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Does federal regulation really kill jobs?

These power plants help tell a complex story of what happens when regulations written in Washington ripple through the real economy. Some jobs are lost. Others are created.

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The Pleasants Power Station, operated by Allegheny Energy in Belmont, W.Va., is one of several coal-fired power plants along the Ohio River. Many coal-fired plants are facing new environmental regulations that take effect in the next couple of years. This power plant was the site of one of the deadliest construction accidents in U.S. history. In 1978, scaffolding on one of the cooling towers collapsed during construction, killing 51 workers.

Michael S. Williamson / The Washington Post

The American Electric Power natural-gas plant in Dresden, Ohio, is in the testing phase and is scheduled to go online early next year. The company operates many coal-burning power plants but is investing in natural gas as a cleaner alternative. The steam in photo is part of the testing. When the plant goes online, this steam will be used to generate power and for the most part will not be released.

The American Electric Power natural-gas plant in Dresden, Ohio, is in the testing phase and is scheduled to go online early next year. The company operates many coal-burning power plants but is investing in natural gas as a cleaner alternative. The steam in photo is part of the testing. When the plant goes online, this steam will be used to generate power and for the most part will not be released.

Michael S. Williamson / The Washington Post

Boilermaker Lloyd Hutchinson watches as a service bucket is hoisted to workers on an exhaust tower under construction at the natural-gas-powered AEP electric plant in Dresden.

Boilermaker Lloyd Hutchinson watches as a service bucket is hoisted to workers on an exhaust tower under construction at the natural-gas-powered AEP electric plant in Dresden.

Michael S. Williamson / The Washington Post

An AEP coal-fired power plant in Conesville, Ohio, about a 20-minute drive from Dresden, where the company is building a natural-gas powered plant.

An AEP coal-fired power plant in Conesville, Ohio, about a 20-minute drive from Dresden, where the company is building a natural-gas powered plant.

Michael S. Williamson / The Washington Post

Welders Don Smith, left, and Jodie Mobley fabricate a pipe section at the AEP natural-gas-fueled plant in Dresden. They are among the hundreds of workers hired for construction, but only about two dozen employees will be needed to run the plant when it goes online next year.

Welders Don Smith, left, and Jodie Mobley fabricate a pipe section at the AEP natural-gas-fueled plant in Dresden. They are among the hundreds of workers hired for construction, but only about two dozen employees will be needed to run the plant when it goes online next year.

Michael S. Williamson / The Washington Post

Jodie Mobley during work in Dresden. “The coal-to-gas switch is already on for pure economic reasons,” said Mark Fulton, global head of climate-change investment research at Deutsche Bank. He recently co-authored a study concluding that, by 2020, the shift to natural gas and renewables will generate a net 500,000 jobs in the United States.

Jodie Mobley during work in Dresden. “The coal-to-gas switch is already on for pure economic reasons,” said Mark Fulton, global head of climate-change investment research at Deutsche Bank. He recently co-authored a study concluding that, by 2020, the shift to natural gas and renewables will generate a net 500,000 jobs in the United States.

Michael S. Williamson / The Washington Post

The AEP plant in Dresden. The natural-gas-fueled plant will emit far fewer pollutants than the company’s coal-fired plants. EPA regulations are part of the reason companies are turning to cleaner energies, and creating jobs in the process. But, said Roger Noll, an economics professor at Stanford and co-director of the university’s program on regulatory policy, “if you’re a coal miner in West Virginia, it’s not a great comfort that a bunch of guys in Texas are employed doing natural gas,”

The AEP plant in Dresden. The natural-gas-fueled plant will emit far fewer pollutants than the company’s coal-fired plants. EPA regulations are part of the reason companies are turning to cleaner energies, and creating jobs in the process. But, said Roger Noll, an economics professor at Stanford and co-director of the university’s program on regulatory policy, “if you’re a coal miner in West Virginia, it’s not a great comfort that a bunch of guys in Texas are employed doing natural gas,”

Michael S. Williamson / The Washington Post

Randy Shepherd is a supervisor working in the Dresden plant’s control room. It’s a large complex, but it takes only four people to monitor the control room.

Randy Shepherd is a supervisor working in the Dresden plant’s control room. It’s a large complex, but it takes only four people to monitor the control room.

