On Jan. 14, the Federal Energy Regulatory Commission approved a December application from NRG Wholesale Generation LP and Seward Generation LLC for Seward Generation’s purchase of a 525-MW coal plant in Pennsylvania.
NRG Wholesale is an exempt wholesale generator (EWG) that owns and operates a 525-MW waste coal-fired facility located in New Florence, Pennsylvania, and interconnected with the transmission grid controlled by PJM Interconnection. NRG Wholesale is part of NRG Energy (NYSE: NRG). Incidentally, the plant has a 585-MW nameplate rating and a 525-MW summer rating.
Seward Generation was formed for purposes of acquiring the Seward Generating Station. Seward is controlled by two individuals, Judson L. Kroh and D. Scott Kroh. D. Scott Kroh is a longtime veteran of the Pennsylvania coal industry that has been supplying the Seward plant, which uses fluidized-bed combustion technology, for years with waste coal and other services through his Robindale Energy Services company.
Seward is affiliated with only one entity, Sunbury Generation LP, which owns or controls generation assets in the PJM market. Sunbury owns an approximately 436-MW coal-fired facility located in Shamokin Dam, Pennsylvania, that was retired in 2014. That power plant site is in the process of being converted to host a 1,000-MW natural gas-fired facility. Seward is also affiliated with Robindale Energy Services, Seward Operating LLC and RES Coal LLC. Seward Operating operates and maintains the Seward Generating Station’s material handling system. RES Coal is a surface coal mining company in central Pennsylvania.
On Jan. 12, FERC approved a December application from Seward Generation for market-based rate authority with an accompanying tariff. The market-based rate tariff provides for the sale of energy, capacity, and ancillary services at market-based rates.
NRG Energy announced Dec. 1 that it has agreed to sell the Seward plant to Seward Generation, with the deal to close in the first quarter of 2016, pending regulatory approvals.