pledged to spend $10 billion to build 11 new coal-fired power plants at nine existing TXU Power sites in Texas.
The Dallas-based generation company said the plan takes advantage of TXU's scale, existing sites, rail facilities, water rights and other infrastructure. The setup will allow the company to build the plants at three-quarters the cost of a typical power developer.
To manage the complexity of the effort and reduce engineering, procurement, and construction costs, TXU will work in exclusive partnerships with Bechtel Power and Fluor Corp. Bechtel and Fluor have built a majority of the world's coal-fired power plants over the past 20 years.
In addition, TXU is launching a new company, TXU Renew, to double its renewable energy portfolio by 2011. TXU Renew will focus on the growing renewable energy market by investing in renewable power facilities. This will bring TXU's total renewable energy portfolio to approximately 1,400 megawatts, enough wind energy to power about 275,000 homes.