AMP moving forward with study of Meigs Co. site; Plant dependent on incentives, abatements
by Beth Sergent
04.10.10 - 12:59 am
COLUMBUS, Ohio — American Municipal Power announced Friday that it will move forward with further analysis of constructing a 400-700 megawatt natural gas combined cycle (NGCC) generating facility in Meigs County, Ohio, though the future of the potential plant remains far from certain.

AMP said the announcement of the study came after action taken at a meeting of the American Municipal Power Generating Station (AMPGS) participants; participants who initially signed up to finance the coal-fired version of AMPGS proposed for Letart Falls. After the meeting, AMP announced the Meigs County site’s status as the primary site for a self-build option is dependent upon the successful final negotiation of appropriate tax abatements as well as economic and infrastructure incentives.

In a statement, AMP went on to say as an alternative to this self-build option, it is actively exploring options of partnering with a third party or individually purchasing 100 percent of one of several NGCC existing facilities and projects under development in the region. AMP also stated its consultants and staff studied two sites for development of a self-build NGCC project. In addition to Meigs County, a site in southern Virginia was examined.

“Both sites are excellent sites, but assuming AMP receives the economic and infrastructure incentives that have been discussed and is able to successfully negotiate local tax abatements, our participants believe the Meigs site edges out the Virginia site. With that direction, we are now able to focus on one site for a complete analysis of our self-build option,” AMP President/CEO Marc Gerken said. “Policy makers at the local, state and federal levels have indicated their support for such a project in Meigs County, and we will work with them to finalize the abatements and incentives. We’ll also complete our analysis of alternatives to building a plant to determine which course of action is in the best interest of our member communities.”

On Friday, The Daily Sentinel contacted Meigs County Commissioner Mick Davenport who had not yet heard the news AMP was moving forward with the study. Davenport has been in office since AMP announced its plans to locate a coal-fired power plant in Meigs County back in 2004 and has spoken at several public meetings concerning the permitting process for AMPGS.

“I’m very pleased to get this news,” Davenport. “It’s a step forward in the process of potentially locating a facility here in the county.”

Last week, U.S. Rep. Charlie Wilson, D-St. Clairsville, announced he has asked for a $17 million appropriation of federal funds to run a gas line to the potential plant which will meet a major infrastructure need, if approved. This appropriation is the number one appropriation being asked for by the U.S. Department of Energy in an upcoming spending bill.

AMP says it will continue to work with participating communities and anticipates making a final decision early this summer.

“We anxiously await AMP to contact us to move forward on this project,” Davenport said.
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