Gulf Power more than doubles size of next planned gas capacity addition

Gulf Power in a March 31 petition asked the Florida Public Service Commission for approval of a “New Standard Offer for Purchase of Firm Capacity and Energy from Renewable Energy Facilities or Small Qualifying Facilities.”

PSC rules require that each investor-owned utility file with the commission, by April 1 of each year, a standard offer contract or contracts for the purchase of firm capacity and energy from renewable generating facilities and small qualifying facilities with a design capacity of 100 kW or less. The rules also requires investor-owned utilities to file a separate standard offer contract based on the next avoidable fossil fueled generating unit of each technology type identified in the utility’s annual Ten-Year Site Plan.

Consistent with Gulf Power’s 2014 Ten-Year Site Plan from a year ago, Gulf proposed to use a 349-MW natural gas combustion turbine (CT) facility with a projected in-service date of June 1, 2023, as the appropriate unit for purposes of calculating energy and capacity payments. The commission approved Gulf’s proposal. But, Gulf Power’s most recent Ten-Year Site Plan has been revised to designate an 866-MW combustion turbine generating facility, consisting of four CTs, with an in-service date of June 1, 2023, as the company’s next planned generating facility. Consequently, Gulf Power has designated this facility as the appropriate facility to serve as its avoided unit for use in connection with the new Renewable Standard Offer Contract.

Gulf Power is a subsidiary of Southern Co. (NYSE: SO).

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.