Mississippi Power requests $600mn for Kemper County IGCC plant

Kemper County integrated gasification combined cycle power plant Mississippi Power Public Service Commission

Mississippi Power asked state regulators for an additional $540 million to build the 582 MW Kemper County integrated gasification combined-cycle (IGCC) power plant, bringing the cost up to $3.42 billion after Department of Energy grants and cost cap exceptions are included. Rising labor, piping and other material costs and lower productivity are to blame for the increase.

“While we are disappointed that costs have increased, we believe we have done the right thing by remaining accountable to our customers,” said Ed Day, president and CEO of Mississippi Power. “Equally important is keeping the promise we made in the settlement agreement with the Mississippi Public Service Commission to limit the total rate base for the plant to $2.4 billion, net of Department of Energy grants and cost cap exceptions.”

Due to the Jan. 24 settlement, investors will have to cover the rest, resulting in a $540 million loss in the first quarter, according to WLOX-TV.

The utility said in a release that the final component of the gasifier was lifted into place, and the water treatment facility and combined-cycle cooling tower are completed. The plant is scheduled to begin operations in May 2014.

Read more clean coal technologies news

Sponsored by FLSmidth

Related Articles

Check out these highlights during Power Generation Week

More than 22,000 industry professionals from around the world gathered in Orlando for Power Generation Week, where innovative and cost-effective solutions for maintaining, operating and building new power generation were shared. More than 1,400 exhibiting companies from every sector of the industry showcased their products and services on the exhibit floor.

EPA unveils SO2 scrubber-reliant haze plan for Texas

The U.S. Environmental Protection Agency is proposing new regional haze SO2 reduction requirements for Texas based on a series of presumed scrubber installations and scrubber upgrades on 14 coal-fired power plant units.

Follow Power Engineering on Twitter

Latest News

Shutterstock coal production trucks

Weekly Coal Production

The Weekly Coal Production shows how much coal is being produced across the U.S.

Federal Reserve Bank of Dallas Weekly Economic Indicators financial business

The Federal Reserve Bank of Dallas' Economic Indicators

The Federal Reserve Bank of Dallas offers a glimpse into how the markets are doing domestical...

Kvaerner awarded contract for gas-fired power plant in Delaware

Kvaerner North American Construction Inc. and its joint venture partner, Parsons Brinckerhoff...

Canadian Solar purchases two solar projects

Canadian Solar Inc. has acquired a majority interest in two utility-scale solar power project...

Operators Restart Unit 2 at PPL Susquehanna

Unit 2 at the PPL Susquehanna nuclear power plant near Berwick, Pa. resumed generating electr...

Settlement agreement limits cost recovery at Edwardsport

The Indiana Utility Regulatory Commission (IURC) on Dec. 27 modified and approved a settlemen...

Toshiba in talks to sell portion of Westinghouse nuclear unit

Toshiba Corp is in talks  to sell up to 16% of its stake in the Westinghouse Electric Co...

Utah nixes nuclear waste storage facility

Plans to park radioactive waste at a storage facility in Utah have been officially called off.

Power Engineering Current Issue

03/01/2014
Volume 118, Issue 3
1403PE-cover

Products Showcase

Dynamic Fluoride Ion cleaning DFIC of industrial natural gas turbines Hi-Tech Furnace Systems

Dynamic Fluoride Ion Cleaning of IGT Parts

The Dynamic Fluoride Ion Cleaning (DFIC) Process from Hi-Tech Furnace Systems is able to clean deep, narrow cracks of oxides by cycling between negative, atmospheric, and positive pressure.

Archived Articles

2000 | 2001 | 2002 | 2003 | 2004 | 2005 | 2006 | 2007 | 2008 | 2009 | 2010 | 2011 | 2012 | 2013

Power Industry Wire News

Rockdale Resources Enhances Operations, Implements Cost Reductions and Changes Board Composition

Rockdale Resources Enhances Operations, Implements Cost Reductions and Changes Board Co...

Cardinal Energy Group, Inc.: Bradford Lease Drilling Report

Cardinal Energy Group, Inc.: Bradford Lease Drilling Report

MDU Places Dakota Natural Gas Pipeline on Hold, an Industrial Info News Alert

MDU Places Dakota Natural Gas Pipeline on Hold, an Industrial Info News Alert

Top Industrial Market News Stories for the Third Week of December 2014, an Industrial Info News Alert

Top Industrial Market News Stories for the Third Week of December 2014, an Industrial I...

American Leisure Holdings, Inc. Reports on Wholly Owned Subsidiary Financials

American Leisure Holdings, Inc. Reports on Wholly Owned Subsidiary Financials

Power Engineering

Article Archives for Power Engineering Magazine

Continuing Education

Professional Development Hours

To access a course listing associated to a specific topic listed below, click on the topic of choice from the list below.

Latest Energy Jobs

View more Job Listings >>