American Electric Power (NYSE: AEP) has begun commercial operation of the 580 MW Dresden combined-cycle natural gas-fired power plant in Ohio. The plant cost $366 million.

AEP purchased the partially constructed Dresden plant in 2007 for approximately $85 million from Dresden Energy LLC, a subsidiary of Dominion. AEP accelerated construction of Dresden in January 2011.

The Dresden plant will supply electricity to AEP’s Appalachian Power customers in West Virginia, Virginia and Tennessee.

With the start-up of the Dresden plant, AEP has added more than 4,800 MW of natural gas-fired capacity to its generating fleet in the past decade. Natural gas accounts for 24 percent of AEP’s total generating capacity.

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