Alcoa Inc (NYSE:AA)’s NC dam plot thickens
Last week, North Carolina Officials had filed a lawsuit against Alcoa Inc (NYSE:AA). The state and the aluminum biggie have been at loggerheads over the Yadkin River dam for a very long time now. The core argument is about who will control the water and the electric power that is generated from the dam.
News has it that several days prior to filing of the lawsuit by the State Administration Department against AA, an environmental officer in North Carolina had recommended that Alcoa should win the critical state approval that is necessary for the license that will be required to operate the dam for the next 50 years.
The older report
On Monday, the Department of Environment and Natural Resources released a week-old report. In that report one agency official had recommended that the state should certify that no water standard violations would take place if AA continued operating the dams. In effect that recommendation had the company on track with the certification it was expecting to receive from the state. However, the lawsuit that was subsequently filed became the latest hurdle in its path.
State gets tough
Drew Elliot a DENR spokesperson said that irrespective of what the original recommendation was, the final decision about whether the company should be issued a water-quality certification would be analyzed by the higher agency officials. The company will require a certification before a new multi-year dam-operating license is issued by the Federal Energy Regulatory Commission. Beverly Perdue, the former Governor had fought the company’s effort to secure an entirely new federal license.
Last week, Pat McCrory, the Governor said that the waters of the Yadkin River should be used as a supply for the people in the state as well as for creating jobs rather than just for powering the company’s dams. Alcoa Inc (NYSE:AA) sure has a tough issue to deal with in North Carolina.