Kemper Project

According to Energy Online, the proposed Kemper Project project will be fueled with lignite and use Integrated Gasification Combined Cycle (IGCC) technology; it will receive $133 million in tax credits under the National Energy Policy Act of 2005. The Mississippi Public Service Commission needs to approve the project before it can move forward.

In late 2007, Mississippi Power Company filed a permit application with the state DEQ for the new plant. In January 2008, the company announced it was exploring alternatives to building a new plant, including purchasing electricity from other sources, but that it was "most excited about IGCC because it is a Mississippi project through and through."

As of March 2008, the Mississippi state Senate was considering a bill that would help Mississippi Power's efforts to build the new plant. Senate Bill 2793 would allow state power companies to raise its rates to cover construction costs before, rather than after, the plant is in service. The state House and Public Service Commission would also have to approve the bill, without which Mississippi Power may not be able to finance the $2 billion plant.

Public comments on the Draft Air permit were due September 18, 2008.

On October 14, 2008, the final air permit for the Mississippi IGCC coal-fired power plant was issued.

On January 7, 2009 the Mississippi DEQ announced that MS Power would have to start the air permitting process over because the company changed the type of turbines to be used for the plant.

On March 16, 2009, Entegra Power Group LLC and Magnolia Energy LP, requested that the Public Service Commission (PSC) suspend action on the certification of public convenience and necessity pending an analysis of Mississippi's future energy needs. On April 3, 2009, the Sierra Club argued additionally against the certification of public convenience, stating that a NEPA review and air permit must first be completed. Attorney General Jim Hood has also supported the motion. On May 5, 2009, the PSC held a public hearing on the motion. The motion was denied on June 5.

In September, 2009, Southern Mississippi Electric Power Association signed a letter of intent to explore the acquisition of up to 20% of the capacity and output of the plant.

The PSC held the first round of public hearings addressing the need for the plant in October 2009. Hearings on plant costs are scheduled to begin on February 1, 2010.

Project Details
Sponsor: Mississippi Power (Southern Company subsidiary) Location: Kemper County, MS Capacity: 600 MW Type: IGCC Projected in service: 2013 Status: Under development