Electrical Generation

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    DEP Grants Air Permit for 2nd Gas-Fired Elec Plant Near Scranton

    The largest (so far) Marcellus Shale-gas fired electric plant in Pennsylvania is currently under construction in Lackawanna County, PA (near Scranton). The Lackawanna Energy Center, being built in Jessup by Invenergy, will produce 1,480 megawatts of electricity. However, there is a second, smaller Marcellus-fired electric plant also in the works. Last October, MDN brought you the news that Archbald Energy Partners, a collaboration between Canada-based EmberClear Corp. and New Jersey-based DCO Energy, wants to build a plant in Archbald, PA (again, near Scranton) that will produce 485 megawatts of electricity (see 2nd NatGas Electric Plant Proposed for Lackawanna County, PA). The Pennsylvania Dept. of Environmental Protection (DEP) announced yesterday they have issued an air quality permit for the Archbald project. This is an important step in the process of building the plant. Although more permits will be needed, we’d say the major hurdles have now been crossed. Below is the DEP announcement, a copy of the full air quality permit issued (68 pages), and responses to comments from members of the community who complained about the project…
    Read More “DEP Grants Air Permit for 2nd Gas-Fired Elec Plant Near Scranton”

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    81% of 2016 Ohio Valley Investment Came from One Natgas Project

    Artist’s rendering of Lordstown Energy Center – click for larger version

    We spotted a story that seemed to us like the Ohio Valley was doing some justified bragging about investment in the region during 2016. Recently, the “Youngstown/Warren, Ohio Economic Development 2016 Report Card” was released. The Report Card was a joint effort of the Youngstown/Warren Regional Chamber of Commerce, OhioMeans-Jobs, the cities of Warren and Youngstown, the Youngstown Business Incubator and Youngstown State University. The Report Card found that 111 projects led to a whopping investment of $1.1 billion–in 2016! Or at least you can say, that much money was committed in 2016. Some of the actual spending was made last year, some this year, likely some over the next several years. But hey, let’s not split hairs. This is an achievement to crow about. But when you look at the project list, one project accounts for 81% of the total–the Lordstown Energy Center. The $890 million Lordstown Energy Center is an electric generation plant planned for Lordstown (Trumbull County), OH that will be powered with Utica Shale gas. The project won village approval in the summer of 2015 (see Lordstown $800M Gas-Powered Electric Plant Gets Village Approval). It then won state approval in the fall of 2015 (see Lordstown $800M Gas-Powered Electric Plant Gets OH State Approval). The project broke ground in June 2016 (see Lordstown Energy Center Breaks Ground on $890M Electric Plant). Our point: Without deregulated electric markets in Ohio, and without the Utica and Marcellus Shale, the Ohio Valley investment last year would have been, at best, $220 million, not $1.1 billion… Read More “81% of 2016 Ohio Valley Investment Came from One Natgas Project”

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    High Elec Rates Coming in CT After Natgas Electric Plant Rejected

    “Stupid is as stupid does.” – Forrest Gump. New England needs more natural gas. Why? Because they heat with it, but more importantly, because the produce electricity with it. New England has the highest electric rates in the country–up to four times higher than other regions. These are indisputable facts. In early 2014 all of the six New England state governors sent a letter supporting new pipeline infrastructure to bring cheap, abundant, clean-burning Marcellus Shale gas to New England (see Blue State Blues: 6 New England States Want New Natgas Pipeline). One of those governors was/is Connecticut’s Dannel Malloy–a liberal Democrat. Wonders never cease. But opposition to pipelines–and now (incredibly) to the very plants that produce electricity, has metastasized–such is the power of anti-fossil fuel lunacy. The Connecticut Siting Council has rejected a plan to build a new, $537 million natgas-fired electric plant in Killingly. When Connecticut residents begin to experience not only insanely high prices for electricity, but the fact they can’t even get electricity at any cost (i.e. rolling blackouts), don’t say we didn’t warn them… Read More “High Elec Rates Coming in CT After Natgas Electric Plant Rejected”

