Power Generation and Supply Market Recap, January 2022

By FirmoGraphs Staff
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January's 2022 Power Generation & Supply Market Recap is a snapshot of the data and information we curate. We share industry drivers, notable projects, recent mergers and acquisitions, interesting reads, and updates on upcoming meetings and conferences.

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Industry Drivers

Drivers

Our data team tracks new and updated industry drivers. Here are some recent drivers we have been following this month:

New Mexico Grid Modernization Roadmap

Status: Effective 

Organization: The New Mexico Energy, Minerals and Natural Resources Department

Summary: On January 20, 2022, the Energy, Minerals and Natural Resources Department’s (EMNRD) Energy Conservation and Management Division (ECMD) published the New Mexico Grid Modernization Roadmap. The Roadmap details priorities and strategies to modernize New Mexico’s electric grid and complements the state’s Energy Transition Act of 2019 (ETA) which set the state’s electricity providers on a path to 80% renewable energy and 100% zero-carbon energy. The roadmap considers actions that could be taken across the next eight years (2022-2030) to achieve grid modernization.

 

Order on Power Grid Study Recommendations

Status: Effective 

Organization: New York State Department of Public Service

Summary: On January 20, 2022, the New York Public Service Commission published its Order on Power Grid Study Recommendations addressing the State's investments in electric transmission and distribution systems necessary to meet the Climate Leadership and Community Protection Act (CLCPA). The Order concerns changes to New York's offshore wind program, future onshore bulk transmission planning requirements, the proposal to consider Renewable Energy Zones (REZs), and strategies to deploy advanced technologies. Also, by this Order, the New York State Energy Research and Development Authority (NYSERDA) is obligated to require future offshore wind proposals to be developed with the optional capability to interconnect with a meshed system if the PSC recommends such configurations in the future. This Order is based on offshore wind propositions from a power grid study that was conducted pursuant to the Accelerated Renewable Energy Growth and Community Benefit Act of 2020.

Click Here for More Information

 

Repealing Ban on Construction of Nuclear Power Plants

Status: Proposed 

Organization: West Virginia State Legislature

Summary: On January 31, 2022, Senate Bill 4 passed the West Virginia's Senate 76-16. The bill would remove two sections of code banning the construction of new nuclear power plants except under certain circumstances, thus ending the ban that has been in place since 1996. This law has a twin in the House, HB 2882, which already made it through the House Energy and Manufacturing Committee and the House Government Organization Committee. The bills are a result of discussion between the lawmakers and Nucor, a steel manufacturer from North Carolina, which has plans to build a new steel mill in Mason County using electric arc furnaces. Last year, the company also announced plans to further reduce greenhouse gas emissions at its plants and utilize cleaner forms of energy.

Click Here for More Information

 

Notable Projects

Firmographs Power Market Recap

We track notable projects from the proposal stage to becoming effective. Here are some of the recent notable projects we have been tracking.

$10 Billion CP2 LNG and CP Express Pipeline Project

Type: Generation - Gas

Status: Proposed

Organization: Venture Global

Region: Louisiana

Summary: In December 2021, Venture Global filed an application with the Federal Energy Regulatory Commission (FERC) for authorization to build and maintain a $10 billion worth LNG export facility in the State of Louisiana. The new facility will be in Cameron Parish, neighboring Venture Global’s first facility, Calcasieu Pass. The proposed project development includes the two-phased construction of 20 million tonnes per annum (MTPA) of nameplate liquefaction capacity for export from the Terminal Facilities, constructed on around 737.3 acres of the mainland and shoreline of Monkey Island. CP Express will build about 85.4 miles of the new, 48-inch-diameter natural gas pipeline (the CP Express Pipeline); 6.0 miles of new, 24-inch diameter lateral pipeline (the Enable Gulf Run Lateral); and additional facilities in Texas and Louisiana, which will be completed in two phases (the Pipeline System). The Pipeline System will connect the Terminal Facilities to the existing natural gas pipeline grid in east Texas and southwest Louisiana. CP2 LNG and CP Express expect that FERC approval to site, construct, and operate the project will be administered in the first quarter of 2023. Construction of the project is planned to begin during the second quarter of 2023, with a Phase 1 in-service target during the second quarter of 2026. Construction and in-service of the Phase 2 facilities are expected to follow Phase 1 by 12 months.

Contact FirmoGraphs to See the Document

 

$900 Million SunZia Southwest Transmission Project

Type: Transmission

Status: Proposed

Organization: SunZia Transmission, LLC

Region: Arizona

Summary: The proposed SunZia Southwest Transmission Project consists of two planned 500 kV transmission lines located on around 520 miles of Federal, State, and private lands between central New Mexico and central Arizona. The first phase of the SunZia project will include a single-circuit 500-kV high-voltage direct-current line, which will primarily supply renewable energy from rural New Mexico and southeastern Arizona to serving entities in Arizona, California, and other project markets. The project's second phase is envisioned to include an additional 1,500 MW of capacity on 500-KVac transmission lines and other delivery points. The construction of phase two is currently excluded from the current solicitation. The planned in-service date for the first transmission line is 2025. The project will include the construction of the Willow-500 kV Substation, located on Arizona's State land in Graham County. The proposed Willow-500 kV Substation location is around 3 miles north of the Cochise County line and about 1 mile east of US Highway 191. Construction of the project is anticipated to start in 2023 and is expected to be completed by 2025. The project is valued at an estimated $900 million.

