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Electric generation plant under budget

Feb 21, 2017 | 8:53 PM

MEDICINE HAT, AB – The City of Medicine Hat’s new electric generation unit is coming in on time and under budget.

The project, referred to as Unit #16, is a simple cycle gas turbine being constructed in the Box Springs area.

It will add 43 megawatts to the City’s generation capacity, for a total of 246 MW.

City Council approved the project in June of 2015, and construction began in July of 2016.

According to documents released by the city, the power plant is on track to come in $10.3 million below the approved $66 million budget.

Mayor Ted Clugston said a lot of the savings have to do with the sluggish economy.

“It’s unfortunate for some of our contractors, but that’s one of the reasons why we are doing some of these things during the downturn is in the hopes to get better prices for the tax payer,” he said. “And that’s what’s happening.”

The project commissioning date is expected to be September 1, 2017 with a commercial in service date of October 1, 2017.

The generation station is being built in the Box Springs area in case a future flood impacts the ability for the city to operate the station by the river.