Dive Brief:

• The Illinois Pollution Control Board approved a variance Thursday that clears the way for Dynegy to buy five coal-fired power from Ameren.
• Part of one of those plants, the 650-MW Edwards plant near Bartonville, Illinois, could be retired under the decision.
• Under the decision, Dynegy can delay certain pollution control upgrades designed to lower sulfur dioxide emissions until 2020 on the plants, which total 4,120 MW.

Dive Insight:

The 3-1 decision, which is similar to one granted to Ameren a year ago, allows Houston-based Dynegy to roughly double its capacity in the Midcontinent Independent System Operator market. The independent power producer already owns 4,180 MW in Illinois.

The decision "clears the way for Ameren to divest of our merchant generation business and focus exclusively on growing and strengthening our rate-regulated electric, natural gas and transmission operations," said Thomas Voss, Ameren chairman, CEO and president.