Electric Power news briefs, Nov. 12
Guardian Pipeline, Milwaukee, Wis., reported closing the $180 million project financing for construction of the pipeline. A unit of Prudential Insurance Co. of America provided $125 million of the project financing, with GE Capital funding the remaining $55 million. The 20-year financing paves the way for construction to begin in spring 2002, following completion of land and right of way acquisition. Guardian Pipeline is a partnership of CMS Energy Corp., Dearborn, Mich.; WICOR, a unit of Wisconsin Energy Corp., Milwaukee, Wis.; and a unit of Xcel Energy Inc., St. Paul, Minn.
The 550 Mw Nueva Azalea power plant project application for certification has been withdrawn from the California Energy Commission by EM-One Power Station LLC. The CEC said no reason was given for the withdrawal, but the project faced a variety of issues. Eight power plant proposals were withdrawn this year, representing 1,591 Mw. Twenty power plants remain in various stages of approval, representing 11,600 Mw.
Neptune Regional Transmission System CEO Charles E. Hewett said the company received a number of bids for its Phase I electric transmission service from New Jersey to New York and Long Island. All but two were for 20 years or longer. The company said it is currently evaluating the bids to determine which combination of bids offers the highest financial net present value as required by the Federal Energy Regulatory Commission (FERC).
A unit of Duke Energy Corp., Charlotte, NC, has acquired Grupo Generador de Guatemala y Cia. SCA (Grupo Generador), which owns two generating plants with generating capacity of 167 Mw in Guatemala from Constellation Energy Group Inc., Baltimore, Md. Constellation said it will take a fourth quarter write-down of $28 million after tax. Constellation Energy Group acquired the plants in 1998. Separately, Constellation Energy Group said it completed the purchase of the Nine Mile Point nuclear station in New York. Constellation Energy Group now owns 100% of Nine Mile Point Unit 1 and 82% of Unit 2.
San Francisco voters approved two bond measures that will generate $100 million for the installation of solar power, wind power, and energy efficiency technologies on city-owned property. Proposition B, the solar revenue bond, is expected to provide financing for 10-12 Mw of solar power.
Calpine Corp., San Jose, Calif., reported acquiring Bechtel Enterprise Holdings Inc.'s 50% interest in the Calpine/Bechtel Joint Development energy center projects for $154 million cash and the assumption of $141 million of debt. Separately, Calpine said it filed an application with the California Energy Commission (CEC) for its proposed 1,100 Mw Central Valley energy center in San Joaquin, Calif.
American Electric Power Co. Inc., Columbus, Ohio, said company personnel will be conducting aerial surveys of the company�s high-voltage power lines in Ohio and parts of West Virginia and Kentucky for the remainder of the year. Using helicopters, AEP performs these aerial patrols on a recurring basis to examine the lines and ensure the reliability of the company�s transmission network.
Indonesia's state electricity company, PT PLN, said it plans to borrow abroad to build new generating capacity in Java and Bali after 2004 to avoid power shortages. PLN Pres. Eddie Widiono warned PLN had identified 24 critical systems outside the Java and Bali grid, which would experience power shortages after 2002. Pln had planned a $300 million expansion, adding 700 Mw of capacity to existing power plants near Jakarta.
Tennessee Valley Authority said the board ordered creation of a new task force to address emergency needs, improve communication, activate and deactivate emergency operations centers, and coordinate sharing of information and other resources throughout TVA. Police director Jim Carver said team members have prioritized more than 100 facilities based on updated risk assessments and is developing additional protective measures based these assessments.
A unit of AES Corp., Arlington, Va., and partner, Global African Power Ltd. (GAP), have agreed to buy 50% of the 600 Mw coal-fired Kelvin power station near Johannesburg, South Africa, from the City of Johannesburg Metropolitan Municipality for $23 million. Arlington, Va.-based AES will own 95% of the joint venture that is buying the plant, with GAP having an option to increase its ownership to 13% over 5 years. AES Kelvin Power will sell the output to City Power Johannesburg, (Proprietary) Ltd., under a 20-year agreement.