Barry Steam Plant

The Barry Steam Plant in Mobile County is one facility that will see changes from a decision by Alabama Power to reduce the amount of coal it burns for electricity. The company cited new greenhouse gas regulations from the Environmental Protection Agency. (Press-Register file photo)

((Press-Register/Mike Kittrell) )

Alabama Power's announcement that it would shutter several coal units in the state is tangible evidence that President Barack Obama's "war on coal" is having negative consequences, critics said Friday.

The company announced Friday that it would reduce the amount of coal it burns to comply with Environmental Protection Agency regulations governing emissions. The changes, which the company said it would phase in the changes by 2016, will affect seven small power plants. They are unrelated to new carbon emissions rules that the EPA currently is developing.

Alabama Power said the changes will eliminate 60 jobs in Greene County, although officials said it would reduce the workforce through attrition and transfers, not layoffs.

Three coal-fired units at the Barry Steam Plant in Mobile County will be converted to gas-burning electric generation units.

Alabama Power said the changes could increase rates for customers over time but offered no specifics.

"It is extremely alarming to learn that Alabama Power will be closing coal units in Nnorth Alabama and cutting down on operations at Barry Steam Plant in north Mobile County due to an ill-conceived rule from the EPA," U.S. Rep. Bradley Byrne, R-Fairhope, said in a prepared statement. "Just earlier this week I joined my colleagues from the Congressional Coal Caucus to draw attention to the harmful effects the Obama administration's new rule on existing power plants will have on coal production in America."

Citing other proposals, which would cut back on greenhouse gas admissions, Byrne said he fears this is just the beginning of a years-long process that will result in the elimination of high-paying jobs.

"While the long-term impact of Alabama Power's decision remains to be seen, it is clear that President Obama's 'war on coal' is already starting to impact Alabama families," he stated.

Alabama House of Representatives Speaker Mike Hubbard, R-Auburn, also weighed in.

"President Obama and the EPA's out-of-control, tree-hugging, and job-killing policies have gone too far in Alabama," he said in a statement. "It is more vital now than ever to elect conservative, pro-business Republicans in our state who serve as the last line of defense against these kind of gross liberal and overreaching actions."

Members of the Alabama Public Service Commission, who have taken repeated rhetorical jabs at Obama's environmental policies – even though the agency has no power to overrule the EPA – blasted the latest development.

Commissioner Jeremy Oden called the cost of compliance "staggering" and warned more regulations are on the way.

"As I stated in my testimony earlier this week at the EPA hearing in Atlanta, these environmental mandates have a negative impact on reliability, fuel diversity and cost effective energy production in Alabama," he said in a statement. "We now see the effects of just one of these countless regulations aimed at the nation's power production. Compliance with the Mercury and Air Toxics Standards (MATS) by 2016 and other proposed mandates will have a devastating effect on our energy production, jobs and our economy."

Twinkle Andress Cavanaugh, who chairs the commission, said in her own statement that coal-based energy helps keep utility rates low during spurts of very cold or very warm weather when demand spikes.

"It's a sad day when Barack Obama and the federal government get to tell the people of Alabama how to handle our own energy production," she stated. "The men and women who work at these facilities have families who depend on these jobs for their livelihood."

Chris "Chip" Beeker, the Republican nominee for the third seat on the commission, also blasted the Obama administration. He warned that the United States could suffer the same consequences of environmentalism in Germany.

"Their efforts to increase 'environmental sustainability' resulted in utility rates rising to four times those currently in Alabama, an uncompetitive economy and close to seven million households in energy poverty," he said in a statement. "The United States of America has no business following the lead of socialist Germany for any policy decision as Obama is attempting to do. Our economy will be next if we do not stop this madness."

Beeker said "job-killing policies and burdensome regulations" had hit home.

"Our state's hard-working families continue to be hurt the most by the unfounded claims of climate change and efforts to curb industrial development in the southern United States," he stated.

Terry Dunn, an incumbent whom Beeker defeated in the GOP primary, said in a statement that Alabama Power has been planning the conversions for a long time.

"It's a response to federal environmental regulation, but it's also an effort to take advantage of the economics of generating electricity with natural gas," he stated.

Not all state officials expressed outrage. State Rep. Craig Ford, the House Democratic leader from Gadsden, said in a statement, "I want to commend Alabama Power for protecting thousands of jobs and looking out for their employees and their families."

Updated at 2:26 p.m. to add comments from House Speaker Mike Hubbard and members of the Public Service Commission. Updated at 3:38 p.m. to include reaction from Terry Dunn. Updated at 4:44 p.m. to clarify that Friday's announced changes are related to regulations governing conventional conventional emissions, not greenhouse gases.