{Louisville, Kentucky}...The Kentucky Public Service Commission has approved the construction of a $583 million natural gas-fired generating plant at LG&E's Cane Run facility in Louisville and the purchase of an existing plant in Oldham County. LG&E and Kentucky Utilities estimated a $110 million purchase price for the Bluegrass Generation plant. The commission disagreed with environmentals, who said the two companies could meet power needs through a combination of wind power and more aggressive demand reduction efforts. Cane Run and Green River coal units will need to remain operational until the replacement generation and associated transmission projects are completed. Construction of the natural gas plant is expected to begin this year and be completed in 2015.
