SIKESTON, UE CONSIDER ENERGY PLANT; CITY WOULD OPERATE NEW UNIT, USE SOME ELECTRICITY

SIKESTON -- The Sikeston Board of Municipal Utilities would operate and maintain an additional 420-megawatt power unit at the Sikeston Power Plant if plans are worked out.

The board entered into an agreement with Burns and McDonnell Engineering of Kansas City to pursue the development of a second unit at the Sikeston Power Station more than two months ago.

Negotiations between the board, the engineering firm and Union Electric are continuing and are said to be in the early discussion stages.

The city would not have any financial obligation in the new power unit, said Bill Bloemer, director of utilities for the municipal utilities.

"We are talking with developers who would use our site. But we would share in the increased facilities," Bloemer said.

During the next few months, the engineering company will be assessing the benefits of a new facility to the community and its viability to the power market, said Mike Cleary, supervisor of corporate communications for Union Electric.

"At this point we're purely in discussion stages," said Cleary, who works out of the Union Electric Regional Office in Jefferson City. "We don't know what our role will be. We have no details yet."

Union Electric has nine power plants which provide power over a 25,000-square-mile area in Missouri and Illinois. The company serves more than 1.2 million households.

Although it wasn't mentioned as a possible reason for a new plant, UE has entered into a merger agreement with CIPSCO, which is subject to approval by the Missouri Public Service Commission.

Included in that agreement is a provision calling for UE to propose an experimental retail wheeling pilot program in Missouri for 100 megawatts of electric power. Wheeling programs allow certain customers to buy electricity from both the local electric utility and other energy providers.

The Sikeston Board of Municipal Utilities currently has one 225-megawatt unit which provides power to a number of communities in a three-state area and would remain in operation.

The current power unit uses coal -- petroleum coke -- from refineries in northern Illinois to fuel its steam boilers.

"We have installed scrubbers at the power plant so we can utilize the high sulfur fuel." said Bloemer. The petroleum coke has a high BTU content, which means it burns hot. But it also contains a high level of sulfur which must be removed by the scrubbers."

"We have power contracts with Fulton, Ky., Jonesboro, Ark., Columbia, West Plains, Trenton and Carthage, Mo.," said Bloemer.

The company also makes energy sales to Jonesboro, Paragould, Kennett, Jackson and Poplar Bluff.

The present power plant was constructed in the western sector of the city in 1981.