COAL POWER Direct

Cost overruns of nearly $1 billion to build the 582-MW Kemper integrated gasification combined cycle (IGCC) plant in Kemper County, Miss., were underscored on May 20 as Mississippi Power’s Board of Directors took the dramatic step of replacing the Southern Co. subsidiary’s leadership.

A rule proposed by the Environmental Protection Agency (EPA) directs 36 states to revise their Clean Air Act State Implementation Plans (SIPs) to eliminate exemptions for excess emissions of air pollutants at power plants during startup, shutdown, or when the plant malfunctions.

Power plant emissions of sulfur dioxide (SO₂) and nitrogen oxides (NO_x) in the U.S. declined to their lowest level since 1990, the Energy Information Administration (EIA) said in early March.

The Environmental Protection Agency (EPA) estimates final regulations curbing greenhouse gas (GHG), mercury, and air toxics emissions from new sources could appear in the Federal Register by the end of April. Also forthcoming are final cooling water intake rules and proposed effluent guidelines. The coal ash rule, which has no target date for a final rule, may not be issued this year, the agency said.

Germany’s race away from nuclear and coal to a system heavy with renewables has not followed the expected course. Nuclear and coal plants were supposed to close. Instead, gas plants are closing and coal is making a comeback.

New York Mayor Michael Bloomberg recently gave a presentation in Washington, where he stated: “Coal is dead.” Fortunately, both for the prosperity of the United States and the goal to alleviate poverty for billions of people across the world, Bloomberg’s projection is much different from what is actually happening.

Wind industry’s “inflated numbers” and “erroneous conclusions” misled Washington lawmakers to extend the production tax credit.

The integrated gasification combined cycle (IGCC) plant located in Kemper County, Mississippi, is a 2 x 1 plant that will produce 582 MW at peak and 524 MW fired on syngas, with ammonia, sulfuric acid, and carbon dioxide as by-products. The carbon dioxide will be used for enhanced oil recovery (EOR). Engineering was completed in Q3 2012, and the facility’s commercial operation date is planned for May 2014.

Recent experience on the Deely 2 SCR retrofit project reminds us that the time spent in thoroughly planning a project prior to the start of construction is usually repaid with avoided construction delays.

Dispatch competition between U.S. coal and natural gas plants has been a prominent feature of power markets since 2009. Gas prices have strengthened significantly over early 2012 levels, working to take pressure off coal plants for the upcoming year, according to a new analysis by SNL Energy.