Georgia Power outlines 20-year plan to meet electricity needs
ATLANTA, Jan. 31, 2013
ATLANTA, Jan.31, 2013 /PRNewswire/ --Georgia Power outlined its plans to
continue to meet the state's electricity needs reliably and affordably in its
Integrated Resource Plan (IRP), filed today with the Georgia Public Service
(Logo: http://photos.prnewswire.com/prnh/20050216/CLW066LOGO )
Georgia Power is required to file an IRP every three years, and may also file
updates when necessary. The filing outlines the company's 20-year resource
plan, and details how it will meet future customer energy needs in an
economical and reliable manner.
Included in the IRP are projections of future fuel costs; load and energy
forecasts; an analysis of currently available generation technologies; the
10-year transmission plan; and an economic assessment of potential and
proposed energy efficiency and demand response, also known as demand-side
management (DSM) programs.
"We are committed to meeting the energy demands of our customers in the most
reliable and affordable way possible," said John Pemberton, Georgia Power
senior vice president of Generation and senior production officer. "The IRP
process ensures we keep that commitment as we undergo a historic transition to
our generating fleet, which includes natural gas, 21^st-century coal, new
nuclear, renewables and energy efficiency."
As part of today's filing, Georgia Power is requesting to decertify and retire
15 coal- and oil-fired generating units totaling 2,061 megawatts (MW): Units 3
and 4 at Plant Branch in Putnam County; units 1-5 at Plant Yates in Coweta
County; units 1 and 2 at Plant McManus in Glynn County; and units 1-4 at Plant
Kraft in Chatham County; and Boulevard units 2 and 3, also in Chatham County.
In addition, the company is requesting to decertify and sell Plant Bowen Unit
6, which has a rating of 32 MW, bringing the total of retired capacity to
Units 3-4 at Branch, units 1-5 at Yates and units 1-3 at Kraft are coal-fired
generating units. Kraft Unit 4 is oil-/natural gas-fired, and McManus units
1-2 are oil-fired. Bowen Unit 6 is an oil-fired combustion turbine that is
only permitted to operate during non-summer months due to ozone non-attainment
The company expects to ask for decertification of the units, other than Kraft
units 1-4, Bowen Unit 6 and Boulevard units 2 and 3 by the April 16, 2015
effective date of the U.S. Environmental Protection Agency's (EPA) Mercury and
Air Toxics (MATS) rule. The company expects to seek a one-year extension of
the MATS compliance date for Plant Kraft, and retire those units by April 16,
2016. The company is asking the PSC to grant the decertification of Bowen Unit
6 by April 16, 2013, to facilitate the sale of the unit, and is seeking
decertification of Boulevard units 2 and 3 effective as of the date of the
final order in the IRP.
Also, Georgia Power will request converting units 6 and 7 at Plant Yates from
coal to natural gas, and will switch from burning Central Appalachian coal to
burning Powder River Basin coal at Plant McIntosh Unit 1, pending a successful
test burn and further study. As part of the company's MATS compliance
strategy, it will install two baghouses at Plant Bowen units 3 and 4, and will
use an activated carbon and hydrated lime injection system on units 1-4 at
Bowen, and all units at Plant Hammond and Plant Wansley.
The installation of these controls is part of Georgia Power's more-than-$5
billion environmental construction program. The company is installing
scrubbers, Selective Catalytic Reduction units, baghouses and other controls
at its coal-burning plants to decrease emissions of sulfur dioxide, nitrogen
dioxide and mercury.
As part of the IRP, the company continues to demonstrate its firm commitment
to identify all cost-effective renewable resources to benefit customers, with
1,088 MW of hydro generation, 63 MW of solar generation and 142 MW of biomass
generation in service or under contract today. By the end of 2016, the company
expects to have more than 1,500 MW of renewable generation available to serve
With the Georgia Power Advanced Solar Initiative (GPASI), the company
continues to obtain an increasing amount of solar resources as declining
technology prices have made them more cost competitive. GPASI builds on the
solar resources already added to the portfolio by the company through the
Large Scale Solar program and the Green Energy program.
