More power may be on way for Idaho

News Briefs, Northeast

Pocatello-A New York-based energy company has secured a land option for a large-scale gas-fired power plant not far from the J.R. Simplot Co.’s fertilizer complex west of Pocatello. LS Power Group is also investigating other potential locations in Bannock and Power counties for the plant, which could produce 100 to 600 megawatts and provide electricity for up to 600,000 people. The option is for 40 acres of private land in eastern Power County near a Chevron tank farm across Interstate 86 from Simplot’s Don plant. Southeast Idaho Energy also plans to construct a $1 billion coal-gasified fertilizer plant in Power County. A privately-held development, investment and asset management company, LS Power’s principal offices are in New Jersey, New York, Missouri, California, Florida, and New Hampshire. Its gas- and coal-fired plants represent more than 7,000 megawatts of total capacity. It is also involved in solar and wind power projects. The company reportedly has raised more than $10 billion in debt and equity since 2005. LS Power Vice President Kevin Johnson said the project’s cost could exceed $100 million. The company could submit a permit to construct by no earlier than the third quarter of 2009, Johnson said. The earliest the plant could be finished is 2013, he added, stressing the project is in the investigation and development phases. Johnson said that Southeast Idaho’s availability of an interstate natural gas pipeline and electricity transmission grid appeals to LS Power, estimating it would take up to 30 employees to operate the power plant. Construction would have a significant impact on Pocatello’s economy, he continued. If LS Power opts to build a smaller plant, that would be used mostly during peak hours of consumption. The plant’s power would be sold on the wholesale market to Idaho Power, PacifiCorp, Rocky Mountain Power, and other regional utilities. LS Power plans to look into using tax-increment financing or other economic development funding options. Johnson said he plans to continue collaborating with Bannock Development Corp. officials in Pocatello. Natural gas is the cleanest power generation combustion technology available, he emphasized.