Black Hills Energy plans to build a new power plant in Rapid City at a cost of between $250 million and $270 million. a message sent August 2 to state regulators at the Public Utilities Commission.
The plant would have three natural gas-powered engines and three natural gas and diesel-powered turbines. It is expected to produce about 100 megawatts of electricity at peak times, an amount normally enough to power tens of thousands of homes.
The project is to be built next to an existing Black Hills Energy substation on a site zoned for industrial use on Deadwood Avenue in northwest Rapid City.
The release said Black Hills Energy plans to apply for a permit from the Public Utilities Commission on Feb. 1. Construction would take 12 to 15 months, and the power plant is expected to be operational by July 1, 2026. The company is also working to obtain additional permits from local, state and federal agencies.
The announcement states the project would employ up to 200 construction workers, creating three full-time jobs, and would generate an estimated $10.5 million in sales, use and contractor taxes for the state during construction, and an additional $1.5 million in annual property taxes for local governments.
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