American Municipal Power, Ohio
Allstate’s municipal bond portfolio invested $3 million in financing for the construction of three hydroelectric facilities on the Ohio River, part of American Municipal Power’s Phase 1 Hydro Project. The plants –in Cannelton, Ind., Smithland, Ky., and Willow Island, W. Va. – are run-of-the-river facilities that do not require dams upstream and therefore cause minimal environmental impact. Run-of-the-river hydro plants use the natural potential energy of water and produce seasonal outputs, generating more energy when the river is running high (for example, in the spring) and less in the winter when the river may be frozen. These three facilities provide more than 200 MW of greenhouse gas emission-free renewable power for towns in the Ohio River Valley – powering about 130,000 homes. The Phase 1 Hydro Project is certified as environmentally beneficial.