SCE&G completes purchase of natural gas plant

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S.C. Electric & Gas has completed its purchase of a natural gas plant in Gaston for approximately $180 million.

The purchase of Columbia Energy Center from LS Power was part of SCE&G’s November 2017 rate relief proposal for customers currently paying an additional $37 million a month in charges related to the abandoned nuclear reactors at the V.C. Summer power station. The 540-megawatt combined-cycle gas plant replaces more than 40% of the projected generating capacity from SCE&G’s portion of the nuclear project, the company said in a news release.

SCE&G owned 55% and state-owned utility Santee Cooper owned 45% of the abandoned reactors in Fairfield County.

SCE&G has said the cost of acquiring the gas plant will be borne by shareholders of parent company SCANA. Virginia-based Dominion Energy has agreed to uphold that provision as part of its proposed $14.6 billion merger with SCANA, which is awaiting regulatory approval.

The Columbia Energy Center, a combined heat and power plant, produces electricity and processes steam to support the operation of a neighboring manufacturing facility. The plant began operation in 2004 and has approximately 20 workers.