AEP to keep 10 units off line most of the year

American Electric Power to keep 10 small, coal-fired units off line much of the year

COLUMBUS, Ohio (AP) -- American Electric Power Inc., one of the nation's biggest power generators, says 10 of its smaller, coal-fired generating units will remain off line for much of the year because of lower demand for electricity.

It is one of several steps the company is taking to cut costs.

The company said the units will be kept in "extended startup status," during off-peak months beginning Tuesday. The plan will allow the company to redeploy workers at several coal-fired units projected to run less frequently over the next few years.

The units have not been used much in recent years, and there have been fewer opportunities to sell excess power into wholesale markets, the company said.

The recession has dampened demand for electricity, especially from industrial customers. Electricity demand fell for the past two years, the first time that has happened since 1949.

Utilities have been cutting staff and capital expenditures as they look for ways to lower costs until demand improves.

Under the extended startup status, the units will remain off line unless needed to meet demand during non-peak months.

During peak months of July, August and January, these units will be available as they have been in the past.

The units are in Ohio, Virginia, Indiana and West Virginia. The units are older as well, with one dating to 1944.

AEP, based in Columbus, Ohio, has about 5.2 million customers in 11 states.