JACKSON, Miss. (AP) — Mississippi Power Co. has reached an agreement with its largest customer on how much rate payers should pay for a power plant, but a state regulator is still holding out for less.
The unit of Atlanta-based Southern Co. on Tuesday signed an agreement with Chevron Corp. and two other customers. Mississippi Power proposes to collect less than it previously wanted, but won't have to write off more of the $7.5 billion Kemper County power plant.
Mississippi Power has already lost $6 billion on Kemper.
The Public Service Commission must ultimately approve any rate plan.
Commissioners still plan December hearings, because the Public Utilities Staff hasn't joined the agreement. The staff contends costs of Kemper's remaining portion, fueled by natural gas, are inflated by money Mississippi Power spent trying to gasify coal.