Michael S. Williamson / The Washington Post

A worker checks on the top level of the exhaust tower under construction at the Dresden plant. In the face of persistent high unemployment, many politicians have portrayed federal regulation as the economy’s primary villain. House Republicans have identified 10 “job-destroying regulations” they want to repeal, and a steady stream of bills have been proposed to block environmental rules governing everything from cement plants to boilers.

A worker checks on the top level of the exhaust tower under construction at the Dresden plant. In the face of persistent high unemployment, many politicians have portrayed federal regulation as the economy’s primary villain. House Republicans have identified 10 “job-destroying regulations” they want to repeal, and a steady stream of bills have been proposed to block environmental rules governing everything from cement plants to boilers.

Michael S. Williamson / The Washington Post

Jay Stonerock is a boilermaker who was unemployed until he was hired to work at the Dresden plant construction site.

Jay Stonerock is a boilermaker who was unemployed until he was hired to work at the Dresden plant construction site.

Michael S. Williamson / The Washington Post

A worker makes his way up the scaffolding on the exhaust tower under construction at the Dresden plant.

A worker makes his way up the scaffolding on the exhaust tower under construction at the Dresden plant.

Michael S. Williamson / The Washington Post

A service bucket is hoisted to workers on the exhaust tower in Dresden. Ron Borton spent 20 years working at the Conesville coal plant before becoming operations and maintenance superintendent of the Dresden project two years ago. He spoke excitedly about the future: “I’m making the shift from coal to gas. I looked at this as an opportunity to learn something new. You don’t hear many people complaining about a gas plant.”

A service bucket is hoisted to workers on the exhaust tower in Dresden. Ron Borton spent 20 years working at the Conesville coal plant before becoming operations and maintenance superintendent of the Dresden project two years ago. He spoke excitedly about the future: “I’m making the shift from coal to gas. I looked at this as an opportunity to learn something new. You don’t hear many people complaining about a gas plant.”

Michael S. Williamson / The Washington Post

Construction worker James Breedlove tosses refuse into a dumpster as he performs cleanup duties at the Dresden plant.

Construction worker James Breedlove tosses refuse into a dumpster as he performs cleanup duties at the Dresden plant.

Michael S. Williamson / The Washington Post

The Conesville Store in Conesville, Ohio, relies on business from workers at AEP’s coal-fired power plant nearby. Co-owner Lyndsie Eizensmits said business would suffer if one or more of the units at the plant were to go offline. AEP added a “scrubber” at one of the Conesville units to reduce emissions and comply with EPA rules.

The Conesville Store in Conesville, Ohio, relies on business from workers at AEP’s coal-fired power plant nearby. Co-owner Lyndsie Eizensmits said business would suffer if one or more of the units at the plant were to go offline. AEP added a “scrubber” at one of the Conesville units to reduce emissions and comply with EPA rules.

Michael S. Williamson / The Washington Post

Services on Wednesday nights at the Northgate Bible Church in Conesville, a tight-knit community where most of the residents have a family connection to the AEP power plant.

Services on Wednesday nights at the Northgate Bible Church in Conesville, a tight-knit community where most of the residents have a family connection to the AEP power plant.

Michael S. Williamson / The Washington Post

Other units at the Conesville plant could go offline. AEP says installing more scrubbers is not feasible or cost-effective for the company.

Other units at the Conesville plant could go offline. AEP says installing more scrubbers is not feasible or cost-effective for the company.

Michael S. Williamson / The Washington Post

'They work a 12-hour shift, and we see them at 5 a.m. when they get coffee and again at 5 p.m. when they come in for dinner,' Conesville Store co-owner Lyndsie Eizensmits said. 'If there's any layoffs, we're going to feel it for sure.'

"They work a 12-hour shift, and we see them at 5 a.m. when they get coffee and again at 5 p.m. when they come in for dinner," Conesville Store co-owner Lyndsie Eizensmits said. "If there's any layoffs, we're going to feel it for sure."

Michael S. Williamson / The Washington Post

Haeley Barr, 9, waits as her grandmother Shirley Pepper picks up a pizza at the Conesville Store. Pepper's husband worked at the AEP plant for 25 years.

