Alabama Sites Being Assessed for 12% Increase of Power Generation

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Researched by Industrial Info Resources (Sugar Land, Texas)--Developers in Alabama are studying the addition of 3,978 megawatts (MW) of new power generation. Currently, Alabama has more than 32,500 MW of operational generation available. This would represent a 12% increase over the state's existing capacity.

Most of the proposed generation will take place at existing sites. The 610-MW natural gas combined-cycle Phase III at H Allen Franklin station (Smith, Alabama), which is owned by the Georgia Power Company, is expected to come online in the second quarter of 2008. The majority of new generation will come from the addition of two nuclear units at the partially complete Bellefonte nuclear station (Hollywood, Alabama), which is owned by the Tennessee Valley Authority (TVA) (Knoxville, Tennessee). Bellefonte's units 3 and 4 will be new, as TVA has decided not to complete the partially constructed units 1 and 2. Instead, the TVA plans to install the two new units, which will use Westinghouse AP-1000 pressurized water reactors.

Calpine Corporation (OTC:CPNLQ) (San Jose, California) is attempting to sell its 770-MW Hillabee combined-cycle energy center, which is about 80% complete, to CER Generation LLC, a subsidiary of Constellation Energy Group Incorporated (NYSE:CEG) (Baltimore, Maryland). Once it has changed hands, it will take 15 to 18 months to complete. The remaining new generation being proposed is hydroelectric plants.

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