Kemper plant delayed as costs mount

US utility has announced delays in start-up date for its Kemper coal gasification power plant to mid-2015, booking a US$ 235 million charge in its Q1 results as a result.

Total construction costs for the plant are now expected to hit US$ 5.5 billion, more that twice the original estimate of US$ 5.5 billion.

Southern Co. blamed the latest delay on lower construction productivity due to adverse weather at the site, unexpected worker turnover and “inefficiencies” in the installation of the complex piping system in the gasification system.

When operational, the Kemper plant will be a landmark in clean coal technology and seen as a potential model for future coal-plant design by the Environmental Protection Agency. Last year, it was one of five projects recognised by the Carbon Sequestration Leadership Forum as a project providing “the basis for international information sharing on some of the most important projects throughout the world covering all aspects of CCS.”

Written by Jonathan Rowland

Read the article online at: https://www.worldcoal.com/power/30042014/kemper_plant_delayed_as_costs_mount_coal782/