Powering the Future of the Region’s Economy

11
Licking County Energy Summit Pat O’Loughlin Buckeye Power Powering the Future of the Region’s Economy

description

Powering the Future of the Region’s Economy. Licking County Energy Summit Pat O’Loughlin Buckeye Power. Buckeye System Highlights. Serves approximately 390,000 member-consumers Generating Capacity 1,621 MW Coal Cardinal – 1,215 MW OVEC – 406 MW 650 MW Natural Gas Mone – 450 MW - PowerPoint PPT Presentation

Transcript of Powering the Future of the Region’s Economy

Page 1: Powering the Future of the Region’s Economy

Licking CountyEnergy SummitPat O’LoughlinBuckeye Power

Powering the Future of the Region’s Economy

Page 2: Powering the Future of the Region’s Economy

Buckeye System Highlights• Serves approximately 390,000

member-consumers• Generating Capacity

– 1,621 MW Coal • Cardinal – 1,215 MW• OVEC – 406 MW

– 650 MW Natural Gas• Mone – 450 MW• Greenville – 200 MW

– 94 MW Renewables• Hydro, wind, biomass

• Peak Demand – 1,622 MW• $2.0 Billion Assets (12/31/11)• $348 M Equity (12/31/11)

2

Page 3: Powering the Future of the Region’s Economy

Cardinal Station

3

Page 4: Powering the Future of the Region’s Economy

PJM Footprint 1/1/2012

165,000 MW Load185,000 MW Generation22% U.S. Electricity

Page 5: Powering the Future of the Region’s Economy

EPA Train Wreck• CSAPR Final Rule Issued

– Ohio coal EGUs reduce SO2 95%+ – Ohio EGUs reduce NOx 90%– Stayed by DC Appeals Court 12/30/2011– Hearing scheduled for April, 2012

• Final MATS Rule Issued– Effective 2015 - 90%+ reduction of mercury and other

air toxics• Proposed coal ash, water effluent and water

intake rules pending• GHG Rule under development

5

Page 6: Powering the Future of the Region’s Economy

EPA Train Wreck• FE announces 3,349 MW of OH, PA and

WV coal plants to close in 2012• AEP moving forward with retirement of

6,000 MW of midwest coal plants• MISO says 63,000 MW of coal plants

require outages for scrubbers• PJM says 30,000 MW of coal plants at risk• FERC says no comprehensive reliability

studies have been completed• EPA says no reliability concerns

6

Page 7: Powering the Future of the Region’s Economy

Cardinal Station Flue Gas

Page 8: Powering the Future of the Region’s Economy

Buckeye Environmental Investment• All Buckeye owned coal-fired generating plants

will be equipped with state-of-the-art environmental controls by early 2013– Cardinal completed U2 (2007) & U3 (2012)– OVEC - Kyger Creek (2012) & Clifty Creek (2013)

• Total Buckeye investment on these environmental and related projects from 2002-2013 will be $1.26 billion

• Approximately 20% of cost to produce power for cooperative consumers

• Resume use of Ohio Valley coal

Page 9: Powering the Future of the Region’s Economy

U. S. Coal Price Increases

9

1994

1995

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

$0.00

$0.50

$1.00

$1.50

$2.00

$2.50

$3.00

US Coal Price - $/MMBTU

1994 – 20041% Increase

2004 – 201179% Increase

Page 10: Powering the Future of the Region’s Economy

Fuel Costs for Electric Generation($/MMBTU)

10

1994

1995

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

$0.00$1.00$2.00$3.00$4.00$5.00$6.00$7.00$8.00$9.00

$10.00

Nat. Gas Coal

Page 11: Powering the Future of the Region’s Economy

Growing Renewable Resource Mix

11