Duke's California power project wins approval


Duke Energy Corp. received the go ahead to build the controversial 1,060 Mw Moss Landing power plant from the California Energy Commission Wednesday, the sixth plant approved since the state's electricity market was restructured in March 1998.

Tom Williams, a Duke spokesman, said beginning construction Monday is contingent on receiving a water permit Friday.

In approving the $500 million combined cycle natural gas-fired project, the commission said Moss Landing complied with rules on environmental impacts, public health and safety, air quality, and hazardous materials. The energy commission began its review in August 1999.

Under the license, project owner Duke Energy will pay $7 million to mitigate the potential impact of the power plant's operations on the area's marine biology. The facility will be located near the Moss Landing Harbor in Monterey County.

The commission also required Duke to pay $425,000 to the Monterey Bay Sanctuary Foundation to fund a coastal waters evaluation program. These funds will be used to evaluate the effects on biological resources in the bay, resulting from the power plant's thermal discharge. Duke will pay the foundation $150,000 within 90 days of Wednesday's vote, and a final payment of $275,000 within 90 days of the start of commercial operation of the first new unit.

In all, Williams said, Duke will pay about $15 million in mitigation costs, including purchasing fire trucks for a local fire district.

The Moss Landing plant will replace existing electrical power generation Units 1-5, which have a total capacity of 613 Mw. The five units, built in the 1950s and taken out of operation in 1995, will be replaced by two combined cycle units consisting of gas-fired combustion turbine generators, two unfired heat recovery steam generators, and a reheat, condensing steam turbine generator. Each of these units will use seawater for once-through cooling.

The project is scheduled to be online by the summer of 2002 when it will increase the total generating capacity of the Moss Landing plant to about 2,590 Mw.

Currently, Duke has 3,351 Mw of generating capacity in California. The addition of the Moss Landing project will bring the total to 4,044 Mw. Williams said Duke plans to sell the power in the forward markets.

"We think it is prudent for utilities to buy in the forward markets," he said.

Related Articles

CNOOC lets contract for Huizhou refinery expansion

02/03/2015 CNOOC Oil & Petrochemicals Co. Ltd., a subsidiary of China National Offshore Oil Corp. (CNOOC), has let a contract to Porvair Filtration Group ...

Data refute Lew's claims about taxes paid by producers

02/02/2015

On the subject of taxation, administration officials count on the public to believe anything.

Near-term pipeline plans shrink, longer-term growth returns

02/02/2015 Planned pipeline construction to be completed in 2015 slipped 30% from forecasts for 2014, with expected products, crude, and natural gas project c...

Iran yields to Russia in talks over Caspian resources

02/02/2015 Iranian acquiescence to Russia, to which the Islamic Repubic increasingly turns in response to pressure from the West, has become a standard featur...

Citing lower oil prices, Sasol delays Louisiana GTL plant investment

01/28/2015 South Africa’s Sasol Ltd. says it will delay the final investment decision on a large-scale, gas-to-liquids (GTL) plant in Louisiana as part of the...

ETP, Regency to merge in $18-billion deal

01/26/2015 Energy Transfer Partners LP (ETP) and Regency Energy Partners have agreed to merge in a unit-for-unit transaction, plus a one-time cash payment to ...

Capacity expansion planned for proposed Ohio GTL plant

01/26/2015 Ashtabula Energy LLC, Ashtabula, Ohio, a subsidiary of Velocys PLC, Houston, is seeking approval to build a grassroots gas-to-liquids plant that wo...

Watching Government: The methane emissions problem

01/26/2015 It was only fair. The White House said a bill approving the Keystone XL crude oil pipeline's construction would get a chilly reception if it reache...

