Seminole Scraps Plans for $1.4 Billion Coal-Fired Unit in Florida

A motion submitted to an administrative judge last week by Seminole Electric Cooperative states that the Florida-based electricity supplier has decided “not  to go forward with construction and operation” of a 750-MW coal-fired unit planned for the Seminole Generating Station—a 2009 POWER Top Plant—in Palatka, Fla. The utility cited regulatory and legal uncertainties.

The $1.4 billion unit’s construction, expected in 2016, had been legally challenged numerous times since it was first proposed in 2006 for the original two-unit generating facility in Putnam County. The expansion (PDF) would have boosted the 1,300-MW plant’s generating capacity by 60%.

“This was a business decision, made in the best interests of our ten member distribution cooperatives, due to the uncertain regulatory and legal environment related to new construction of coal-fired generating facilities," Jeff Fela, a spokesman for the Tampa-based utility cooperative told POWERnews.

Seminole, which serves 10 member co-ops and reaches 1.7 million customers, was considering natural gas or nuclear power, or purchasing power from other producers, to make up for the electricity that would have been supplied by the coal plant, the Palatka Daily News reported last week.

Unit 3 had already received its need certification from the Florida Public Service Commission in 2006 and site certification from the Florida Department of Environmental Protection in 2008. The decision for the site certification followed a lengthy court battle between the utility and the state agency after Florida’s Gov. Crist’s administration discouraged the building of coal-fired power plants.

The Seminole Generating Station is one of POWER’s six Top Coal Plants for 2009.

The cooperative recently completed a $300 million investment in new environmental controls and upgrades to existing environmental equipment at the Seminole Station.

POWER’s Top Plants are those that have distinguished themselves as industry leaders for their best-of-class operating records, environmental performance, unique technology, or importance to their local community.

Sources: Seminole Electric Cooperative, Palatka Daily News, POWER