Video: Kemper Power Plant Price Increase

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JACKSON, Miss. (AP) – Southern Co. says it will spend at least another $45 million to finish the power plant it’s building in eastern Mississippi’s Kemper County, pushing total costs to nearly $6.2 billion.

The Atlanta-based parent of Mississippi Power Co. says the money will pay for further construction costs and fuel during plant startup.

Mississippi Power says it, and not its 186,000 customers, will cover the additional money. Customers are already paying 18 percent higher rates for Kemper.

Adding $25 million announced last month, Southern says it will take a $70 million pretax loss when it announces quarterly earnings Wednesday. After taxes, shareholders would lose $43 million.

The plant and associated lignite coal mine were originally supposed to cost $2.8 billion.

The utility is on track to absorb about $2 billion in overruns.