Reports related to this article:
Project(s): View 6 related projects in PECWeb
Plant(s): View 6 related plants in PECWeb
Released April 20, 2016 | SUGAR LAND
en
Written by John Egan for Industrial Info Resources (Sugar Land, Texas)--New England's generation-starved Power market got a bit of good news recently: Competitive Power Ventures Holdings, LLC (CPV) (Silver Spring, Maryland) achieved financial closing on its Towantic Energy Center, an $800 million, 785 megawatt (MW) natural gas combined cycle (NGCC) generator being built in Oxford, Connecticut.
Other states in the New England Region include Maryland, Maine, New Hampshire, Vermont and Rhode Island.
Construction of the project began in December 2015 and is expected to be finished by May 2018, Braith Kelly, a CPV spokesman, told Industrial Info. Gemma Power Systems LLC (Glastonbury, Connecticut) is providing engineering, procurement and construction (EPC) services to the project, which will use two General Electric (NYSE:GE) (Fairfield, Connecticut) 7HA heavy-duty gas turbines with a steam turbine and associated generators.
"We are grateful to the [Dannel] Malloy administration, the many Connecticut agencies involved and the scores of staff for all their hard work in reviewing and approving the CPV Towantic project," Gary Lambert, CPV president and chief executive, said in a statement March 11 on achieving financial closing. "We'd also like to express our deep appreciation to our many supporters and the government of the Town of Oxford and neighboring towns that supported the project over the years for their input and hard work."
Some observers, noting New England's growing electric demand and shrinking reserve margins, have wondered if the lights will stay on this summer, when the region traditionally hits its peak electric demand. For more on that, see December 1, 2015, article--Closure of Pilgrim Nuclear Plant Sparks New Debate Over New England's Energy Future and August 10, 2015, article--New Gas-Fired Generator Under Construction in Massachusetts. There are dozens of power projects under development in the region, but most of them are windpower projects.
The New England region is developing 17 gas-fired generation projects with a total investment value (TIV) of about $4.75 billion. Towantic is the region's second-largest gas plant under development. Most of these projects are not scheduled to begin construction until 2017 or 2018.
Click on the icon at right for a graphic on gas-fired power plants under development in New England.
The Towantic project has been under development since the late-1990s. Originally proposed as a 512-MW project, it was approved in 1999 but not built due to market conditions, CPV said. In 2012, the company entered into a partnership with GE Energy Financial Services to advance the project and its competitiveness in the marketplace. In 2014, New England's grid operator (ISO-New England) announced the retirement of approximately 10% of the region's total electric generating capacity. That made market conditions more favorable, and in 2014 the project was increased to its present 805-MW size.
Not all stakeholders are welcoming the new power plant. Last month the Connecticut Post reported the Towantic "has been the focus of intense local opposition," including an arsonist who set fires in bales of hay and a trailer on the project site. No injuries were reported and no arrests were made, and elected officials said steps would be taken to make the site more secure.
A group calling itself the Stop Towantic Power Coalition has consistently opposed the project. Earlier this year they held a demonstration in front of Oxford's City hall predicting the project could not be financed. A few weeks later, CPV announced it had, in fact, rounded up the requisite financing.
"Given the number of power plant retirements in New England, it is good to see the Towantic project achieving financial closure," commented Britt Burt, Industrial Info's vice president of global Power Industry research. "With a scheduled online date of May 2018, this plant will help New England get through its traditional peak summer electric demand season starting two summers from now."
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, five offices in North America and 10 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities. Follow IIR on: Facebook - Twitter - LinkedIn. For more information on our coverage, send inquiries to info@industrialinfo.com or visit us online at http://www.industrialinfo.com/.
Other states in the New England Region include Maryland, Maine, New Hampshire, Vermont and Rhode Island.
Construction of the project began in December 2015 and is expected to be finished by May 2018, Braith Kelly, a CPV spokesman, told Industrial Info. Gemma Power Systems LLC (Glastonbury, Connecticut) is providing engineering, procurement and construction (EPC) services to the project, which will use two General Electric (NYSE:GE) (Fairfield, Connecticut) 7HA heavy-duty gas turbines with a steam turbine and associated generators.
"We are grateful to the [Dannel] Malloy administration, the many Connecticut agencies involved and the scores of staff for all their hard work in reviewing and approving the CPV Towantic project," Gary Lambert, CPV president and chief executive, said in a statement March 11 on achieving financial closing. "We'd also like to express our deep appreciation to our many supporters and the government of the Town of Oxford and neighboring towns that supported the project over the years for their input and hard work."
Some observers, noting New England's growing electric demand and shrinking reserve margins, have wondered if the lights will stay on this summer, when the region traditionally hits its peak electric demand. For more on that, see December 1, 2015, article--Closure of Pilgrim Nuclear Plant Sparks New Debate Over New England's Energy Future and August 10, 2015, article--New Gas-Fired Generator Under Construction in Massachusetts. There are dozens of power projects under development in the region, but most of them are windpower projects.
The New England region is developing 17 gas-fired generation projects with a total investment value (TIV) of about $4.75 billion. Towantic is the region's second-largest gas plant under development. Most of these projects are not scheduled to begin construction until 2017 or 2018.
Click on the icon at right for a graphic on gas-fired power plants under development in New England.The Towantic project has been under development since the late-1990s. Originally proposed as a 512-MW project, it was approved in 1999 but not built due to market conditions, CPV said. In 2012, the company entered into a partnership with GE Energy Financial Services to advance the project and its competitiveness in the marketplace. In 2014, New England's grid operator (ISO-New England) announced the retirement of approximately 10% of the region's total electric generating capacity. That made market conditions more favorable, and in 2014 the project was increased to its present 805-MW size.
Not all stakeholders are welcoming the new power plant. Last month the Connecticut Post reported the Towantic "has been the focus of intense local opposition," including an arsonist who set fires in bales of hay and a trailer on the project site. No injuries were reported and no arrests were made, and elected officials said steps would be taken to make the site more secure.
A group calling itself the Stop Towantic Power Coalition has consistently opposed the project. Earlier this year they held a demonstration in front of Oxford's City hall predicting the project could not be financed. A few weeks later, CPV announced it had, in fact, rounded up the requisite financing.
"Given the number of power plant retirements in New England, it is good to see the Towantic project achieving financial closure," commented Britt Burt, Industrial Info's vice president of global Power Industry research. "With a scheduled online date of May 2018, this plant will help New England get through its traditional peak summer electric demand season starting two summers from now."
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, five offices in North America and 10 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities. Follow IIR on: Facebook - Twitter - LinkedIn. For more information on our coverage, send inquiries to info@industrialinfo.com or visit us online at http://www.industrialinfo.com/.