Kinder Morgan to acquire Hiland Partners for $3 billion

01/22/2015 Kinder Morgan Inc. (KMI) has agreed to acquire Hiland Partners from founder Harold Hamm and certain Hamm family trusts for $3 billion, including th...
White Papers

Transforming the Oil and Gas Industry with EPPM

With budgets in the billions, timelines spanning years, and life cycles extending over decades, oil an...
Sponsored by

Asset Decommissioning in Oil & Gas: Transforming Business

Asset intensive organizations like Oil and Gas have their own industry specific challenges when it com...
Sponsored by

Squeezing the Green: How to Cut Petroleum Downstream Costs and Optimize Processing Efficiencies with Enterprise Project Portfolio Management Solutions

As the downstream petroleum industry grapples with change in every sector and at every level, includin...
Sponsored by

7 Steps to Improve Oil & Gas Asset Decommissioning

Global competition and volatile markets are creating a challenging business climate for project based ...
Sponsored by

The impact of aging infrastructure in process manufacturing industries

Process manufacturing companies in the oil and gas, utilities, chemicals and natural resource industri...
Sponsored by

What is System Level Thermo-Fluid Analysis?

This paper will explain some of the fundamentals of System Level Thermo-Fluid Analysis and demonstrate...

Accurate Thermo-Fluid Simulation in Real Time Environments

The crux of any task undertaken in System Level Thermo-Fluid Analysis is striking a balance between ti...

6 ways for Energy, Chemical and Oil and Gas Companies to Avert the Impending Workforce Crisis

As many as half of the skilled workers in energy, chemical and oil & gas industries are quickly he...
Sponsored by
Available Webcasts

On Demand

Global LNG: Adjusting to New Realities

Fri, Mar 20, 2015

Oil & Gas Journal’s March 20, 2015, webcast will look at how global LNG trade will be affected over the next 12-24 months by falling crude oil prices and changing patterns and pressures of demand. Will US LNG production play a role in balancing markets? Or will it add to a growing global oversupply of LNG for markets remote from easier natural gas supply? Will new buyers with marginal credit, smaller requirements, or great need for flexibility begin to look attractive to suppliers? How will high-cost, mega-projects in Australia respond to new construction cost trends?

register:WEBCAST


US Midstream at a Crossroads

Fri, Mar 6, 2015

Oil & Gas Journal’s Mar. 6, 2015, webcast will focus on US midstream companies at an inflection point in their development in response to more than 6 years shale oil and gas production growth. Major infrastructure—gas plants, gathering systems, and takeaway pipelines—have been built. Major fractionation hubs have expanded. Given the radically changed pricing environment since mid-2014, where do processors go from here? What is the fate of large projects caught in mid-development? How to producers and processors cooperate to ensure a sustainable and profitable future? This event will serve to set the discussion table for the annual GPA Convention in San Antonio, Apr. 13-16, 2015.

This event is sponsored by Leidos Engineering.

register:WEBCAST


The Future of US Refining

Fri, Feb 6, 2015

Oil & Gas Journal’s Feb. 6, 2015, webcast will focus on the future of US refining as various forces this year conspire to pull the industry in different directions. Lower oil prices generally reduce feedstock costs, but they have also lowered refiners’ returns, as 2015 begins with refined products priced at lows not seen in years. If lower per-barrel crude prices dampen production of lighter crudes among shale plays, what will happen to refiners’ plans to export more barrels of lighter crudes? And as always, refiners will be affected by government regulations, particularly those that suppress demand, increase costs, or limit access to markets or supply.

register:WEBCAST


Oil & Gas Journal’s Forecast & Review/Worldwide Pipeline Construction 2015

Fri, Jan 30, 2015

The  Forecast & Review/Worldwide Pipeline Construction 2015 Webcast will address Oil & Gas Journal’s outlooks for the oil market and pipeline construction in a year of turbulence. Based on two annual special reports, the webcast will be presented by OGJ Editor Bob Tippee and OGJ Managing Editor-Technology Chris Smith.
The Forecast & Review portion of the webcast will identify forces underlying the collapse in crude oil prices and assess prospects for changes essential to recovery—all in the context of geopolitical pressures buffeting the market.

register:WEBCAST


Emerson Micro Motion Videos

Careers at TOTAL

Careers at TOTAL - Videos

More than 600 job openings are now online, watch videos and learn more!

 

Click Here to Watch

Other Oil & Gas Industry Jobs

Search More Job Listings >>
Stay Connected