Calpine sees coal-based IGCC plants generating power for $40 per MWh

In preparation for the future when gas prices are expected to rise, Calpine and other generating companies are evaluating and planning alternative fuels and power conversion technologies. One promising technology being considered is integrated gasification combined cycle (IGCC) burning coal or possibly petroleum residues. Economic and engineering studies indicate that state-of-the-art IGCC generating plants could be viable for near-term project development depending on negotiated fuel and power costs.