Contact FirmoGraphs to See the Document

 

$560 Million Titus Canyon Solar Project

Type: Generation Solar

Status: Proposed

Organization: Titus Canyon Solar, LLC

Region: Nevada

Summary: On December 23, 2021, Titus Canyon Solar, LLC filed a notice with the Public Utilities Commission of Nevada asking for permission to: 

  1. construct a 600 MW /ac photovoltaic solar electric generating facility;
  2. a 525 kilovolt kV generation tie line which will run from the project site to the proposed Amargosa Substation
  3. a 600 MW/ac battery energy storage system (BESS), and ancillary facilities. 

The project is located on Bureau of Land Management (BLM) land near Highway 95 and State Road 373 in Nye County, Nevada. The project will commence in December 2022 and is expected to be completed by June 2027. FirmoGraphs estimates the project will cost $560 million to build.

Contact FirmoGraphs to See the Document

 

$427 Million South Fork Wind Farm

Type: Generation Wind

Status: Proposed

Organization: Ørsted and Eversource

Region: New York

Summary: In January 2022, South Fork Wind, New York's first offshore wind farm, got its final decision from the U.S. Department of the Interior's Bureau of Ocean Energy Management (BOEM) to start the construction. The 132 MW offshore wind farm will complement East Hampton's energy needs, delivering enough clean energy to power 70,000 homes. The 12 turbines won't be seen from East Hampton beaches when complete. Ørsted and Eversource will soon start construction on South Fork Wind, with onshore activities beginning as early as January 2022 on the project's underground transmission line. Offshore installation of the project's monopile foundations and 11 MW Siemens-Gamesa wind turbines will start in summer 2023. South Fork Wind, LLC will construct, operate, and maintain the South Fork Export Cable (SFEC) in support of the South Fork Wind Farm, which will be built 35 miles east of Montauk Point. The SFEC will be an alternating current electric cable (138 kV) that will extend from the South Fork Wind Farm in federal offshore waters to coastal New York State waters and inland to the existing mainland electric grid located in the Town of East Hampton, New York. The project is anticipated to be completed by the end of 2023. FirmoGraphs estimates the project will cost $427 million to build.

Contact FirmoGraphs to See the Document

 

$300 Million Luyster Creek Energy Storage Project

Type: Energy Storage

Status: Proposed

Organization: Astoria Generating Company, L.P.

Region: New York

Summary: On December 15, 2021, Astoria Generating Company, L.P. (AGC), a wholly-owned subsidiary of Eastern Generation LLC, filed with the state of New York Public Utility Commission a proposal to construct, own, and operate an energy storage facility called the Luyster Creek Energy Storage (LCES) Project, which will be located at AGC's existing Astoria Generating Station in Astoria, Queens. The project involves two distinct installations with four-hour batteries and a total capacity of 135 MW (540 MWh). LCES Facility I, a 56 MW storage facility, will be constructed on a pier, formally the AO Dock. The LCES Facility II, a 79 MW storage facility, will be built on the Back Parking Lot. LCES Facility I will connect to Con Edison's 138 kV Astoria West Substation via feeder No. 24122. LCES Facility 2 will connect to Con Edison's 138 kV Astoria West Substation via feeder No. 24121. It is anticipated that the project's construction will begin in 2023 and continue for 12 months. AGC estimates the project's total costs at around $300 million and expects to finance those costs through a combination of equity and debt.

Contact FirmoGraphs to See the Document

 

$202 Million Moss Creek Solar Project

Type: Generation - Solar

Status: Proposed

Organization: Moss Creek Solar, LLC

Region: Indiana

Summary: On December 17, 2021, on behalf of Moss Creek Solar, LLC, a  wholly-owned subsidiary of NextEra Energy Resources, the Development Director gave testimony for the proposed Moss Creek Solar Project. The project involves the construction of a Solar Facility, which is located entirely in unincorporated areas of Pulaski County, Indiana. The Solar Facility will generate up to 200MW (nameplate capacity, alternating current) of electricity from around 560,000 solar panels located across parts of approximately 1,530 buildable acres. Transmission and substation facilities are planned to be situated in Pulaski County. The project will interconnect to the American Electric Power (AEP) Olive Reynolds 345 kV transmission line, located within the PJM Interconnection LLC (PJM) footprint, via a line tap within the project’s boundary. Construction of the project is expected to start in the spring of 2022, and the project is anticipated to achieve commercial operation by December 2023. FirmoGraphs estimates the project will cost $202 million.

Contact FirmoGraphs to See the Document

 

 

Notable M&A

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The following  M&A transactions in the Power Generation and Supply Industry stand out in the month of January:


What We Are Reading

Reading News and Market Updates

Here are some recent articles our team has been reading:



Meeting Planner

Meeting Planner

Organizations have shifted their event strategies during the COVID-19 pandemic.  We are tracking these changing meeting plans.  

Meetings in February and March 2022

Early Bird Registration

Call for Papers Date

Tags: US Power