When will the next gas plant in the region be built?

Posted October 03, 2018 07:51:00 The next generation of natural gas plants is in the pipeline.

But how much is the state of Wisconsin likely to cost?

And where will it be located?

Those are some of the questions we’ll be asking as the state looks to raise as much as $50 million in capital for a new gas-fired power plant in a small town northeast of Milwaukee.

Wisconsin Energy Resources Inc., which owns the project and is the project developer, has been pushing to build the 1,000-megawatt plant at the southern edge of the town of Mesabi.

That will be its first of four projects in the state and will be built as part of a $50-million loan.

A $15-million federal loan guarantee for a similar project at the former Bauhaus plant near Mifflin was also extended this week.

The state has not put a price tag on the gas-burning plant.

It could be more than that.

“We’ve said we need to go ahead and build it, but we’re not sure yet what the price is,” said Gov.

Brad Schimel, a Republican.

“We need to be able to tell our constituents about the economic impact, and we also need to know the full cost and what it’s going to cost to build it.”

The project is expected to begin operations this year.

The company that owns the plant, which is called Weststream Gas and Electric, will be paid about $2.5 million annually in state taxes.

The plant’s first owners, the Wisconsin Power & Light Co., will receive $1.3 million annually.

The other investors, including a local construction company, will receive another $1 million.

Wisconsin Gov.

Scott Walker and his administration have been lobbying hard to build a gas-powered power plant for decades.

The Legislature passed legislation in 2017, then the Senate passed it and Walker signed it in March 2018.

That law set a timeline of five years and $50 billion to build and operate a gas plant.

Walker and the state legislature have been pushing for more gas plants, but that goal has never been met.

Last year, the state’s economic development department issued a report showing that the state had the capacity to generate about 1.7 billion gallons of natural-gas annually, but the cost to do so was $1,000 per barrel.

The report said that while the plant would generate jobs and increase revenue, it would cost about $25 million per year to operate.

That number has been pushed up by an estimated $1 billion to $2 billion in costs for the plant to run and a $500 million increase in taxes and fees.

“There’s no question that the costs of this project will be significant, but what’s also important is we’ve got to figure out how to ensure that the cost of the plant itself is reasonable,” said Mike Tipping, a spokesman for the department.

“If we don’t, we’re going to see a significant drop in the number of people who want to come here and work.”

The state’s natural- gas industry says the state is under-reporting costs for this project because it hasn’t done a thorough cost-benefit analysis.

It says the estimated cost to operate and maintain a gas facility is $50 to $70 million per plant, and the plant is likely to generate between $1 and $2 million in annual revenue for the state.

The state has also struggled to attract developers, which has led to construction delays.

The first of three projects to be built in Mesabi were delayed for months.

Walker has repeatedly said the plant will be completed in time for his state to take advantage of its economic benefits, but he has not done a cost-analysis of the project.