Duke Energy Progress, which on March 18 filed with the North Carolina Utilities Commission to register its new L.V. Sutton Combined Cycle Station as a renewable energy facility, on May 23 filed an amendment that said a small part of the plant’s gas supply will be based on biogas produced from swine waste.
With this May 23 filing, DEP intends to amend its registration statement for Sutton to include information with regard to a contract for the purchase of renewable energy resources to be used at Sutton. This information reflects DEP’s contract with Optima KV LLC. Under this new contract, DEP will purchase directed biogas, which is pipeline quality methane, injected into the pipeline system and nominated to Sutton. The methane is derived from swine waste resources that will be captured at Optima KV’s plant located in eastern North Carolina.
The directed biogas will be captured from five swine farms located in Duplin County, North Carolina. It will be combusted to generate renewable energy and associated renewable energy credits (RECs), in compliance with state Senate Bill 3’s swine waste set-aside requirements.
Under the terms and conditions of the contract between Optima KV and DEP, Optima KV will record, meter, and attest to the amount of swine waste it is producing, and will also deliver to DEP certificates that attest to the production of the underlying fuel. The biogas will be physically transported via an interconnection with Piedmont Natural Gas using Duke Energy’s natural gas trading desk to Sutton CC for combustion and renewable electricity generation.
Optima KV will install digesters at each of the farms, collect the resulting biogas and pipe it to a central location for cleaning and injection into the natural gas pipeline. The efficiency heat rate of the Sutton CC facility will be used to determine the amount of renewable energy (MWh) generated using the fuel.