Chesapeake Utilities Corp. (NYSE: CPK) announced Aug. 1 the start of operations at its Eight Flags Energy Combined Heat and Power (CHP) Plant, located on Amelia Island in Nassau County, Florida.
The CHP plant began generating electricity in June and began producing steam in July. Rayonier Performance Fibers is buying the steam for use in its cellulose specialties production facility, a pulp and paper mill. Capturing the thermal energy improves overall efficiency, generates savings and provides environmental benefits.
The CHP plant generates approximately 20 MW of baseload power, producing enough electricity to meet 50% of Amelia Island’s demand. Florida Public Utilities Co. (FPU) is buying the power for distribution to its electric retail customers on Amelia Island.
“We’re happy to report that the Eight Flags Energy CHP Plant is officially in service, providing opportunities across our business units to deliver more value to our customers and shareholders,” said Michael P. McMasters, President and Chief Executive Officer of Chesapeake Utilities Corp. “FPU customers will benefit from reliable, environmentally friendly electricity in their homes and businesses and cost savings in the coming years.”
The Eight Flags Energy CHP Plant operates with a Solar Turbines Titan 250 gas turbine generator set coupled with a Rentech heat recovery steam generator. CR Meyer led the construction of the facility.
“The Eight Flags Energy CHP Plant project was well executed on all fronts,” added Jeffry M. Householder, President of Florida Public Utilities. “Our partners in construction spent approximately 115,000 hours to bring this plant to fruition on time and on budget, all while operating under the most safe and reliable practices. With the additional steam generated by the new CHP plant, Rayonier Advanced Materials will gain greater operational flexibility for their production facility.”
Chesapeake Utilities Corp. is a diversified energy company engaged in natural gas distribution, transmission and marketing; electricity distribution; propane gas distribution and wholesale marketing; and other related services. Florida Public Utilities is a wholly-owned subsidiary of Chesapeake Utilities Corp. Headquartered in West Palm Beach, Florida, FPU distributes natural gas and propane and provides electric services to approximately 100,000 customers in markets throughout Florida.