In an otherwise troubled time for new coal-fired projects, the Mississippi Public Service Commission has approved Gulfport, Miss.-based Mississippi Power�s plans to build a new 582-MW integrated gasification/combined-cycle plant in Kemper County�but with a $2.88-billion cost cap. Photo: Southern Cos. Regulators set a $2.88-billion construction cap�after an initial $2.4-billion limit�on Mississippi Power�s planned 582-MW plant. The utility owner had asked for $3.2 billion. Mississippi Power plans to complete the Kemper project as soon as 2014, said utility spokeswoman Cindy Duvall. The prime construction contractor will be selected soon, with project construction to be managed by Southern Co. Engineering and Construction
The market is generally healthy and steadily growing, and margins are up for large specialty contractors. Further, advances in design tools and owner demand for collaboration are giving subcontractors a seat at the table early on in projects.