Electrical Generation

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    M-U Projects Dominate Top 25 Engineering Construction Projects

    Each year Engineering News-Record (ENR) magazine publishes a list of its Top 25 construction projects that began to be built during the previous 12 months. ENR has just released the list for new starts in 2016, and as we looked over the list, we couldn’t help but notice that of the top 25–each project of which had to be worth at least $140 million to get on the list–many of the projects are related to Marcellus/Utica Shale and would not exist without abundant, cheap shale gas. Here is the list of the Top 25 projects begun last year in the states of Delaware, Maryland, Pennsylvania, Virginia, West Virginia and the District of Columbia…
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    OH Fight to Re-Regulate Electric Industry – Impacts on Shale

    In January we brought to your attention a developing situation–a fight, really–by a few large regulated electric utilities that seek to have Ohio re-regulate the electric industry (see OH Power Cos. Try to Stop Gas-Fired Plants with “Re-Regulation”). We make no bones about the fact we think that’s a very poor idea. It will have the effect of raising electric rates for consumers, and eliminate unregulated shale gas power plants. It is a move by big corporations to eliminate competition–using Ohio’s laws do it. Three of the state’s biggest electric utilities trying to do this: FirstEnergy, American Electric Power, and Dayton Power and Light. Shame on them. One of the most vocal critics of re-regulation is Bill Siderewicz, the owner of Clean Energy Future (based in Boston). Clean Energy is in the process of building two Utica gas-powered electric plants in Lordstown, spending more than a billion dollars to do it. If re-regulation happens, those plants won’t open. Is there a case to be made for re-regulation? Is Siderewicz correct in his assessment that re-regulation is simply re-monopolization under a new name? A recent article in the Youngstown Vindicator does a good job of presenting both sides of this very important issue…
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    Calif. Microturbine Company Sells More Units in the Marcellus

    A California company that manufactures small electric-generating plants that run on natural gas, has just sold three more of their “microturbines” to midstreamers in the Marcellus Shale play. This is not the first time Capstone Turbine Corporation has sold their devices to pipeline companies in the Marcellus (see Calif. Microturbine Company Lands More Marcellus/Utica Customers). Capstone’s technology uses natural gas coming from the pipeline itself to power the generator that produces electricity used by compressor stations. That way, long and expensive-to-install electric lines don’t need to be run to compressor stations, which are mostly sited in rural locations, away from residential areas. It is a win/win for everyone! Here’s the exciting news that Capstone has just sold three more microturbines, with a combined capacity to produce 2.8 megawatts of electricity, to an unnamed midstream company in the Marcellus…
    Read More “Calif. Microturbine Company Sells More Units in the Marcellus”

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    NJ Electric Rates Going Down – Thx to Marcellus Shale Gas

    New Jerseyans, who don’t seem to want new natural gas pipelines, will see lower electricity rates this year–thanks to Marcellus Shale gas that flows through pipelines to electric generating plants–in New Jersey. Last Friday the NJ Board of Public Utilities approved the results of the state’s annual electricity auction. The annual auction sets wholesale electricity prices that the state’s electric utilities will pay and pass through to all NJ residential customers who have not chosen a third-party electric supplier. It is the eighth consecutive year that electric prices are either stable, or have gone down. The reason for the lower rates: “cheaper prices for wholesale natural gas.” And guess where NJ’s cheap natgas comes from? Yep–the Pennsylvania Marcellus…
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    Invenergy Proposes Deal to Elizabeth Twp to Move 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). Compared to Invenergy’s other PA plant now under construction in Jessup, PA (1,480 megawatts), the proposed Elizabeth plant is much smaller, at 550 megawatts. It 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). Such is the kooky world of antis. Unfortunately, the local antis enlisted the support of Elizabeth Township’s zoning board, which rejected the plan in June (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 has offered an olive branch. Invenergy is proposing to locate the plant at a new, more rural location about 10 miles away. If Elizabeth Twp agrees to the plan, Invenergy will drop the lawsuit. The new location is a junk yard–so Invenergy is proposing to change locations from one kind of dump to another. Meanwhile, the residents who live near the first location will continue to live near a contaminated dump instead of a cleaned-up, clean-burning natural gas plant…
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    Penn State Study: NatGas Power Plants Pose No Radon Risk

    A bright and enterprising graduate student at Penn State University cooked up an interesting research project for her graduate thesis. With all this talk about “fracked gas” having boatloads of radon in it, would using such radon-laden gas as the source fuel for a gas-fired electric plant pose a risk to those who live near it? In particular, could the gas-fired plants on Penn State’s own campus be posing a danger to students, faculty and staff that live and work on campus? Alison Stidworthy, a former graduate student in the Department of Meteorology at Penn State (and now employed as a site manager for the New Jersey Department of Environmental Protection), led the research effort, which was the topic of her master’s degree thesis (copy below). What did Alison find? High levels of radon do not leak from the plants and pose no health issues to those living and working nearby. Which makes perfect sense. How do you get rid of radon in your basement when it’s present? You vent it to the outside, where it quickly dissipates and becomes inert. Alison, along with several of her professors, recently published her work as a study in the Journal of the Air & Waste Management Association...
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    Clean Energy Future Blasts Plan to Re-Regulate OH Powergen

