LONDON--Electricity and gas company SSE PLC (SSE.LN), said Friday it has decided to select the Limited Life Derogation option under the Industrial Emissions Directive for its remaining capacity at its coal-fired power stations at Ferrybridge and Uskmouth, aading it will progress with up to 15 million pounds of investment at its Peterhead power station.

MAIN FACTS:

-Under this 'opt-out' derogation, the plant can run without fitting further abatement technology for a total of 17,500 hours or to the end of December 2023, whichever is the earlier.

-The Industrial Emissions Directive or IED is due to come into effect from Jan. 1, 2016 and imposes emission limits of SO2, NOx and particulates on all U.K. generation plant.

-All of SSE's other qualifying U.K. thermal generation plant (including coal-fired Fiddlers Ferry and its gas plant) will remain in the draft TNP established by the U.K. Government in 2012.

-SSE has decided to progress with up to GBP15 million of investment at its Peterhead power station to extend the life of the plant and allow it to operate more flexibly and efficiently in future years. The whole program is expected to be completed by the end of 2015.

-SSE PLC shares at 1040 GMT traded down 2 pence, or 0.2%, at GBP13.70, valuing the company at GBP13.24 billion.

-Write to Razak Musah Baba at razak.baba@wsj.com; Twitter: @Raztweet

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