Scrubgrass Generating Co. LP, which owns a small power plant in Pennsylvania, applied March 7 at the Federal Energy Regulatory Commission of a sale of part of that company.
There would be a transfer of a 30% indirect limited partnership interest in Scrubgrass Generating from Venango Power LLC, a wholly-owned indirect subsidiary of ArcLight Energy Partners Fund II LP, to Scrubgrass LP Holdings LLC, a wholly-owned indirect subsidiary of Olympus Power LLC.
Following the proposed transaction, Scrubgrass Generating will be indirectly owned by Olympus (30%) and funds managed and controlled by EIF Management LLC (EIF) (70%).
The parties intend to close the transaction as soon as possible after obtaining commission authorization and said this deal is unlikely to generate any protest. Accordingly, they requested commission action on this application on or before April 7.
Scrubgrass owns a 94.7 MW (nameplate) small power production facility located in Kennerdell, Pa. This is is a qualifying facility (QF) under the Public Utility Regulatory Policies Act of 1978. It burns waste coal and is interconnected to the transmission system owned by Pennsylvania Electric and operated by PJM Interconnection.
The buyer is a wholly-owned indirect subsidiary of Olympus. Olympus is a privately owned, United States independent power company that owns and operates power projects and that provides operating and maintenance services to its own projects and third parties.
Olympus and its affiliates have only a de minimis presence in the PJM balancing authority area (BAA). In the PJM BAA, Olympus indirectly owns an interest in:
- Panther Creek Power Operating LLC, the lessee and jurisdictional operator of a 94-MW QF located in Nesquehoning, Pa., with market-based rate authority;
- Westwood Generation LLC, which owns and operates a 36-MW coal-fired, fluidized bed EWG located in Tremont, Pa., with market-based rate authority and a rate schedule for reactive supply and voltage control on file with the commission; and
- York Haven Power Co. LLC, which owns and operates a 19.6-MW hydroelectric QF on the Susquehanna River in Harrisburg, Pa.