Reliant to mothball Miss. power plant

NEW YORK, May 4 (Reuters)

Reliant Energy Inc. on Tuesday said it would mothball a Mississippi power plant as weak demand for electricity in the Southeastern U.S. continues to weigh on wholesale market conditions.

Reliant said it would mothball its 882-megawatt Choctaw County plant after it offered the output to the market to no avail. The plant, a natural gas-fired, combined cycle plant commissioned in July 2003, will be out of commission indefinitely until the market improves, the company said.

Separately, Reliant said it has withdrawn its request to mothball 18 units, totalling 509 megawatts, in the PJM Interconnection serving Pennsylvania, New Jersey and Maryland. The company said its load-serving obligation in New Jersey and some uncertainty about the transmission capacity on specific lines during summer months were factors in its withdrawal.

Shares of Reliant were trading up 14 cents at $8.71 in afternoon dealings on the New York Stock Exchange.

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