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November 1, 2012

Cost of troubled SW Ind. power plant rises $174 million

Anonymous Associated Press Thu Nov 01, 2012, 10:57 AM EDT

Edwardsport — The price tag of a southwestern Indiana power plant that's been plagued by cost overruns is facing another big increase.

Duke Energy says numerous technical problems found at its Edwardsport plant will cost the utility about $174 million to fix. The company also says it's pushed the coal-gasification plant's in-service date back by about three months to May 29, 2013.

The Indianapolis Star reports the additional expense will raise the project's total price to $3.55 billion, including financing costs. Duke says it will absorb the additional construction costs, with no additional costs to its ratepayers.

The 630-megawatt plant will be one of the world's largest coal-gasification plants. It will convert coal into a synthetic gas that will be burned in a traditional turbine power plant to generate electricity.

 

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