
Allegheny Energy Company has a rich history that spans over a century. The company was founded in 1903 in Pennsylvania, USA.
Founded in 1903, Allegheny Energy started as a small electricity provider in Pennsylvania. It has since grown into a major energy company.
Allegheny Energy's early years were marked by a focus on providing electricity to rural areas. The company played a crucial role in bringing power to underserved communities.
In 2003, Allegheny Energy merged with another energy company, and the merged entity was renamed FirstEnergy.
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Company History and Structure
Allegheny Energy operated its electric distribution operations under the trade name Allegheny Power. It had regulated subsidiaries like West Penn Power, serving Southwestern and Central Pennsylvania, and Monongahela Power, serving Northern and Southern West Virginia.
Allegheny Energy Supply Company and Monongahela Power operated the electric generating plants. In 1999, Monongahela Power purchased the distribution assets of West Virginia Power, a utility owned by UtiliCorp United.
Here's a brief overview of Allegheny Energy's subsidiaries:
- West Penn Power: served Southwestern and Central Pennsylvania
- Monongahela Power: served Northern and Southern West Virginia, Hancock and Brooke Counties in the Northern Panhandle
- The Potomac Edison Company: served western Maryland, parts of eastern West Virginia, and northern Virginia (until 2010)
Allegheny Energy formerly operated in sections of eastern Ohio until 2006, when regulatory issues forced them to sell the territory to Columbus Southern Power.
Subsidiary Companies
Allegheny Energy operated its electric distribution operations under the trade name Allegheny Power. Its regulated subsidiaries were West Penn Power, Monongahela Power, and The Potomac Edison Company.
West Penn Power served Southwestern and Central Pennsylvania, while Monongahela Power, also known as "Mon Power", served Northern and Southern West Virginia, as well as Hancock and Brooke Counties in the Northern Panhandle.
The Potomac Edison Company operated in western Maryland, parts of eastern West Virginia, and (until 2010) northern Virginia. Allegheny Energy Supply Company and Monongahela Power operated the electric generating plants.
In 1999, Monongahela Power purchased the distribution assets of West Virginia Power, a utility owned by UtiliCorp United based in Lewisburg, West Virginia. West Virginia Power's operations were centered on portions of southeastern West Virginia.
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Allegheny Energy formerly operated in sections of eastern Ohio, until early 2006, when regulatory issues within Ohio forced them to sell the territory to Columbus Southern Power, a division of American Electric Power, Inc.
In 2010, Allegheny officially sold their Virginia service area. Counties west of the Blue Ridge Mountains were purchased by Shenandoah Valley Electric Cooperative of Mount Crawford, Virginia, while counties to the east were sold to Rappahannock Electric Cooperative of Fredericksburg, Virginia.
Here's a list of Allegheny Energy's subsidiaries:
- West Penn Power (serving Southwestern and Central Pennsylvania)
- Monongahela Power ("Mon Power", serving Northern and Southern West Virginia, as well as Hancock and Brooke Counties in the Northern Panhandle)
- The Potomac Edison Company (western Maryland, parts of eastern West Virginia, and (until 2010) northern Virginia)
Merger
FirstEnergy Corp. and Allegheny Energy merged to form a single company.
The merger was approved by the Pennsylvania Public Utilities Commission in 2010 and was completed on February 25, 2011.
This merger created the largest utility in America, serving over 6 million customers across 67,000 square miles in seven states.
Allegheny Energy and Duquesne Light Holding Company (DQE) initially agreed to a $4.3 billion merger in 1997, but DQE backed out by 1998.
Southwestern Pennsylvania, excluding the city of Pittsburgh, provided about half of regulated utility revenues.
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Customer Experience
Allegheny Power excelled in customer satisfaction in 2010, ranking number one among utilities in the northeastern United States, according to TQS Research.
This achievement marked the sixth consecutive year large commercial and industrial customers rated Allegheny Power the top performer in the region.
Southwestern Pennsylvania, excluding the city of Pittsburgh, was a significant contributor to Allegheny Power's regulated utility revenues, accounting for about half of them.
