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Released August 10, 2016 | SUGAR LAND
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Researched by Industrial Info Resources (Sugar Land, Texas)--NRG Energy Incorporated (NYSE:NRG) (Princeton, New Jersey) outpaced most other major U.S. power generation companies in the second quarter, as lower wholesale prices benefited its retail segment. The company upped capital expenditures to $622 million, from $583 million in the same period last year; but with a string of projects completed or near completion, and with several of the largest delayed indefinitely, the company plans to significantly reduce its growth spending in 2017. Industrial Info's project database is tracking more than $19.4 billion in active NRG projects.
But $16 billion of that total is attached to a project that is highly unlikely to break ground in the coming years: the addition of units 3 and 4 at the South Texas Project Nuclear Generating Station near Wadsworth, Texas. The units are designed to produce about 2,700 megawatts (MW) total. Despite receiving approval earlier this year from the Nuclear Regulatory Commission for the two new reactors, NRG has no plans to begin construction any time in the near future; although competing energy producers have been hammered by low commodity prices, inexpensive natural gas and (to a lesser extent) coal have diminished the call for new nuclear power. For more information, including current schedules and contractor contact information, see Industrial Info's project report.
One of NRG's largest projects under construction is one of the most ambitious environmental retrofits in the U.S.: the $1 billion carbon-capture project at the W.A. Parish Power Station in Thompsons, Texas. The company hopes the new equipment will nab 90% of emissions from the plant; the commercial-scale demonstration would be applied to a 240-MW slipstream from the 610-MW Unit 8. NRG also is constructing an 81-mile pipeline to transport the captured CO2 to drilling wells. For more information, see Industrial Info's project reports on the carbon-capture project and its pipeline.
Although Texas lawmakers are largely opposed to the Obama administration's Clean Power Plan, which seeks to heavily curb coal emissions, the state is proving to be a tough environment for coal energy; the abundance of natural gas resources, such as the Permian Basin and the Eagle Ford Shale, and the declining cost of wind-generated energy have made it difficult to justify new coal-fired power. But the W.A. Parish station received some surprising support from the U.S. Environmental Protection Agency (EPA) last month, when it decided that the plant won't require additional monitoring because its sulfur dioxide emission levels fall within acceptable federal guidelines, according to the Houston Chronicle.
"I think the Texas market continues to be one of the most effective markets in the country, particularly from where we're starting," said Mauricio Gutierrez, NRG's interim president, chief executive officer & director, in a quarterly earnings conference call. "When you look at the fundamentals there, even the first half of the year, we have very, very strong growth, and if I'm not mistaken, yesterday, we set a new all-time record in Texas. So, load growth continues; load growth is very robust. We like the market structure. We like the higher price cuts."
NRG's largest natural gas-fired project has been hampered by years of delays: the $600 million Carlsbad Energy Center in Carlsbad, California. The simple-cycle plant, which would comprise six combustion turbines, each with a capacity of 100 MW, has faced staunch opposition from local residents for years, but is seen by many lawmakers as essential to a diversified energy mix. San Diego Gas & Electric would buy the generated power. For more information, see Industrial Info's project report.
Another California project mired in its planning phase is NRG's $480 million combined-cycle unit addition at the El Segundo Power Station. The company continues to analyze the market conditions for the unit, which would feature a double-pressure, duct-fired heat recovery steam generator (HRSG); a non-reheat condensing steam turbine; two combustion turbines that will be utilized in a simple-cycle configuration; and an auxiliary boiler. For more information, including schedules, environmental and equipment requirements, and contractor contact information, see Industrial Info's project report.
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/.
But $16 billion of that total is attached to a project that is highly unlikely to break ground in the coming years: the addition of units 3 and 4 at the South Texas Project Nuclear Generating Station near Wadsworth, Texas. The units are designed to produce about 2,700 megawatts (MW) total. Despite receiving approval earlier this year from the Nuclear Regulatory Commission for the two new reactors, NRG has no plans to begin construction any time in the near future; although competing energy producers have been hammered by low commodity prices, inexpensive natural gas and (to a lesser extent) coal have diminished the call for new nuclear power. For more information, including current schedules and contractor contact information, see Industrial Info's project report.
One of NRG's largest projects under construction is one of the most ambitious environmental retrofits in the U.S.: the $1 billion carbon-capture project at the W.A. Parish Power Station in Thompsons, Texas. The company hopes the new equipment will nab 90% of emissions from the plant; the commercial-scale demonstration would be applied to a 240-MW slipstream from the 610-MW Unit 8. NRG also is constructing an 81-mile pipeline to transport the captured CO2 to drilling wells. For more information, see Industrial Info's project reports on the carbon-capture project and its pipeline.
Although Texas lawmakers are largely opposed to the Obama administration's Clean Power Plan, which seeks to heavily curb coal emissions, the state is proving to be a tough environment for coal energy; the abundance of natural gas resources, such as the Permian Basin and the Eagle Ford Shale, and the declining cost of wind-generated energy have made it difficult to justify new coal-fired power. But the W.A. Parish station received some surprising support from the U.S. Environmental Protection Agency (EPA) last month, when it decided that the plant won't require additional monitoring because its sulfur dioxide emission levels fall within acceptable federal guidelines, according to the Houston Chronicle.
"I think the Texas market continues to be one of the most effective markets in the country, particularly from where we're starting," said Mauricio Gutierrez, NRG's interim president, chief executive officer & director, in a quarterly earnings conference call. "When you look at the fundamentals there, even the first half of the year, we have very, very strong growth, and if I'm not mistaken, yesterday, we set a new all-time record in Texas. So, load growth continues; load growth is very robust. We like the market structure. We like the higher price cuts."
NRG's largest natural gas-fired project has been hampered by years of delays: the $600 million Carlsbad Energy Center in Carlsbad, California. The simple-cycle plant, which would comprise six combustion turbines, each with a capacity of 100 MW, has faced staunch opposition from local residents for years, but is seen by many lawmakers as essential to a diversified energy mix. San Diego Gas & Electric would buy the generated power. For more information, see Industrial Info's project report.
Another California project mired in its planning phase is NRG's $480 million combined-cycle unit addition at the El Segundo Power Station. The company continues to analyze the market conditions for the unit, which would feature a double-pressure, duct-fired heat recovery steam generator (HRSG); a non-reheat condensing steam turbine; two combustion turbines that will be utilized in a simple-cycle configuration; and an auxiliary boiler. For more information, including schedules, environmental and equipment requirements, and contractor contact information, see Industrial Info's project report.
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/.
