Appalachian Power might be willing to compromise on a key objection to a proposed clean-coal power plant for West Virginia and Virginia.

President Dana Waldo says the American Electric Power subsidiary might agree to cap construction costs for the 629-megawatt plant. His comment came Monday during a licensing hearing before the West Virginia Public Service Commission.

Waldo also said, though, that agreeing on a figure might be tough. Even Appalachian Power concedes the current estimate of $2.23 billion is likely too low given rising construction costs.

The plant would be the first large-scale generating station in the U.S. to use so-called clean coal technology that burns gas made from coal, making it easier to remove pollutants.

Billy Jack Gregg, former head of the PSC's Consumer Advocate Division, says the utility's willingness to even discuss a cap is progress.