Kansas City Power & Light Gearing Up for $1.5 Billion Investment at Iatan Power Station

Researched by Industrial Info Resources (Sugar Land, Texas). Kansas City Power & Light Company (KCP&L), a subsidiary of Great Plains Energy (NYSE:GXP) (Kansas City, Missouri), is moving forward with plans for expansion and environmental improvements at the coal-fired, 726-megawatt (MW), Iatan Power Station (Weston, Missouri). This project has been under development for close to fifteen years. The project was formally known as Weston Bend I, but is now officially recognized as the Iatan II Project. Originally, KCP&L proposed the project as an addition to the existing plant. Later, the project was proposed as a merchant power plant, and now, the project is being developed as a regulated unit addition at the existing Iatan Power Station.

Iatan II is owned by several utilities, with KCP&L as the majority owner of the unit’s capacity (54.71%), leading the project as construction manager, and will operate the unit when complete. The other owners are Aquila, Incorporated (NYSE:ILA) (Kansas City, Missouri) (18%), Empire Electric District Company (NYSE:EDE ) (Joplin, Missouri) (12%), Missouri Joint Municipal Electric Utility (MJMUEC) (Chesterfield, Missouri) (11.76%), and Kansas Electric Power Cooperative, Incorporated (KEPCO) (Topeka, Kansas) (3.53%).

Engineering for the new unit is being performed by Burns & McDonnell (Kansas City, Missouri). The new steam turbine/generator set is being provided by Toshiba Corporation (TOSBF.PK) (Tokyo, Japan). Alstom Power, Incorporated (Windsor, Connecticut), a subsidiary of Alstom SA (Paris:ALS) (Paris, France), is playing a major role in the projects, providing the boiler for Iatan II plus the environmental equipment for both Iatan I and Iatan 2.

The environmental portion for the project will allow the station to double its capacity and still reduce air emissions of the station. Iatan units will have flue gas desulfurization (FGD) scrubbers to reduce SO2 (sulfur dioxide) emissions, selective catalytic reduction (SCR) units to reduce NOx (nitrogen oxides) emissions, and baghouses to reduce PM (particulate matter). By using these technologies the units will also reduce mercury emissions.

The civil construction (foundations and pilings) at the station is expected to commence in September 2006, with Iatan I upgrades complete in 2008, followed by Iatan II commercial operations in the spring 2010.

For more information on future business trends and project spending in the Power Industry, check out Industrialinfo.com's 2006 Power Industry Forecast.

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