January 5, 2013 – In the woods of eastern Mississippi, a subsidiary of Atlanta-based Southern Co. (Moody’s – Baa1 – Sr. Unsec.) is pouring billions of dollars into construction of a power plant (Kemper IGCC) that burns coal but would emit less carbon dioxide. It‘s a response to looming federal limits on carbon emissions as regulators try to curtail global warming. The projected cost is at least $2.8 billion, almost half a billion dollars above original expectations, and some estimates say it will go higher. Legal challenges brought by the Sierra Club have led regulators to block the company from billing customers for the costs so far, although Southern subsidiary Mississippi Power Co. (Moody’s – A3 – Sr. Unsec.) got closer to that goal with a favorable lower court ruling last month.
Link to Full Article: http://triblive.com/business/headlines/3207143-74/southern-power-kemper#axzz2H8MHna52