    A few weeks ago 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 profits 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. And that’s just what Bill Siderewicz, president of Clean Energy Future (investing $4.5 billion in five new shale-fired electric plants in Ohio) said on a conference call yesterday…
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    Lack of NatGas in New England Pushed CO2 Emissions UP in 2015

    For whatever insane reason, some in New England, including the two U.S. Senators from Massachusetts (see today’s companion story) irrationally hate natural gas because it is a “fossil fuel.” These demented folks believe that by burning natural gas, more carbon dioxide (CO2) is pumped into the atmosphere and that increasing amounts of CO2 are causing the earth to warm up, catastrophically. At least that’s what they say they believe. The problem with their theory (libs always have problems because their theories never work out in reality), is that CO2 levels have decreased across the U.S.–because of the increased use of natural gas. Except for New England. Because New England is not using as much natural gas as other regions, making them rely on oil-fired electric plants, New England’s CO2 levels went UP in 2015! They not only pay more for electricity and energy than any other region of the United States, they’re using dirtier energy–all while claiming they love the environment and don’t want “dirty” natural gas. What idiots…
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    Dominion Updates for Cove Point, AC Pipeline, Greensville Power

    Midstream and utility giant Dominion issued their fourth quarter and full year 2016 update yesterday. Just to give you an idea of the depth and breadth of the company, Dominion has ~26,000 megawatts of power generation, 14,400 miles of natural gas transmission, gathering and storage pipeline, and some 6,500 miles of electric-transmission lines. They are “a producer and transporter of energy.” Among the key projects we keep an eye one: the Cove Point, Maryland LNG export facility (under construction), the Greensville Power Station (under construction), and the Atlantic Coast Pipeline (soon to be under construction). The numbers are looking good. Revenue for Dominion in 4Q16 was $457 million, up $100 from 4Q15. Full year revenues were $2.1 billion, up from $1.9 billion in 2015. Below we have yesterday’s update, along with select portions of a conference call by Dominion’s muckety mucks and their comments about projects like Cove Point and Atlantic Coast Pipeline…
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    York County, PA Electric Plant Begins Using NatGas as Fuel

    Brunner Island Power Plant – click for larger image

    We first reported in August 2015 on plans for a mammoth coal-fired electric plant in York County, PA (straddling Lancaster County) would invest $100 million to begin using Marcellus Shale gas to help power the plant (see Lancaster Coal Burning Electric Plant Adding Marcellus NatGas). The Brunner Island facility, as it’s called, has been in environmentalists sights for years, with complaints about emissions from the plant. Brunner Island has a relatively new owner–Talen Energy (of Allentown, PA). Beginning to use natgas at the Brunner Island facility is an experiment for Talen–they intend to continue using coal as well (for now). Good news: Brunner Island has begun using natgas, ahead of schedule…
    Read More “York County, PA Electric Plant Begins Using NatGas as Fuel”

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    AEP Completes Sale of 2 OH, 1 IN NatGas-Fired Electric Plants

    MDN reported in September that American Electric Power is selling four electric generating plants to a newly formed joint venture of Blackstone and ArcLight Capital Partners (see AEP Sells 2 Ohio NatGas-Fired Electric Plants to Blackstone JV. Three of the plants are natural gas-fired–two of them in Ohio and one in Indiana. One of the plants is coal-fired, located in Ohio. Total sale price for all four: $2.17 billion. As we’ve also reported, the sale of these “unregulated” power generating plants is part of AEP’s strategy to become 100% regulated–and then try to lock out competition from unregulated, shale-fed plants (see OH Power Cos. Try to Stop Gas-Fired Plants with “Re-Regulation”). Sleazy. At any rate, AEP reported on Monday the sale is now completed…
    Read More “AEP Completes Sale of 2 OH, 1 IN NatGas-Fired Electric Plants”

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    EIA: NatGas-Fired Electric Plants Adding 36.6 GW Next 2 Yrs

