Calpine Corp. (NYSE: CPN) has broken ground on its new, gas-fired, 309-MW Garrison Energy Center in Delaware.
Delaware Gov. Jack Markell, along with federal, state, Kent County and City of Dover officials and other dignitaries, on June 25 joined Calpine CEO Jack Fusco in celebrating the groundbreaking of the Garrison Energy Center, to be built in the Garrison Oak Technology Park in Dover, Del. Construction is to be completed by the second quarter of 2015.
“When Calpine opened its regional headquarters in Delaware in late 2010, the Company announced its commitment to cleaner energy by converting the Edge Moor Energy Center from coal to natural gas as a fuel,” said Markell. “Today, we celebrate Calpine’s continuing commitment to Delaware’s economy and environment by breaking ground on a new natural gas power-generating project. It’s cleaner power that’s better for the environment and better for Delaware.”
“Calpine’s Garrison Energy Center will be a state-of-the-art, natural gas-fired power plant producing reliable, affordable, clean power for central Delaware,” said Fusco. “This is a win-win project made possible by the collaborative efforts between Calpine and the various stakeholders including the state and local authorities. This project also demonstrates the benefits of competitive electric markets by helping to ensure that Delawareans are not burdened with above-market costs associated with subsidized contracts, as has been the case in surrounding states, and that Delaware continues to have a competitive advantage in attracting business and jobs.”
A $2.5m grant from the New Jobs Infrastructure Fund will help fund the construction of a six-mile natural gas pipeline extension to the Garrison Oak Technology Park. In addition to providing fuel to the plant, this pipeline will help spur development of other businesses in the park and improve the availability of natural gas for other businesses and consumers in central Delaware.
“With the conversion of the old Edge Moor power plant, Calpine made a significant contribution to improving Delaware’s air quality while providing cleaner power,” said Collin O’Mara, Secretary of the Delaware Department of Natural Resources and Environmental Control (DNREC). “With the Garrison Energy Center, Calpine is providing central Delaware with a brand new source of clean power that will contribute to lower energy prices and a healthier environment for Delawareans for many years to come.”
Calpine has indicated that this first 309 MW is an intial phase for Garrison, with a 309-MW second phase in the works.
Said a January 2013 DNREC air permit approval for the project: “The Department finds that the Facility will be a new state of the art electric generating station in Delaware and that its air emissions are properly controlled to meet federal and state requirements. It will utilize primarily natural gas to fire a 193 MW combustion turbine. The turbine’s exhaust will be used, along with natural gas-fired duct burner to generate an additional 116 MW of electric capacity from a heat recovery steam generator (HRSG). Together the Facility will produce 309 MW from an efficient combined cycle generating system that is expected to operate as a baseload generating plant operating at 60% to 100% of capacity depending on the grid’s demand for its electricity. The generation will emit lower levels of pollutants than most other fossil fuel generation of comparable capacity, and the location of the generation will benefit the Delaware electric grid and allow older and less clean generation to be retired or dispatched less frequently.”
Calpine generates more electricity than any other independent power producer in America, with a fleet of 93 power plants in operation or under construction, representing more than 27,000 MW of generation capacity.