HARTFORD, Conn. — Connecticut regulators have rejected a proposal to build a $537 million natural gas-fired power plant in the town of Killingly.

The Connecticut Siting Council recently ruled that the proposed facility isn’t necessary for the “reliability of the electric power supply of the state” or for a “competitive market for electricity.”

Florida-based NTE Energy proposed the plant, saying it would produce an estimated 550 megawatts of power and cut electricity costs.

NTE says the company is “disappointed” with the council’s decision.

Environmentalists had opposed the project, saying it would produce more air pollution in the region. An attorney for the Connecticut Fund for the Environment says the organization is pleased with the council’s ruling.

The ruling doesn’t prevent the company from refiling its application for the project.