Status of the Great Plains Coal Gasification Plant

Great Plains Gasification Associates proposes to construct and operate a coal gasification plant in North Dakota. GAO was requested to study: (1) the impact of the Federal Appeals Court decision declaring illegal certain financial terms approved by the Federal Energy Regulatory Commission which were critical to the Department of Energy's (DOE) conditional commitment to guarantee a $1.5 billion loan for the project; (2) the course of action presently preferred by DOE and Associates to revitalize the project since the court decision; and (3) the status of DOE compliance with the loan guarantee requirements contained in the Department of Energy Act of 1978.