BOISE, Idaho (AP) -- One of Idaho's first utility-scale solar power developments says a delay ordered by the state's public utility regulator could be fatal for its project.

Interconnect Solar, developer of the 20-megawatt project in Owyhee County, and Idaho Power already have a power purchase agreement and are awaiting approval from the Idaho Public Utility Commission before the company can begin construction.

But last week, the regulator told Interconnect that its staff needed more time -- until Sept. 29 -- to review the project.

Interconnect Power's lawyer, Ron Williams, told the regulator in a letter on Wednesday that such a delay would doom the project.

Williams says that's because Interconnect stands to lose critical tax credits and miss its target completion date, June 1, 2012, resulting in a contract default with Idaho Power.

Copyright 2011 The AP.