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    Natgas Replaced Coal in Northeast Powergen in Last 10 Yrs

    To say that how electricity in the Northeast gets generated has shifted dramatically over the past 10 years is an understatement. In the nine Northeast states, natural gas doubled its share of the region’s total generation to 41% in 2016, up from 23% in 2006. Coal-fired generation fell from 31% to 11% of generation over the same period. Nuclear-powered generation as a share of total generation remained relatively constant near 34%. And so-called renewables like wind and solar are almost undetectable as a percentage of electricity generation. Which means Andrew Cuomo’s insistence that New York get 50% of its electricity from “renewable” sources by 2030 is not only fantasy–it’s lunacy. The man is a crackpot if he thinks that will actually happen. Anyhow, the point of this post, which contains an article recently released by our favorite government agency, the Energy Information Administration, is that over the past 10 years, natural gas has essentially replaced coal in electric generation in the Northeast… Read More “Natgas Replaced Coal in Northeast Powergen in Last 10 Yrs”

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    New England May Experience Electricity Shortage – This Summer

    New England, with its opposition to new natural gas pipelines, is shooting itself in the head when it comes to electricity supplies. A recent announcement from ISO New England, charged with maintaining electric reliability for New England’s power grid, says everything should be fine this summer when it comes to electric generation–BUT “forecasts show possibility of occasional tight system conditions.” Rolling blackouts anyone? Some 700 megawatts (MW) of expected new resources “are delayed and may not be available this summer.” Natgas-fired electric generators in New England have been begging and pleading for pipelines to bring more natural gas to the region–to feed their plants. Yet the dopes in New England, like Sen. Elizabeth “Pocahontas” Warren and Massachusetts Attorney General Maura Healy, keep shutting them out…
    Read More “New England May Experience Electricity Shortage – This Summer”

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    Report: Marcellus Shale Gas “Wreaks Havoc” on PJM Power Market

    Moody’s Investors Service issued a report earlier this week saying an abundance of cheap, clean-burning Marcellus Shale gas threatens to “wreak havoc” in the electric generation market in the PJM area, which covers all or parts of DE, IL, IN, KY, MD, MI, NJ, NC, OH, PA, TN, VA, WV, and Washington, DC. According to Moody’s researchers, a large influx of natural gas power plants entering PJM Interconnection, due to cheap gas supplies from the Marcellus Shale, will pose “severe challenges for generators operating in the region” in the next few years. Because of the Marcellus “glut,” new plants coming online will drive down power prices, which “could lead” to widespread closures of coal power plants, and pressure operating margins for all generators, including other gas-fired plants. The prediction is that a low-price Armageddon will result in widespread corporate casualties. What can be done to avoid this hideous future? Nothing. The only thing power plant operators can do is cut their debt load, which they are doing. In other words, good old American competition (coming from Marcellus Shale gas) is making the PJM electric industry get leaner and more efficient. Imagine that… Read More “Report: Marcellus Shale Gas “Wreaks Havoc” on PJM Power Market”

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    Allentown-Based Talen Energy (Elec Generator) Laying Off Workers

    Talen Energy was birthed in June 2015–a combination of PPL Energy Supply and certain assets of Riverstone Holdings. The company, headquartered in Allentown, PA, is one of the largest competitive energy and power generation companies in North America. Talen owns or controls 16,000 megawatts of generating capacity in wholesale power markets, primarily in the Northeast, Mid-Atlantic and Southwest regions of the U.S. Talen has gotten into converting and building natural gas-fired electric plants, stories we’ve covered over the past few years (see our Talen Energy stories here). At one time Talen employed around 500 people in Allentown at its HQ. Last summer the company announced layoffs for 131 people. Unfortunately, the trend continues. Talen plans to layoff more people–although an exact number has not yet been released… Read More “Allentown-Based Talen Energy (Elec Generator) Laying Off Workers”