    As MDN has covered (shouted) for several years now: natural gas-fired electric plants are a really big deal. The conversion from using coal (and some other forms) to natgas to generate electricity is happening at an increasing rate. And those electric generating plants use A LOT of natgas–meaning new markets for drillers. Just yesterday we gave you a list of 409 such projects across the Fruited Plain (see List of Gas Plants, Pipelines Targeted by Sierra Club). Many of those projects are in the Marcellus/Utica region–or adjacent to our region, using M-U gas to power them. Here’s one more bit of evidence that natgas-fired plants are a big deal. According to our favorite government agency, the U.S. Energy Information Administration, the electricity industry is planning to increase natgas-fired generating capacity by 11.2 gigawatts (GW) in 2017 and 25.4 GW in 2018 (for a total of 36.6 GW) based on information reported to EIA. That’s enough to power something like 26 million homes! If all these plants come online as planned, annual net additions in natural gas capacity would be at their highest levels since 2005. On a combined basis, these 2017–18 additions would increase natural gas capacity by 8% from the capacity existing at the end of 2016…
    Read More “EIA: NatGas-Fired Electric Plants Adding 36.6 GW Next 2 Yrs”

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    List of Gas Plants, Pipelines Targeted by Sierra Club

    The nutjobs at the Sierra Club have done us the favor in identifying their next targets: 409 natural gas-fired electric plants and 83 pipeline projects either under construction or planned. We have both full lists below. (Handy lists for those who want to sell something to the builders of those projects!) Global warming nuttery has metastasized into full-blown insanity at the Sierra Club. Even though natural gas produces far less carbon and harmful emissions than other fossil fuels, the Sierra Club is focusing all of their money, time and resources to defeating anything to do with fossil fuels. If they got their way, they would stop an additional 31 gigawatts of electricity from coming online from gas-fired plants (many of them in the Marcellus/Utica region). They would also stop many M-U pipeline projects. Essentially, they want to force all of us back into the Stone Ages–without the benefit of plastics or the use of fossil fuels. Yes, it IS insanity. Below are not only the two lists (gas power plants projects and pipeline projects), but also a copy of the Sierra Club’s latest foray into Joseph Goebbels propaganda–a report called “The Gas Rush: Locking America into Another Fossil Fuel for Decades.” Real bizzaro stuff…
    Read More “List of Gas Plants, Pipelines Targeted by Sierra Club”

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    Japanese Company Building NatGas Power Plant in (Yes) New York

    Somehow, someway, a new natural gas-fired electric plant is in the process of getting built–in anti-fracking New York State (see Orange County, NY Marcellus-Fired Electric Plant OK’d by Judge). Unfortunately it seems that part of the reason it slipped through and got an approval involved a corrupt (and very close) aide to NY Gov. Andrew Cuomo (see NY NatGas-Fired Electric Plant an Inside Job for Corrupt Cuomo Aide). We have news: a second natgas-fired electric plant is now planned in neighboring Dutchess County, NY. The 1,100 megawatt plant is majority owned by JERA Co., Inc., a Japanese company. We have the details below…
    Read More “Japanese Company Building NatGas Power Plant in (Yes) New York”

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    Marcellus Gas Saves 438 Jobs at PA Paper Manufacturer

    Domtar Corporation designs, manufactures, markets, and distributes pulp, paper, and personal care products from facilities in Elk and Clearfield counties in North Central Pennsylvania. PA Gov. Tom Wolf’s office excitedly announced yesterday that the company has decided to stay in PA and not move, making “significant infrastructure and equipment upgrades at its facilities.” The decision means that 438 jobs will stay in the Keystone State rather than move elsewhere–good for Pennsylvania. Which is all mildly interesting. However, the primary reason they’re sticking around is what caught our eye: the operation is converting from burning coal for energy to burning clean, cheap Marcellus Shale gas. The PA Commonwealth Financing Authority is kicking in $1 million from the Pipeline Investment Program (PIPE) grant fund to pay for a three-mile natural gas pipeline to Domtar’s Elk County paper mill facility…
    Read More “Marcellus Gas Saves 438 Jobs at PA Paper Manufacturer”

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    Large Crowd Turns Out For/Against 22-Mile Pipeline in NJ Scrub Pines

    On Monday the New Jersey Pinelands Commission, which oversees a stand of scrub pines in South Jersey, held a public hearing to listen to comments on a plan to build a 22-mile pipeline through the scrub pines, burying it alongside the road so as to not disturb any spindly trees. The pipeline will supply clean-burning natural gas to a power plant currently fed by coal, cleaning up the air and lowering CO2 emissions. But dunderheads in the area are still opposed–largely incited by radical environmental groups like the NJ Sierra Club and the odious Food & Water Watch, who spread lies about the project. So many people turned up for the meeting, it maxed out the meeting room of 260 and some had to wait outside in the rain (which didn’t sit well with the pampered snowflakes). Predictably many who showed up wanted to go on record as opposed to the project. Isn’t that always the case? It’s easy to motivate people to attend a meeting when they’re against something–much harder to attract people who support something. At any rate, the surprising thing about yesterday’s meeting were the many people who turned out to support the pipeline. Also predictable, at least one anti (from the odious Food & Water Watch) couldn’t contain herself and had to be ejected for disrupting the meeting…
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