Sunflower Electric Announces Construction Timeline for Holcomb Power Plants Changed


HAYS, Kan., April 5, 2007 (PRIME NEWSWIRE) -- The construction timeline for the third new coal-based power plant at Holcomb Station changed yesterday as Tri-State Generation and Transmission Association, Inc. announced its intentions to delay the construction of one of its two proposed units.

As a result of Tri-State's continuing evaluation of its 44 member cooperatives' near-term power requirements, and to address concerns from the environmental community, the Westminster, Colo.-based generation and transmission cooperative will pursue additional natural gas and renewable generation prior to the 2013 commercial operation of the first of its two proposed units at Holcomb Station.

Tri-State's development of new generation in advance of the Holcomb Station expansion has the effect of delaying its need for their second power plant in Kansas. Tri-State will proceed with plans to construct its first 700-megawatt power plant at Holcomb Station, which will be commercially available in 2013.

Sunflower, Golden Spread Electric Cooperative, and Midwest Energy will proceed with plans to develop the first 700-megawatt power plant, which will be commercially available in 2012. Tri-State will also pursue an additional agreement with Sunflower to take 100 megawatts of the generating capacity from the first new power plant to serve its member cooperatives.

"Changes are certainly not uncommon in this day and age," said Earl Watkins, Sunflower's President and CEO. "Tri-State is closely monitoring its power supply needs, pursuing natural gas and renewables, and has concluded that a delay of their second unit is in their member cooperatives' best interest. We also operate Sunflower with our members' interests being our top priority, so we fully understand their decision and support it without question."

The delay may move the third new unit out of the period allotted for construction in the air permit currently being considered by the Kansas Department of Health and Environment. If, at a later date, Tri-State were to pursue their second unit, a new air permit application would likely have to be submitted to the agency for its review.

"I hope everyone in western Kansas can understand and appreciate the need for changes as we move forward," Watkins said. "We are having meaningful discussions with environmental groups and our Kansas leaders as we examine ways to minimize this project's carbon footprint. I believe this delay, in combination with Tri-State's pursuit of renewable energy and Sunflower's recent addition of wind energy, and the Integrated Bioenergy Center, will go a long way toward accomplishing that goal."

About Sunflower

Sunflower Electric Power Corporation is a regional wholesale power supplier that manages a 1,200 MW system of wind, gas and coal-based generating plants and a 2,300-mile transmission system for the needs of its six member cooperatives who serve 122,000 customers spread throughout a 40,000 square mile area in central and western Kansas. Sunflower also provides power to regional utilities in western Kansas and in ten states. Visit Sunflower's website at http://www.sunflower.net.

Sunflower's member cooperatives include Lane-Scott Electric Cooperative, Dighton, Pioneer Electric Cooperative, Ulysses, Prairie Land Electric Cooperative, Norton, Victory Electric Cooperative Association, Dodge City, Western Cooperative Electric Association, WaKeeney, and Wheatland Electric Cooperative, Scott City, Kansas.



            

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