Pennsylvania Coal Plant To Transform Into 4.5Gw Gas-Powered Plant

The former Homer City generating station in the US state of Pennsylvania, once the state’s largest coal-burning power plant, is to be redeveloped into a 4.5GW natural gas-powered power plant named Homer City Energy Campus.

Developed by Homer City Redevelopment, the project will support the rising power demand from AI and high-performance computing sectors.

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With an initial capital investment exceeding $10bn, the project represents Pennsylvania’s most significant investment in power infrastructure and site readiness.

Construction is expected to begin in 2025 with power production by 2027.

Knighthead Capital Management has been a key equity holder in Homer City for almost eight years and will continue to head project financing.

Engineering, procurement and construction contractor Kiewit Power Constructors will build the campus.

The company will leverage existing infrastructure from the legacy plant, including transmission lines connecting the Pennsylvania/New Jersey/Maryland and New York Independent System Operator power grids and substations.

GE Vernova will supply seven 7HA.02 hydrogen-enabled gas turbines for the project, with the first deliveries in 2026.

GE Vernova CEO Scott Strazik stated: “We are honoured to provide our US-manufactured, highly efficient and advanced HA gas turbine technology and combined cycle equipment for the Homer City Energy Campus.

“This project demonstrates the best in what investing in power can do: more affordable and reliable energy for everyone, revitalising local economic development benefits with thousands of skilled jobs and enabling Pennsylvania to help lead the future of AI.”

The redevelopment will utilise more than 3,200 acres and reduce greenhouse gas emissions by 60% to 65% per MW hour compared to the coal plant.

It will also create 10,000 construction jobs and 1,000 permanent positions in various sectors.

The power plant will produce energy using natural gas sourced from the Marcellus shale region, contributing to the US’s efforts to address the escalating energy shortage.

Homer City Redevelopment president and CEO William Wexler stated: “This project will honour Homer City’s place in the proud history of Pennsylvania energy generation, while accelerating the state and local community’s ability to meet the needs of a rapidly shifting energy landscape. Alongside our best-in-class partners, we have been working tirelessly to ensure that Homer City’s transformation can happen as quickly and seamlessly as possible.

“Further, we are fully committed to maximising the unprecedented level of economic opportunity this project represents not just for Indiana County, but for all of Pennsylvania and the Mid-Atlantic region of the country.”

In March 2025, GE Vernova entered a strategic framework agreement with Amazon Web Services (AWS) to address the accelerating global energy demand.