VERNON, TX (RNN Texoma) - American Electric Power (AEP) announced on Thursday the Oklaunion Power Station will close sometime in 2020.
The City of Vernon posted the announcement to its Facebook page just before 10 a.m.
An official with Public Service Company of Oklahoma (PSO), one of the four owners of the plant said the closure has to do with the price of electricity in the area the plant serves.
The electricity generated at the plant is no longer competitively priced, according to PSO spokesperson, Stan Whiteford. And there is no expectation that it will be in the future.
The four owners of the Oklaunion Power Station voted to close the plant sometime between April 1 to September 30, 2020.
The plant currently employs 78 people that live in the Texoma area. Whiteford says severance packages and job resources are being offered to all employees.
Plant officials will work with local, state, and federal agencies to decommission the plant properly.
Whiteford says discussions with local and state officials about why this decision was made and the impact this closure could have in the area are ongoing.
The plant closure is contingent on one regulatory approval from the Electric Reliability Council of Texas (ercot) but Whiteford says they are not under the impression approval would not be granted.
The plant currently services customers in Texas and Oklahoma. The two other owners of the plant are Oklahoma Municipal Power Authority and City of Brownsville, Texas Public Utility Board.