Municipal electric utility Independence Power and Light and US natural gas provider United Energy Trading (UET) Ventures are exploring restarting a shuttered gas-fired power plant in Missouri to provide energy for a data center.
The Blue Valley Power Plant, located in Independence, Missouri, was retired in 2020. Before its closure, it generated 90MW of energy. The partners have reported that if refurbished, the plant could produce at least 300MW of power, more than double the utility’s 288MW peak generating capacity in recent years.
An option-to-lease agreement finalized on September 16, 2024, granted UET Ventures a 120-day feasibility period to evaluate the power plant site and explore potential modern electrical generation capabilities.
After the feasibility window ends, UET can lease the power plant exclusively for up to three years. If a new generation project is developed, Independence could execute a Power Purchase Agreement to supply the energy for a new data center.
Independence officials have said that a data center could attract a high-status employer while boosting utility tax receipts and stabilizing electric rates.
Blue Valley has the requisite infrastructure to support new generation, including an existing substation, reusable transformers and other equipment, transmission lines, and on-site utilities like water supply and wastewater disposal facilities.
According to Independence officials, NorthPoint Development, a Kansas-based commercial real estate company, is spearheading the effort between the utility and UET to attract employers and businesses. NorthPoint already has an extensive data center business, with 37 sites across 17 states.
If UET Ventures determines that the plant can sustain a large-scale generation project, it will proceed by submitting applications to relevant permitting authorities, such as the Southwest Power Pool.
The Kansas City Business Journal first reported the story.
Utilities and power producers increasingly consider natural gas a crucial power source for data centers. Though much more polluting than renewable sources of power, it has a lower carbon footprint than other fossil fuels.
In December, ExxonMobil revealed plans for a new 1.5GW natural gas-fired power plant dedicated to powering data centers.
In addition, Meta announced that its new $10 billion data center in Richland Parish, northeast Louisiana, would be powered by three combined-cycle combustion turbines, with a combined capacity of 2.26GW, built and operated by Entergy Louisiana.