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Michigan Backs Gas Plants for Upper Peninsula

October 31, 2017
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Michigan regulators on October 25 gave their support to Upper Michigan Energy Resources Corp.’s (UMERC) plan for two new natural gas-fired plants in the state’s Upper Peninsula (U.P.). The plants approved by the Michigan Public Service Commission (PSC) would be built in Baraga and Negaunee townships.

The plants are designed to produce a combined 183 MW of generation. Construction could begin by year-end, and the current schedule calls for both plants to begin operating in 2019. Electricity from the two facilities would partly replace generation from We Energies’ 359-MW Presque Isle Power Plant on Lake Superior in Marquette, Michigan, where the last five coal-fired units are scheduled to close in 2020.

The first of the five remaining units (Units 5 through 9) at Presque Isle begin operating in 1974; the last of those five came online in 1979. Units 1 and 2 at Presque Isle were retired in 2007, and Units 3 and 4 were closed in 2009.

The new gas-fired plants have a combined price tag of $ 277 million.…

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IEA Says Southeast Asia Will Keep Coal Demand High

October 29, 2017
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The International Energy Agency (IEA) says the need for cheap electricity in Southeast Asia will drive global demand for coal for power generation through 2040, even as many countries continue to retire coal-fired plants and cancel projects for new coal facilities.

IEA, which is set to release its World Energy Outlook 2017 on November 14, this week said India and Southeast Asia will account for the majority of the use of coal in the coming years, as those areas’ economies continue to grow and demand for electricity rises.

“Coal maintains a strong foothold in [Southeast Asia’s] projected consumption, not only because it is markedly cheaper than natural gas, but also because coal projects are in many cases easier to pursue as they do not require the capital-intensive infrastructure associated with gas,” the IEA said in a report in advance of the release of the November outlook.

The agency said about 100 GW of new coal-fired power generation capacity is expected to come online in Southeast Asia by 2040, increasing the region’s installed capacity to about 160 GW.…

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FPL Halfway Through 600-MW Solar Power Expansion

October 23, 2017
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Florida Power & Light (FPL), which recently sustained a blow to its nuclear expansion plans, on October 19 said it’s about halfway through an ambitious plan to add eight new solar plants in the state by early 2018, as it continues to increase its photovoltaic (PV) generation capacity as part of a larger strategy to install more than 10 million solar panels in its service territory by 2023.

FPL already has installed about 1.25 million solar panels at the eight new plants, with another 1.25 million to go. It’s the utility’s largest one-year solar expansion, surpassing the company’s installation of 1 million panels at three solar plants in 2016. FPL said construction at the sites at its peak employed more than 1,000 workers.

FPL President and CEO Eric Silagy on October 19 said the company is “investing nearly $ 1 billion to grow solar in Florida this year alone.” Silagy, visiting the Barefoot Bay Solar Energy Center in Brevard County on Thursday as part of a tour with local officials, said: “Together, these eight new plants are projected to generate an estimated net lifetime savings of more than $ 100 million for our customers, over and above the cost of construction.”…

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SCANA Hit with New Subpoena From SEC

October 19, 2017
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SCANA Corp., already under federal and state scrutiny for how it handled the now-abandoned V.C. Summer nuclear expansion, has been served with a document subpoena by the U.S. Securities and Exchange Commission (SEC).

SCANA said in a news release that it intends to fully cooperate with the investigation of the nuclear project. The development follows a drastic drop in the company’s share price in late September.

SCANA and project partner Santee Cooper in mid-September received federal subpoenas for documents associated with a much-guarded February 2016 assessment report conducted by Bechtel, documentation of meetings with the construction and civil engineering firm, and documentation of site walkdowns and real-time observations at the half-built project.

South Carolina lawmakers on September 26 urged state law enforcement to conduct a criminal investigation into how the project was handled. The measure came after several legislative committee hearings, many focused on the Bechtel audit. At one point, state lawmakers threatened to subpoena if the utilities didn’t release it.…

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Vistra Closing Two More Giant Uneconomic Coal Plants in Texas

October 17, 2017
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Vistra Energy moved to halt a financial hemorrhage stemming from unprofitable conditions in the Electric Reliability Council of Texas (ERCOT), announcing plans to shutter two more coal-fired power plants—the 1.1-GW Sandow Power Plant (which includes a 2009-built unit) and the 1.2-GW Big Brown plant—in early 2018.

The company’s decision made public on October 13 comes on the heels of an announcement last week by Vistra Energy subsidiary Luminant to shutter its 1.9-GW coal-fired Monticello plant in Titus County.

Vistra Energy said the coal plant closures are necessary because they are “economically challenged in the competitive ERCOT market.” Specifically, it said, “Sustained low wholesale power prices, an oversupplied renewable generation market, and low natural gas prices, along with other factors, have contributed to this decision.”

Terminating Years of Service

“This announcement is a difficult one to make,” said Vistra Energy President and CEO Curt Morgan. “It is never easy to announce an action that has a significant impact on our people. Though the long-term economic viability of these plants has been in question for some time, our year-long analysis indicates this announcement is now necessary.”…

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Eversource Will Sell 14 New Hampshire Power Plants, Completing Deregulation

October 15, 2017
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Fourteen power plants in New Hampshire, including nine hydroelectric facilities, will soon have new owners as Eversource Energy divests its holdings in the state to satisfy an agreement with state regulators. Eversource outlined the sale of the hydro assets, along with three fossil fuel-fired plants and two combustion peaker units, in an October 12 filing with the New Hampshire Public Utilities Commission (NHPUC).

The NHPUC is expected to approve the deal, with the transactions expected to close by year-end 2017 or in early 2018. As part of the agreement, the new owners must keep the plants in service for at least 18 months. The ownership change will mark the completion of electric deregulation in New Hampshire and bring rate adjustments to customers in the first half of 2018, according to an Eversource spokesman, who said the Eversource plants were the last operated by a regulated utility in New England.

Eversource now will purchase electricity on the wholesale market, which the utility said will lower rates for its customers.…

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