Illinois prepares perks to attract plant
SPRINGFIELD – The state of Illinois has made a direct transfer of $17 million to help cover expenses of the alliance that's planning to build a coal-burning power plant in Illinois – or Texas.
And the state has other incentives to offer if the FutureGen Industrial Alliance picks Illinois for its plant, said Jack Lavin, director of the state Department of Commerce and Economic Opportunity, in a telephone interview Friday.
"We have $50 million set aside for low interest rate loans and various tax credits, depending on the construction," said Lavin, who spent Thursday in Washington meeting with members of the Illinois congressional delegation and planning strategy to land the plant.
FutureGen officials this week announced that Tuscola in Douglas County and Mattoon in Coles County were two of the four finalists from a field of 12 candidates. The other two communities are Odessa, Texas, and Jewett, Texas.
"We'll also be working with each of the (Illinois) cities to make sure they have the resources they need to compete," Lavin said. "We have a lot of work to do, and we have a year to do it."
FutureGen is planned to be a state-of-the-art plant that will burn both high-sulfur coal and Western coal with lower sulfur content.
The plant will store unwanted production byproducts in geologic formations under the ground. It also will produce other substances that can be used commercially or as fuel.
The project, a partnership of energy companies and the U.S. Department of Energy, aims to have no negative effect on the environment.
Lavin said it makes sense for the plant to come to Illinois, because the state has the largest coal research and development program in the country.
He said his department is working equally with both Illinois sites to help them get local incentive packages together, and the state is also working on additional incentives.
Lavin said Gov. Rod Blagojevich is working with other states that have high-sulfur coal to get their support for putting the project in Illinois.
"The science is on our side, and we're moving forward to hopefully be the winner," Lavin said.
Lavin and representatives from Mattoon and Tuscola will travel to Pittsburgh to start the environmental impact assessment each finalist must complete.
FutureGen officials say the plant will employ about 1,300 people during the construction phase and will bring 150 permanent jobs to the community selected. The winning site is expected to be announced in September 2007.
