Arizona Corporation Commission Rejects Utilities' Integrated Resource Plans

LCG, March 22, 2018--The Arizona Corporation Commission last week rejected the Integrated Resource Plans (IRPs) filed by Tucson Electric Power Co. (TEP), sister utility UniSource Energy Services (UNS) and Arizona Public Service Co. (APS) and has ordered them to develop plans that reduce their dependence upon natural gas and new, gas-fired power plants. The Commission prefers greater reliance on renewable energy and storage.

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Get a good picture of ERCOT in LCG’s newly released 2018 ERCOT Outlook

LCG, March 21, 2018 --Texas continues to experience an unprecedented transformation in its energy industry. The state saw record wind energy production in 2017 and will continue to see wind growth through 2018. Large transmission projects and upgrades have taken place. New import and export capabilities are on the horizon, such as through the integration of Lubbock Power & Light and the possible Southern Cross transmission project.

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Industry News

AES Receives Approval from California Energy Commissioners to Construct Gas-Fired Power Generation in Southern California

LCG, April 13, 2017--California Energy Commissioners yesterday approved plans to construct and operate a power generation facility, the Huntington Beach Energy Project (HBEP), located in the City of Huntington Beach. The 844-MW, natural-gas fired project will be developed by AES Southland Development, LLC (AES).

The Commissioners had approved a larger version of the Huntington Beach plan in October 2014. AES requested permission to alter its plans the following year. The California Energy Commission (CEC) is the lead agency for licensing thermal power plants 50 MW and larger under the California Environmental Quality Act (CEQA) and has a certified regulatory program under CEQA.

The HBEP will be located within the footprint of the existing Huntington Beach Generating Station, an operating power plant constructed in the 1950's. The HBEP will include a 644-MW combined cycle power block, as well as two 100-MW simple cycle units. The combined cycle block is planned to commence operations in 2020, and the other units are planned to begin operations in 2024.

California Energy Commissioners also approved another proposal from AES to construct the Alamitos Energy Center (AEC), located near Long Beach's eastern boundary. The proposed facility will include a nominal 640-MW, natural gas-fired, combined cycle power block and four, 100-MW, simple cycle units. The electric generation equipment would be installed on approximately 21 acres of the existing 71-acre site, where Alamitos Generating Station Units 1-6 currently provide a net generating capacity of 1,950 MW.

AES submitted its original application to modernize the existing Alamitos Generating Station on December 27, 2013. AES amended its application in September 2015.

AES plans to decommission the existing power plants to comply with a 2010 California regulation constraining the use seawater for cooling at the plants.
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