Gas, New Projects

Duke Energy natural gas-fired power plant may cost 18% less than planned

Final costs for Duke Energy (NYSE: DUK)’s new natural gas-fired power plant in North Carolina are estimated to be $120 million, or 18 percent, less than projected.

In a filing with the North Carolina Utilities Commission, Duke said it estimated the final cost for the 625-MW L.V. Sutton natural gas-fired power plant will total $550.9 million, down from the initial estimate of $670.8 million, according to The Charlotte Business Journal. A spokeswoman said in the article that financing and some direct costs were lower than originally projected, but a finalized tally isn’t expected until the fourth quarter.

The Sutton natural gas-fired plant came online in December 2013. It replaced a three-unit 575-MW coal-fired power plant that had retired after 59 years of operation. The utility said it plans to retire nearly 6,300-MW of coal-fired generation, or 25 percent of its coal fleet.

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