MS Power customers will not pay for lignite portion of Kemper plant
As a result of the Commission’s stated intent of no further rate increase for the Kemper County energy facility, the company does not expect that the gasification portions of the project are probable of rate recovery. Therefore, Mississippi Power and Southern Company recorded an additional $2.8 billion charge in June 2017, which includes estimated costs associated with the gasification portions of the plant and lignite mine.
In total, Mississippi Power and Southern Company have recorded charges for $6 billion of the project’s costs through June 30, 2017. In the event the gasification portions of the project are ultimately canceled, additional costs estimated at approximately $100 million to $200 million are expected to be incurred. Customers will pay none of these costs.
WLOX
8/2/17
