According to Gulf Power, stricter regulations imposed by the US Environmental Protection Agency (EPA) have forced shut down Plant Scholz, which was operational since 1953.

The company said that the plant will continue to operate over the next two years, following which plant workers who are not planning to retire will be transitioned to other jobs within the company.

Gulf Power said Plant Scholz was its flagship plant, while its two generating units produced a total of 100MW.

Gulf Power president and CEO Stan Connally said, "Over time, Plant Scholz has been one of the most reliable plants in the Southern Company system."

"It’s provided affordable, reliable electricity for our customers for 60 years — and helped this region grow," Connally added.

The company said it will be able to generate enough electricity to supply its customers in Northwest Florida, even after the plant closure.