Novo Biopower LLC, which plans to buy a 24-MW biomass-fired plant in Arizona, on June 11 submitted to the Federal Energy Regulatory Commission a tariff under which it may engage in sales of wholesale electric energy, capacity, and ancillary services.
“Novo Biopower seeks market-based rate authority in light of its proposed acquisition of the qualifying facility (approximately a 24 MW biomass plant) owned by Snowflake Power, LLC (‘SP’) located in Snowflake, Arizona (the ‘Facility’), related interconnection facilities, and power purchase agreements with Arizona Public Service Company (‘APS’) and Salt River Project (‘SRP’),” the company told FERC.
Because time is of the essence, Novo Biopower requested a shortened comment period of 14 days (or less, if possible) and expedited commission action on this application, with an order issued on or before July 5.
Novo Biopower is an Arizona limited liability company recently created specifically to acquire, own and operate the facility. Novo Power LLC holds a 99.9% interest in Novo Biopower. SP holds a 0.1% membership or limited partnership carried interest in Novo Biopower, solely as a passive owner, that expires after five years. Novo Power LLC is owned primarily by Robert Worsley, with the remaining 20% interest held by KDL Investments LLC. KDL Investments LLC is owned equally by Karl Huish and Jeff Whiteman.
NZ Legacy LLC, the entity that will purchase the facility and related contracts directly from SP and transfer them to Novo Biopower, is owned by the Robert M. and Kristi Worsley Family Trust. NZ Legacy pursues potential energy industry opportunities, but currently does not own any additional energy assets.
NZ Legacy currently owns salt caverns in Eastern Arizona (tied to land and mineral holdings) that may be used in the future to store natural gas, but have yet to be developed into, let alone used as, a natural gas storage facility, the company noted.