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    Fed Court Strikes Major Blow to Obama Clean Power Plan

    An important breakthrough in our long struggle to overthrow the odious and misnamed Obama Clean Power Plan–a plan that assassinates coal and mortally wounds natural gas (see Obama Stabs Natural Gas Electric Plants in Clean Power Plan). On Friday, a federal court granted the Trump administration’s request to suspend a myriad of lawsuits against the CPP. Essentially what the court has done is to push the pause button on the CPP for the next 60 days to allow the Environmental Protection Agency (EPA), the agency that perpetrated the CPP crime on the country, an opportunity to figure out how to repeal it and just be done with it. None other than the mouthpiece of the establishment–the Washington Post–says the court ruling signals “the likely end of President Barack Obama’s signature climate policy.” They’re in mourning over at the Post. Here’s the good news that the CPP is on life support, waiting for Scott Pruitt to pull the plug and finally kill it…
    Read More “Fed Court Strikes Major Blow to Obama Clean Power Plan”

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    OH Law Would Bailout Nuke Plants for $5.4B, Kill NatGas Plants

    In January, MDN highlighted a developing issue in Ohio that potentially impacts Utica/Marcellus shale in the region (see OH Power Cos. Try to Stop Gas-Fired Plants with “Re-Regulation”). Three large utility companies–FirstEnergy, American Electric Power, and Dayton Power and Light–are behind an effort to re-regulate the electric power generation industry in Ohio. The electricity industry is a complicated industry, with some some power producers operating as “regulated” and some operating as “unregulated.” Regulated power producers have their rates, and rate of profit, set by government regulators–which limits but also guarantees profits. Unregulated power producers, on the other hand, do not have the safety net of the government forcing ratepayers to pony up–they operate in the free market, taking all of the risks, and reaping the rewards if those risks prove worthwhile. Many (most?) of the new natural gas-fired electric plants getting built, like those we have focused on in Ohio, are of the unregulated kind. If Ohio rolls back the clock 18 years to re-regulate, it would likely spell the end of billions of dollars of investments in unregulated/shale-powered electric plants. A disaster. The latest tact companies like FirstEnergy are using to force through a rotten piece of legislation is to claim without it, their nuclear power plants will close down. And precious “diversity” of sources to generate electricity is needed. The legislation proposed (Senate Bill 128 and House Bill 178, same language) is actually a $5.4 billion bailout for FirstEnergy. So says Clean Energy Future CEO Bill Siderwicz. Clean Energy is in the middle of investing $4.5 billion in five new shale-fired electric plants in Ohio. That investment and those plants will disappear if this disastrous “bailout FirstEnergy” bill becomes law…
    Read More “OH Law Would Bailout Nuke Plants for $5.4B, Kill NatGas Plants”

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    Webinar: Will New Gas-Fired Power Plants Solve the M-U Gas Glut?

    MDN is excited to partner with NGI to present a VERY important webinar on Thursday, May 4th: “Super Power: Will New Gas-Fired Plants Solve the Appalachian Gas Glut?” NGI has assembled an all-star cast of speakers to discuss where natural gas-fired plants fit into the “generation stack,” with specific emphasis on the PJM Interconnection markets in the Marcellus/Utica. PJM is a regional transmission organization (RTO) coordinating the movement of wholesale electricity in all or parts of 13 states and the District of Columbia (including PA, OH and WV). PJM, like other RTOs, faces challenges with ensuring there will always be enough electricity produced to meet demand. Over the past several years coal-fired electric generating plants have been closing. Natural gas, and in a much smaller sense renewables (wind and solar) have taken up the slack. Wind and solar are notoriously unreliable. The wind doesn’t always blow and the sun doesn’t always shine. But natural gas needs pipelines to get it to the plants. So what’s the scoop with natgas electric generation in our neck of the woods? How important are new power plants to the capacity-constrained Marcellus/Utica? Jump on this free 1-hour webinar to find out…
    Read More “Webinar: Will New Gas-Fired Power Plants Solve the M-U Gas Glut?”

