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Mississippi Power will file Kemper rate case Monday

Mississippi Power said in a statement will will file its rate case with the Mississippi Public Service Commission for the sprawling Kemper energy facility by the Monday, June 5, deadline.
Mississippi Power said in a statement will will file its rate case with the Mississippi Public Service Commission for the sprawling Kemper energy facility by the Monday, June 5, deadline.

Mississippi Power missed getting the Kemper energy facility fully operational by May 31, 2017, but said in a statement it will file a rate case Monday.

The monthly status report due June 1 also will be filed with the Public Service Commission on Monday, the company said.

“While the project's monthly status report is due on June 1 to the Mississippi Public Service Commission, the company continues to assess the project's schedule and cost,” the statement said.

The PSC gave Mississippi Power a June 3 deadline to file a rate case for the Kemper energy facility, whether or not the plant is operating on lignite coal. June 3 falls on Saturday and is seven years to the day after the PSC gave the go-ahead to start construction of the first of its kind facility in Kemper County, north of Meridian.

The latest estimated cost of the facility is $7.2 billion.

Southern Co., parent company of Mississippi Power, said it is developing a traditional rate case requesting cost recovery of the facility.

“Mississippi Power also expects that timely resolution of the 2017 Rate Case will likely require a negotiated settlement agreement,” the company said in its annual report filed in February. The company said that if an agreement can’t be negotiated, “it is reasonably possible that full regulatory recovery of all Kemper IGCC costs will not occur.” In that case, the company said, “Mississippi Power intends to fully litigate its request for full recovery through the Mississippi PSC regulatory process and any subsequent legal challenges.”

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