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EMD-81-64 1 (1981-03-16)

handle is hein.gao/gaobabcep0001 and id is 1 raw text is: j~gqv7~~ t ,~ -~ REPORT BY THE U, S. General Accounting Office Status Of The Great Plains Coal Gasification Plant Great Plains Gasification Associates proposes to construct a coal gasification plant in North Dakota. Parties opposing the financing arrange- ment approved by the Federal Energy Regu- latory Commission petitioned the U.S. Court of Appeals. They opposed a surcharge to cur- rent gas customers to allow Great Plains to partially recover its construction costs and its debt and equity costs if the plant fails. The Court ruled that the Commission had no authority to approve such a package. Since the decision, various options have been considered to get the project going. Great Plains prefers restructuring the financing plan, which includes a $1.8 billion loan guarantee from the Department of Energy. GAO believes that Energy has completed some actions to comply with Public Law 95-238 which authorizes such loan guarantees, but questions the adequacy of its compliance in areas involving implementing regulations, con- gressional report requirements, and establish- ment of a synthetic fuels advisory panel. 115842 EMD-81-64 MARCH 16, 1981 / 6

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