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    Even Without CPP, NatGas Will Dominate Electric Power Gen

    Last week the Natural Gas Supply Association (NGSA) released a report by Pace Global about the “critical role” of natural gas in generating affordable (and clean) electricity in the U.S. The report, titled “Natural Gas: Essential to a lower carbon energy future” (full copy below), finds that whether or not the U.S. federal government adopts Obama’s disastrous so-called Clean Power Plan, the shift was already underway and will continue–from using sources like coal to using natural gas to generate electricity. It is the single, biggest factor in lowering carbon dioxide emissions–if you care about that sort of thing (which we don’t). Along with the Pace report the NGSA released four key policy recommendations that will encourage even more use of natgas in power generation, and increasingly important market for Marcellus/Utica gas…
    Read More “Even Without CPP, NatGas Will Dominate Electric Power Gen”

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    Elizabeth Twp Hearing re Alternate Location for Gas Power Plant

    In January 2016, Invenergy announced their intention to build a natgas-powered electric plant in Elizabeth Township, in Allegheny County (see Invenergy Eyes SWPA for Second Marcellus-Powered Electric Plant). The proposed Elizabeth plant, modestly sized at 550 megawatts, would be built on a brownfield site near Pittsburgh. Even though the site is a former landfill where fly ash was dumped, making it unusable for just about any other purpose, a group of local residents would prefer to keep the site a contaminated dump rather than convert it to a beneficial use like generating electricity (see Invenergy Gets Pushback on Proposed Natgas Power Plant in SWPA). The local antis enlisted the support of Elizabeth Township’s zoning board, which rejected the plan in June 2016 (see Elizabeth Twp Rejects Clean Invenergy Power Plant at Dump Site). So Invenergy sued the town in October (see Invenergy Sues Elizabeth Twp to Allow NatGas-Fired Electric Plant). Rather than drag out the lawsuit, causing Elizabeth taxpayers big money to defend a defenseless decision, Invenergy offered an olive branch–locating the plant at a new, more rural location about 10 miles away (see Invenergy Proposes Deal to Elizabeth Twp to Move Gas Power Plant). Last night the Elizabeth Planning Commission held a 2-hour hearing to take comments from supporters, and the ninny nannies who still oppose it because it burns an evil, nasty, vile fossil fuel…
    Read More “Elizabeth Twp Hearing re Alternate Location for Gas Power Plant”

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    Japanese Now Own 2/3 of Marcellus-Powered Electric Plant in SEPA

    Two weeks ago MDN brought you the news that Japanese company Sojitz Corporation had purchased a one-third (1/3) interest in the 488-megawatt Marcellus gas-fired electric plant being built in Birdsboro, near Philadelphia (see Japanese Co Buys 1/3 of Marcellus-Powered Electric Plant in SEPA). EmberClear plans to begin construction on the Birdsboro Power project in 2018, with an in-service date of June 2019. Word has just come that a second Japanese company, Tokyo Gas (a regional utility company in Japan) has purchased a one-third (1/3) interest in the Birdsboro project–meaning the Japanese will own 2/3 of the plant. However, investment firm Ares EIF will retain the final one-third ownership and provide “day-to-day management” of the facility. While the exact amount of the transaction was not disclosed, it’s said to be “tens of millions of dollars.” What’s up with Japan buying into our powergen projects? In the case of Tokyo Gas it’s crystal clear–they will participate in every aspect of building this project, so they can take their newfound knowledge back home and apply it there. Or depending on your point of view, you might say they want to steal our technology and trade secrets…
    Read More “Japanese Now Own 2/3 of Marcellus-Powered Electric Plant in SEPA”

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    Marcellus/Utica Gas Soon Heading to Florida Penninsula via Sabal Trail

