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LOUISVILLE, KY. (WDRB) -- Louisville Gas and Electric is making $940 million in environmental improvements to its Mill Creek plant south of Valley Station.
The utility says those improvements will further increase the station's ability to control sulfur dioxide emissions. Those emissions are now considered 90% clean. After the improvements are made those emissions are expected to be 98% clean.
The utility says those cleaner emissions allow the plant to use coal to generate energy at the lowest cost.
Still, part of the cost will be passed on to customers. The bill of a so-called average customer will go up 12.8% by the time the project is finished.
But it could have been more, according to LG&E and KU chairman Vic Staffieri. He says, "The rate increase we had anticipated will be reduced by a third because we got better product prices, better commodity prices, and better construction prices."
The project will bring 700 construction jobs and is expected to be completed in 2016.
"This is a large leap forward for LG&E and for our city, as it will help improve our air while also using the latest technology – and creating 700 jobs in the process," Louisville Metro Mayor Greg Fischer said in a press release.