dioxide than other fossil-fueled plants. CO2 is a greenhouse gas blamed for global warming.

Reuters