Haeley Barr, 9, waits as her grandmother Shirley Pepper picks up a pizza at the Conesville Store. Pepper's husband worked at the AEP plant for 25 years.

Michael S. Williamson / The Washington Post

AEP’s coal-fired plant in Conesville required more than 1,000 temporary workers to build a scrubber for one of its units. The devices remove sulfur dioxide from the exhaust emitted by the smokestacks.

AEP’s coal-fired plant in Conesville required more than 1,000 temporary workers to build a scrubber for one of its units. The devices remove sulfur dioxide from the exhaust emitted by the smokestacks.

Michael S. Williamson / The Washington Post

The Conesville plant added 40 full-time employees to monitor the scrubber, which doubled the footprint of the unit. The device requires so much machinery that it has its own control room.

The Conesville plant added 40 full-time employees to monitor the scrubber, which doubled the footprint of the unit. The device requires so much machinery that it has its own control room.

Michael S. Williamson / The Washington Post

At AEP’s coal-fired Muskingum River plant in Beverly, Ohio, dust covers safety badges that workers must wear when entering confined spaces.

At AEP’s coal-fired Muskingum River plant in Beverly, Ohio, dust covers safety badges that workers must wear when entering confined spaces.

Michael S. Williamson / The Washington Post

Workmen do a spot weld repair on a coal-dust filter at the Beverly plant.

Workmen do a spot weld repair on a coal-dust filter at the Beverly plant.

Michael S. Williamson / The Washington Post

A coal truck that has just emptied its load at the AEP plant in Beverly cruises past a closed-down dairy that serviced the area for many years.

A coal truck that has just emptied its load at the AEP plant in Beverly cruises past a closed-down dairy that serviced the area for many years.

Michael S. Williamson / The Washington Post

AEP, one of the country’s biggest coal-based utilities, says it will cut 159 jobs when it shuts the decades-old Beverly plant in three years — sooner than it would like, because of new rules from the Environmental Protection Agency. Last year, the plant emitted 98,515 tons of sulfur dioxide, the third-highest total in the country, according to data collected by the EPA.

AEP, one of the country’s biggest coal-based utilities, says it will cut 159 jobs when it shuts the decades-old Beverly plant in three years — sooner than it would like, because of new rules from the Environmental Protection Agency. Last year, the plant emitted 98,515 tons of sulfur dioxide, the third-highest total in the country, according to data collected by the EPA.

Michael S. Williamson / The Washington Post

Built more than 50 years ago, the Muskingum River plant has no sulfur dioxide scrubbers, and the company says it cannot add them in time to meet the EPA’s deadlines.

Built more than 50 years ago, the Muskingum River plant has no sulfur dioxide scrubbers, and the company says it cannot add them in time to meet the EPA’s deadlines.

Michael S. Williamson / The Washington Post

AEP chief executive Mike Morris said that retrofitting plants would add jobs but that he needs more time from the EPA. “We have to hire plumbers, electricians, painters, folks who do that kind of work when you retrofit a plant,” Morris said. “Jobs are created in the process — no question about that.”

AEP chief executive Mike Morris said that retrofitting plants would add jobs but that he needs more time from the EPA. “We have to hire plumbers, electricians, painters, folks who do that kind of work when you retrofit a plant,” Morris said. “Jobs are created in the process — no question about that.”

Michael S. Williamson / The Washington Post

Part of the transmission line network for the outgoing power the Beverly plant produces. Critics from groups such as the Environmental Defense Fund say that AEP has had plenty of time to comply with the EPA’s new rules, which have been years in the making, and that some of these coal plants are too old and too dirty to continue operating anyway.

Part of the transmission line network for the outgoing power the Beverly plant produces. Critics from groups such as the Environmental Defense Fund say that AEP has had plenty of time to comply with the EPA’s new rules, which have been years in the making, and that some of these coal plants are too old and too dirty to continue operating anyway.

Michael S. Williamson / The Washington Post

Village Barbering in downtown Beverly closed two years ago. Today, as layoffs at the AEP power plant loom, there is fear that more struggles are ahead for the town’s economy.

Village Barbering in downtown Beverly closed two years ago. Today, as layoffs at the AEP power plant loom, there is fear that more struggles are ahead for the town’s economy.

