The company had canceled plans in December 2008 to develop the Holtwood Expansion, then listed as 88.3 MW, due to unfavorable economic conditions.

The withdrawal of a FERC application effectively canceled the addition to the original 107.2 MW Holtwood hydroelectric project.

PPL said on November 3, 2009, that incentives in the federal stimulus package could make the project feasible again by offsetting the factors that caused the company to withdraw its original application.

In addition to approving the expansion, FERC has agreed to extend the Holtwood’s hydropower license expiration to August 2030 from September 2014.

PPL has named Walsh Construction of Chicago to be general contractor for the project. The company is purchasing turbine-generators from Voith Hydro of York, Pa. PPL said that the proposed $440 million project could start construction in February 2010 and is expected to be completed by spring 2013.

The company has announced in October 2009 that the construction is under way by its PPL Montana affiliate on a new 58.95 MW Rainbow hydroelectric plant on the Missouri River as part of the 327.85 MW Missouri-Madison project. The company is building a new powerhouse to replace a 35 MW Rainbow plant.

The new Rainbow powerhouse features a single vertical shaft Kaplan turbine rated at 62 MW connected to a single vertical shaft generator with a nameplate capacity of 58.95 MW.