Gulfport, Miss. – Mississippi Power today (Dec. 1) announced it has reached a settlement agreement with the Mississippi Public Utilities Staff, Chevron, Chemours and Federal Executive Agencies on the remaining costs associated with the Kemper County energy facility. With the key parties in the Kemper settlement docket in agreement, today’s announcement represents final terms subject to the approval of the Public Service Commission.
“This agreement represents significant compromise from all parties involved, but is an important step to settle all costs remaining on the Kemper project,” said Mississippi Power President and CEO Anthony Wilson. “Putting the gasifier portion of Kemper that did not meet our expectations behind us is in the best interest of our customers, company and the state. We are pleased to continue operating an efficient natural gas facility at Kemper which has been serving our customers for more than three years.”
This agreement meets the directives issued by the Public Service Commission, including:
- The removal of risk to our customers for the gasifier and related assets.
- No customer rate increase related to Kemper.
- Operation of Kemper as a natural gas facility.
“If this stipulation is approved, we expect significant changes to our business,” said Wilson. “As we adjust to this considerable loss of revenue, our top priority will be to maintain safe and reliable service to our customers.”
The company currently expects a final order on Kemper from the Public Service Commission in January.
About Mississippi Power
Mississippi Power, a subsidiary of Southern Company (NYSE: SO), produces safe, reliable and environmentally responsible energy for nearly 187,000 customers in 23 southeast Mississippi counties. Mississippi Power ranked first in the Southeastern Electric Exchange’s 2016 Safety Performance Reports and is consistently recognized as an industry leader in reliability, customer service and safety. Visit our websites at www.mississippipower.com and www.mississippipowernews.com, like us on Facebook, and follow us on Twitter, LinkedIn, Google+ and YouTube.
Cautionary Note Regarding Forward-Looking Statements
Certain information contained in this communication is forward-looking information based on current expectations and plans that involve risks and uncertainties. Forward-looking information includes, among other things, statements concerning the settlement agreement and related regulatory proceedings. Mississippi Power cautions that there are certain factors that could cause actual results to differ materially from the forward-looking information that has been provided. The reader is cautioned not to put undue reliance on this forward-looking information, which is not a guarantee of future performance and is subject to a number of uncertainties and other factors, many of which are outside the control of Mississippi Power; accordingly, there can be no assurance that such suggested results will be realized. The following factors, in addition to those discussed in Mississippi Power’s Annual Report on Form 10-K for the year ended December 31, 2016 and subsequent securities filings, could cause actual results to differ materially from management expectations as suggested by such forward-looking information: actions related to cost recovery for Kemper, including actions in the Kemper settlement docket and related legal or regulatory proceedings. Mississippi Power expressly disclaims any obligation to update any forward-looking information.