Michael S. Williamson / The Washington Post

Coal trucks going to and from the Beverly plant. Economists who have studied the matter say there is little evidence that regulations cause massive job losses in the economy, and that rolling them back would not lead to a boom in job creation. Firms sometimes hire workers to help them comply with new rules. In some cases, more heavily regulated businesses such as coal shrink, giving an opportunity for cleaner industries such as natural gas to grow.

Coal trucks going to and from the Beverly plant. Economists who have studied the matter say there is little evidence that regulations cause massive job losses in the economy, and that rolling them back would not lead to a boom in job creation. Firms sometimes hire workers to help them comply with new rules. In some cases, more heavily regulated businesses such as coal shrink, giving an opportunity for cleaner industries such as natural gas to grow.

Michael S. Williamson / The Washington Post

The Beverly plant receives about 100 truck loads of coal per day.

The Beverly plant receives about 100 truck loads of coal per day.

Michael S. Williamson / The Washington Post

Plant manager Jeff Wiegand stands above a huge coal pile at the Beverly facility.

Plant manager Jeff Wiegand stands above a huge coal pile at the Beverly facility.

Michael S. Williamson / The Washington Post

Workers walk along the outside of one of the plant's selective catalytic reducers, which filter the coal dust to reduce nitrogen oxides that go into the air.

Workers walk along the outside of one of the plant's selective catalytic reducers, which filter the coal dust to reduce nitrogen oxides that go into the air.

Michael S. Williamson / The Washington Post

A scene from the streets of Beverly. Bureau of Labor Statistics data show that very few layoffs are caused principally by tougher regulation.Whenever a firm lays off workers, the bureau asks executives the biggest reason for the job cuts.In 2010, 0.3 percent of the people who lost their jobs in layoffs were let go because of “government regulations/intervention.” By comparison, 25 percent were laid off because of a drop in business demand.

A scene from the streets of Beverly. Bureau of Labor Statistics data show that very few layoffs are caused principally by tougher regulation.Whenever a firm lays off workers, the bureau asks executives the biggest reason for the job cuts.In 2010, 0.3 percent of the people who lost their jobs in layoffs were let go because of “government regulations/intervention.” By comparison, 25 percent were laid off because of a drop in business demand.

Michael S. Williamson / The Washington Post

The Lakeside Motel in Beverly is one of several small businesses that would feel the pinch from job losses at the AEP plant.

The Lakeside Motel in Beverly is one of several small businesses that would feel the pinch from job losses at the AEP plant.

Michael S. Williamson / The Washington Post

Duke Power operates a natural-gas-fueled plant just outside Beverly. The EPA is tightening limits on sulfur dioxide emissions under the <a data-xslt='_http' href='http://www.epa.gov/airtransport/'>Cross-State Air Pollution Rule</a>. To comply, many older coal plants must install enormous devices called scrubbers, which remove sulfur dioxide from the exhaust emitted by the smokestacks.

Duke Power operates a natural-gas-fueled plant just outside Beverly. The EPA is tightening limits on sulfur dioxide emissions under the Cross-State Air Pollution Rule. To comply, many older coal plants must install enormous devices called scrubbers, which remove sulfur dioxide from the exhaust emitted by the smokestacks.

Michael S. Williamson / The Washington Post

Stub Clark, 74, remembers how Beverly grew over the years as the AEP coal-burning plant expanded. He once worked for the mine that supplied coal to the plant. 'They [AEP] help grow this town, and I'm afraid it's going to shrink it if they cut back,” he said while drinking a 25-cent cup of coffee at Quimby's Tavern. He added: 'I really feel sorry for the young people. Old-timers like me will stay, but if there's no jobs, why should they stay around and just get depressed?'

Stub Clark, 74, remembers how Beverly grew over the years as the AEP coal-burning plant expanded. He once worked for the mine that supplied coal to the plant. "They [AEP] help grow this town, and I'm afraid it's going to shrink it if they cut back,” he said while drinking a 25-cent cup of coffee at Quimby's Tavern. He added: "I really feel sorry for the young people. Old-timers like me will stay, but if there's no jobs, why should they stay around and just get depressed?"

Michael S. Williamson / The Washington Post

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