Calpine gets final permit for two 227-MW units at Guadalupe plant

The U.S. Environmental Protection Agency’s Region 6 office on Dec. 2 issued a final air permit that would allow a Calpine Corp. (NYSE: CPN) unit to add new capacity at its gas-fired Guadalupe Generating Station (GSS) in Texas.

In November 2012, Guadalupe Power Partners LP (GPP) submitted to EPA Region 6 a Prevention of Significant Deterioration (PSD) permit application for Greenhouse Gas (GHG) emissions increases from this existing major stationary source. In connection with the same proposed project, GPP submitted a PSD permit application for non-GHG pollutants to the Texas Commission on Environmental Quality (TCEQ) in September 2012. In February 2014, Calpine completed the acquisition of the plant, taking over the pending application.

Notable is that the TCEQ recently took over GHG PSD permitting from Region 6 after winning approval for its own state program, but this is one of a handful of applications that were in an advanced enough state to be retained by the EPA.

GPP proposes to add two new gas-fired simple-cycle combustion turbines of 227 MW (nominal) each to the 1,000 MW (nominal) existing major stationary source, located in Marion, Texas.  The two new natural gas-fired simple-cycle turbines are proposed to provide a fast ramp up for additional peaking capacity.

GGS is located in Guadalupe County, Texas. The GGS expansion is to be located on an undeveloped tract of land due north of the existing GGS operating area. The current plant has four gas-fired combined-cycle units with a total of about 1,000 MW of capacity. The two new natural gas-fired simple cycle combustion turbine generators (CTG) will be the General Electric 7FA.05 model.

In February, Calpine acquired the Guadalupe Generating Station from MinnTex Power Holdings LLC, which is a portfolio company owned by a private investment fund managed by Wayzata Investment Partners LLC.

A project contact is: Patrick Blanchard, Director, Environmental Services, Calpine Corp., 717 Texas, Suite 1000, Houston, TX 77002, (713) 830-8717.

About Barry Cassell 20414 Articles
Barry Cassell is Chief Analyst for GenerationHub covering coal and emission controls issues, projects and policy. He has covered the coal and power generation industry for more than 24 years, beginning in November 2011 at GenerationHub and prior to that as editor of SNL Energy’s Coal Report. He was formerly with Coal Outlook for 15 years as the publication’s editor and contributing writer, and prior to that he was editor of Coal & Synfuels Technology and associate editor of The Energy Report. He has a bachelor’s degree from Central Michigan University.