Power Generation and Supply Market Recap, September 2022

By FirmoGraphs Staff
Power Round Up December 2020 Power Lines Solar Power Panels

Our September 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.

To learn more about how we are helping power and coal ash industry leaders find new opportunities in their market of interest, schedule a market opportunity workshop.

Industry Drivers

Drivers

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

SB-846 Diablo Canyon Power Plant: Extension of Operations

Status: Effective

Organization: Diablo Canyon Nuclear Powerplant (DCNP) 

Summary: On September 02, 2022, the Governor of California approved a bill related to the extension of operations of Diablo Canyon Nuclear Powerplant (DCNP) through the end of the decade. The bill requires the Public Utilities Commission (PUC) to set new dates for the retirement of DCNP only if the United States Nuclear Regulatory Commission (USNRC) extends its operating license. Under the bill, the legislature would appropriate $1.4 billion to the Department of Water Resources (DWR) to facilitate the extension period of DCNP. Additionally, the bill would establish the Diablo Canyon Extension Fund in the State Treasury and transfer $600 million from the General Fund to the Diablo Canyon Extension Fund.

Click Here for More Information

 

DOE Launches New Energy Earthshot to Slash the Cost of Geothermal Power

Status: Effective

Organization: U.S. Department of Energy (DOE)  

Summary: On September 8, 2022, the U.S. Department of Energy (DOE) announced a new initiative to make enhanced geothermal systems (EGS) a widespread renewable energy option in the country. The Enhanced Geothermal Shot initiative aims to cut costs of EGS by 90% to $45 per megawatt hour by 2035. The DOE has appropriated $44 million to Frontier Observatory for Geothermal Energy Research (FORGE) field laboratory for innovations in EGS technologies and $165 million to transfer the best practices from oil and gas to advance EGS. Additionally, $84 million has been allocated under Bipartisan Infrastructure Law for four EGS pilot projects in different geographies and geologies. Achieving Enhanced Geothermal Shot will support the goal of carbon-free electricity by 2035 and net-zero emissions by 2050 across the U.S.

Click Here for More Information

 

White House Announces New Actions to Expand U.S. Offshore Wind Energy

Status: Effective

Organization: White House

Summary: On September 15, 2022, the White House released plans to add 15 gigawatts (GW) of floating offshore wind capacity by 2035 - building on the existing goal of deploying 30 GW of offshore wind by 2030. The goal will avoid 26 million tons per year of carbon emissions. The US Bureau of Ocean Energy Management (BOEM) will advance wind lease areas for projects in deeper waters to fulfill the objective, beginning with a previously announced auction for territory off the California coast before the end of the year. To achieve this goal, the Department of Energy (DOE) has launched the Floating Offshore Wind Shot through Energy Earthshot program, aiming to reduce the costs of floating technologies by more than 70% by 2035, to $45 per megawatt-hour. In addition, the DOE will invest $50 million in research, development, and demonstration of floating offshore wind projects.

Click Here for More Information

 

SB-1020 Clean Energy, Jobs, and Affordability Act of 2022

Status: Effective

Organization: State Energy Resources Conservation and Development Commission (Energy Commission)

Summary: On September 16, 2022, California's Gov. Newsom signed into law “SB-1020 Clean Energy, Jobs, and Affordability Act of 2022.” The Act puts the state to achieve 90% renewable and zero-carbon retail electricity sales to end-use customers by the end of 2035, 95% by the end of 2040, and 100% by the end of 2045. Under this Act, the State Energy Resources Conservation and Development Commission (Energy Commission), in collaboration with the Public Utility Commission (PUC), Independent System Operator (ISO), transmission owners, users, and consumers, to adopt a strategic plan in order to implement investments to ensure reliability, relieve congestion, and meet future growth in load and generation. Additionally, The Act would authorize the PUC and Energy Commission to disclose confidential information relating to power purchase agreements with electric generation and energy storage projects to ISO for electric transmission planning purposes.

Click Here for More Information

 

SB-529 Electricity: Electrical Transmission Facilities

Status: Effective

Organization: Public Utilities Commission (PUC)

Summary: On September 16, 2022, California's Gov. Newsom signed into law an electrical transmission facilities bill. The bill will streamline transmission upgrade approvals and reduce the time and blockages in bringing new renewable resources online. Under this bill, the Public Utilities Commission (PUC) needs to update the general process to authorize electrical corporations to use the permit-to-construct process or claim an exemption to seek approval to extend, expand, upgrade or modify their existing electrical transmission facilities.

Click Here for More Information

New Jersey Executive Order Increasing Offshore Wind Goal to 11,000 MW by 2040

Status: Effective

Organization: Public Utilities Commission (PUC)

Summary: On September 21, 2022, the Governor of New Jersey signed Executive Order No. 307, increasing the offshore wind electricity generation goal to 11,000 megawatts (MW) by 2040. As a result, the Board of Public Utilities (BPU), Department of Environmental Protection (DEP), Economic Development Authority (EDA), and all other state agencies with responsibilities under the Offshore Wind Economic Development Act (OWEDA) will take the necessary actions to meet offshore energy generation goal. In addition, the BPU is required to submit a feasibility and benefits report to the Governor within one year from the Order's effective date regarding further increase the goal.

