The department awarded $US235 million to Southern Company, in partnership with the Orlando Utilities Commission and Kellogg, Brown and Root, to develop the Florida clean coal plant.

The agreement launches the design, construction and demonstration of an integrated gasification combined cycle (IGCC) power generation system at the Orlando Utilities Commission’s Stanton Energy Center.

The system will produce 285 megawatts of electricity for the Orlando area, which will power approximately 285,000 households.

The project is one of four selected in October 2004 under the Clean Coal Power Initiative, a $2 billion, 10-year effort to advance technologies that can help meet the growing demand in the US for low-cost electricity while protecting the environment.

IGCC technology produces a coal-derived synthesis gas for power generation. Southern Company and its partners will add advanced emission controls to make it one of the cleanest, most energy-efficient coal power plants built to date.

Initial funding from the Department of Energy of $13.8 million will support project start-up activities through March 2007. The total cost of the 10-year project is $557 million, of which the DOE will contribute $235 million.