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Environmental Impact
Allegheny Energy has made efforts to reduce its environmental impact, particularly in terms of greenhouse gas emissions. The company signed a participation accord with the United States Department of Energy in 1995, agreeing to reduce its greenhouse gas emissions by two million tons per year by 2000.
Through various reduction efforts, Allegheny Energy achieved just under 8.5 million tons of carbon dioxide-equivalent reductions by 2000, fulfilling its Climate Challenge commitment goal. These efforts included demand side management programs, heat-rate, and efficiency improvements on generation equipment, transportation alternatives, and land-use management involving forestation and vegetative sequestration.
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Allegheny Energy has continued to reduce its carbon dioxide emissions since 2000, recording another 9 million tons of avoided emissions through efficiency improvements, demand-side management measures, and vegetative sequestration.
Here are some key statistics on Allegheny Energy's coal-fired power plants:
In 2005, these coal-fired power plants emitted 43.2 million tons of CO2 and 328,000 tons of SO2.
Environmental Policies and Practices
Allegheny Energy has made significant efforts to reduce its environmental impact. The company has a policy to produce and distribute electricity in a reliable and responsible manner that protects its personnel, communities, customers, and the environment.
Allegheny signed a participation accord with the United States Department of Energy in 1995 to reduce its greenhouse gas emissions by two million tons per year by 2000. The company was able to achieve just under 8.5 million tons of carbon dioxide-equivalent reductions, fulfilling its commitment goal by the calendar year 2000.
Allegheny has continued to reduce its carbon dioxide emissions since 2000, achieving another 9 million tons of avoided emissions through efficiency improvements, demand-side management measures, and vegetative sequestration.
The company has also taken steps to reduce sulfur dioxide emissions at its generating facilities. Allegheny invested $1.3 billion to install clean air technology at the Hatfield's Ferry and Fort Martin power stations, reducing sulfur dioxide emissions by 85 percent.
Here is a summary of Allegheny's environmental achievements:
- Greenhouse gas emissions reduced by 8.5 million tons
- Carbon dioxide emissions avoided by 9 million tons since 2000
- Sulfur dioxide emissions reduced by 85 percent at Hatfield's Ferry and Fort Martin power stations
Sues to Overturn Coal Ban
Allegheny Energy is suing to overturn a coal mining ban in Blaine Township, Pennsylvania. The town passed three ordinances banning coal mining and requiring corporations to disclose their activities to local government.
The lawsuit was filed by Penn Ridge Coal LLC and Allegheny Pittsburgh Coal Co. in federal district court. They claim the ordinances violate their corporate rights.
Blaine Township supervisors want to establish a principle of local self-government, which they hope will inspire other communities to follow suit. They're worried that coal mining would destroy homes and disrupt water supplies.
Longwall mining, a method that removes coal from underground without replacing it, is also a concern for the township. This process causes the land above to sag.
The Community Environmental Legal Defense Fund is supporting Blaine Township in this case. Attorney Tom Linzey predicts the case will eventually go to the U.S. Supreme Court.
Power Generation
Allegheny Energy's power generation portfolio is a significant aspect of its operations. The company produces 82.2% of its 9,290 MW of electric generating capacity from coal, making it a major player in the coal industry.
In 2005, Allegheny Energy owned 22 coal-fired generating stations, with a total capacity of 7,636 MW. This is a substantial portion of its overall generating capacity.
Allegheny's coal power plants are spread across several states, including Pennsylvania, Virginia, West Virginia, and Tennessee. The company's largest coal-fired power plant is the Harrison plant in West Virginia, with a capacity of 2,052 MW.
Here's a breakdown of Allegheny's coal power plants with capacity over 100 MW:
These power plants emitted 43.2 million tons of CO2 and 328,000 tons of SO2 in 2005, making a significant impact on the environment.
Frequently Asked Questions
Is Allegheny power the same as West Penn Power?
Allegheny Power and West Penn Power were not the same company, but West Penn Electric was a subsidiary of Allegheny Power System, Inc. (Allegheny Power Systems) from 1960 onwards.
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