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.

$900 Million Oregon Energy Center

Type: Generation Gas - Fired Combined Cycle

Status: Proposed

Organization: Clean Energy Future

Region: Ohio

Summary: Clean Energy Future - Oregon, LLC submitted filings in September 2022 to the Ohio Power Siting Board for the proposed Oregon Energy Center Facility in the City of Oregon, Lucas County, Ohio. The Project is a new natural gas-fired combined cycle electric generating facility with 955 megawatts (MW) of demonstrated capacity. The Project schedule has been somewhat delayed. However, construction is currently scheduled to commence on or before October 2023, with commercial operation anticipated by the fall of 2026. The project cost is $900 million, according to Power Technology.

Contact FirmoGraphs to See the Document

 

$892 Million Steward Creek Solar

Type: Generation - Solar

Status: Proposed

Organization: Hexagon Energy, LLC

Region: Illinois

Summary: Hexagon Energy, LLC proposed constructing the Steward Creek Solar Phase 1 planned on 5,000 acres in Lee County, Illinois. The Project has 600 megawatts (MW) capacity with approximately 2.1 million solar panels wired on in a series of strings of roughly 28 modules, each not to exceed an open circuit voltage of 1,500 volts. The construction will start in 2023 and is expected to enter commercial operations in 2024, costing $892 million.

Contact FirmoGraphs to See the Document

 

$665 Million Lucky Star Wind Project

Type: Generation - Onshore Wind

Status: Proposed

Organization: Lucky Star Wind

Region: Wyoming

Summary: Lucky Star Wind, LLC proposes constructing the Lucky Star Wind Project in Albany County south of the Town of Rock River, Wyoming. The Project is an onshore wind power project with 500 megawatts (MW) capacity consisting of 200 turbines rated at 2.5 MW each. The construction is expected to be completed and begin commercial operation in October 2023, costing $665 million.

Contact FirmoGraphs to See the Document

 

$539 Million South Dixon Solar Project

Type: Generation - Solar

Status: Proposed

Organization: South Dixon Solar

Region: Illinois

Summary: South Dixon Solar, LLC, a wholly-owned subsidiary of Duke Energy Renewables Solar, LLC, proposes constructing the South Dixon Solar Project. The Project is a ground-mounted solar project with 500 megawatts (MW) capacity in South Dixon Township in Lee County. It will also include 345 kilovolts (kV) utility-owned interconnection switching station and a generation-tie line that will be installed aboveground, connecting the substation and the switching station at electric transmission line interconnection. According to Power Technology, the construction will commence in 2023 and enter into commercial operation in 2025, costing $539 million.

Contact FirmoGraphs to See the Document

 

$500 Million Obsidian Solar Center

Type: Generation - Solar

Status: Proposed

Organization: Obsidian Solar Center

Region: Oregon

Summary: Obsidian Solar Center LLC, a wholly owned subsidiary of Obsidian Renewables LLC, will construct the Obsidian Solar Center on approximately 3,921 acres in Lake County, Oregon. The Project is a solar facility with 400 megawatts (MW). It will also include a 34.5 kilovolt (kV) electrical collection system, one 3-acre 115/500 kV step-up substation, and 2 miles of 115 kV transmission line. The construction started on March 16, 2022, and is expected to be completed by the end of 2024, costing $500 million.

Contact FirmoGraphs to See the Document

 

$409.2 Million Charles Maynard Lock and Dam Project

Type: Generation - Hydro - Dam

Status: Proposed

Organization: HydroPower Highway

Region: Arkansas

Summary: HydroPower Highway, LLC submitted filings on July 27, 2022, to the Federal Energy Regulatory Commission for the proposed Charles Maynard Lock and Dam Project on Arkansas River, Jefferson County. The proposed development of the site involves the construction of a new 156 megawatt (MW) hydropower facility on the South side of the existing Lock and Dam. It also consists of 4 turbines and includes a new 140-mile 13.5 kilovolts (kV) direct current transmission line. The construction will commence in 2025 and is expected to be completed in 2028, costing $409.2 million.

Contact FirmoGraphs to See the Document

Notable M&A

Depositphotos_4659189_s-2019

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



What We Are Reading

Reading News and Market Updates

Here are some recent articles our team has been reading:



Meeting Planner

Meeting Planner

In this over-digitized age, there is no replacement for face-to-face meetings with your prospects and customers! We track meetings of interest to our customers serving the US power generation and supply industry so you won’t miss upcoming meetings and deadlines. Also, FirmoGraphs has recently implemented a free-of-charge service for tracking notable infrastructure events


Meetings in October and November 2022



Early Bird Registration

Tags: US Power