    Click for larger version

    Spectra Energy (and partners NextEra Energy and Duke Energy) are building a $3.2 billion, 515-mile interstate natural gas pipeline in Florida, Georgia and Alabama to deliver Marcellus gas to the southeast. The project, called Sabal Trail Transmission, has been underway for the past three+ years and is due to be completed and online in June–two months from now. Sabal Trail will connect to Williams’ Hillabee Expansion Project, which is a new pipeline spur built off the huge Transco pipeline system (see Williams Building Alabama Pipeline with Marcellus Connection). Williams is reversing a portion of the Transco to bring Marcellus gas south. RBN Energy provides a comprehensive update Sabal Trail and Florida’s “gas thirsty peninsula” that it will serve. RBN says one of the main users of Marcellus gas in Florida will be (yep) electric power generating plants…
    Read More “Marcellus/Utica Gas Soon Heading to Florida Penninsula via Sabal Trail”

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    Nuke the Nukes: Harrisburg Battle to Prop Up Failing Nuke Energy

    As MDN reported last week, the battle lines have been drawn and both sides have come out swinging in a battle over whether ratepayers should bail out economically failing nuclear power plants (see Battle Lines Drawn in PA to Prevent Nuke Energy Special Treatment). Five nuclear power plants in PA provide 37.5% of all electricity used in the state. There are no “greenhouse gas” emissions from nuclear power, making it attractive for some green radicals–but nuclear waste is a big problem because it never goes away, at least not for thousands of years. You have to store it. The biggest problem with nuclear energy today is that it costs more to produce electricity from nukes than it does from cheap natural gas-fired plants. Nukes can no longer compete. So in a couple of corrupt states–New York and Illinois–the nuke lobby convinced regulatory bodies and the legislatures to pass laws favoring nukes–forcing ratepayers to pay more to keep the nukes going. That battle has now come to Pennsylvania. One of the lobbyists hired by the nuke industry is John Hanger–former Secretary of the PA Dept. of Environmental Protection (DEP) under Ed “fast Eddie” Rendell. Hanger briefly ran in the Democrat primary for governor (losing out to Tom Wolf). Hanger ran on a platform of legalizing marijuana–hence our moniker of “pass a joint for John” (see Pass One Last Joint for John Hanger). After he dropped out, Hanger went to work in the Wolf Administration for a period of time, as Wolf’s Secretary of Policy and Planning. But after a year of that Hanger quit and moved out of PA–to be with his wife and daughter in Massachusetts (see John “Severance Tax” Hanger Quits Tom Wolf Administration – Why?). Hanger is back–“advising” (i.e. lobbying) for the nuclear industry in Harrisburg…
    Read More “Nuke the Nukes: Harrisburg Battle to Prop Up Failing Nuke Energy”

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    Lack of Pipeline Approvals by Cuomo = Future Power Outages in NY

    New York Gov. Cuomo has now blocked the Constitution Pipeline from getting built (see NY Gov. Cuomo Refuses to Grant Permits for Constitution Pipeline), and the Northern Access Pipeline project (see Cuomo’s Corrupt NY DEC Blocks NFG Northern Access Pipeline Permit). Those two projects are critical–not only for Pennsylvania drillers, but for NY’s natural gas customers. However, the cancer of pipelineitis seems to have now spread. The Dept. of Environmental Conservation (DEC) is behaving with two smaller-yet-vital pipeline projects as they did with both of those large pipeline projects. The behavior observed is this: delay for a year or more, and when you can no longer get away with more delays, simply deny the permits. This time their delay/denial routine threatens electric reliability in the Empire State–because the two small pipeline projects they’re doing it with would feed new electric generating plants. With the imminent closing of a nuclear plant near New York City–by Cuomo–our state needs massive amounts of new electric generating capacity. Fields and fields of solar panels and hillside upon hillside of windmills can’t replace all of the electricity disappearing when Indian Point closes. Natgas generation has to come online–and if it doesn’t, get read for rolling blackouts…
    Read More “Lack of Pipeline Approvals by Cuomo = Future Power Outages in NY”