After all resources are added through the GPASI, the company expects to have
270 MW of solar capacity under contract in Georgia. That will be the largest
solar portfolio for any investor-owned utility that operates in a state
without a renewable portfolio standard. The company also continues to engage
in research and development efforts to gain more insight into the potential
for further utilization of solar resources in the state of Georgia.
The company's current DSM portfolio consists of demand response programs,
energy efficiency programs, pricing tariffs and other activities. The company
projects that by 2016, these programs will reduce peak demand by approximately
2,000 MW. In addition, the company plans to expand the DSM portfolio in 2013
by certifying a Small Commercial program and enhancing existing programs.
Georgia Power is in the midst of a transition to its generating fleet that
will provide economic benefits to customers for generations. That includes
new, highly-efficient natural gas generation at Plant McDonough-Atkinson; two
new state-of-the-art nuclear facilities at Plant Vogtle; 21^st-century coal;
energy efficiency; and renewables.
The PSC is expected to vote on the company's IRP request this summer.
Georgia Power is the largest subsidiary of Southern Company, one of the
nation's largest generators of electricity. The company is an investor-owned,
tax-paying utility with rates below the national average. Georgia Power
serves 2.4 million customers in all but four of Georgia's 159 counties.
Cautionary Note Regarding Forward-Looking Statements:
Certain information contained in this release is forward-looking information
based on current expectations and plans that involve risks and uncertainties.
Forward-looking information includes, among other things, statements
concerning the outcome of regulatory proceedings, expected fuel mix,
environmental regulations and related expenditures, plans for installation of
environmental controls, renewable energy generation, impact of energy
efficiency programs, customer demand, and economic benefits to customers.
Georgia Power Company cautions that there are certain factors that can cause
actual results to differ materially from the forward-looking information that
has been provided. The reader is cautioned not to put undue reliance on this
forward-looking information, which is not a guarantee of future performance
and is subject to a number of uncertainties and other factors, many of which
are outside the control of Georgia Power Company; accordingly, there can be no
assurance that such suggested results will be realized. The following factors,
in addition to those discussed in Georgia Power Company's Annual Report on
Form 10-K for the year ended December 31, 2011, and subsequent securities
filings, could cause actual results to differ materially from management
expectations as suggested by such forward-looking information: the impact of
recent and future federal and state regulatory changes, including
implementation of the Energy Policy Act of 2005, environmental laws including
regulation of water, coal combustion byproducts, and emissions of sulfur,
nitrogen, carbon, soot, particulate matter, hazardous air pollutants,
including mercury, and other substances, as well as changes in application of
existing laws and regulations; current and future litigation, regulatory
investigations, proceedings, or inquiries; variations in demand for
electricity, including those relating to weather, the general economy and
recovery from the recent recession, population and business growth (and
declines), the effects of energy conservation measures, and any potential
economic impacts resulting from federal fiscal and budgetary decisions;
available sources and costs of fuels; ability to control costs and avoid cost
overruns during the development and construction of facilities, which includes
projects involving facility designs that have not been finalized or previously
constructed; advances in technology; state and federal rate regulations and
the impact of future rate cases and negotiations; regulatory approvals and
actions related to the Plant Vogtle expansion, including Georgia Public
Service Commission approvals, Nuclear Regulatory Commission actions, and
potential U.S. Department of Energy loan guarantees; the ability of Georgia
Power Company to obtain additional generating capacity at competitive prices;
catastrophic events such as fires, earthquakes, explosions, floods,
hurricanes, droughts, pandemic health events such as influenzas, or other
similar occurrences; and the direct or indirect effects on the Georgia Power
Company's business resulting from incidents affecting the U.S. electric grid
or operation of generating resources. Georgia Power Company expressly
disclaims any obligation to update any forward-looking information.
SOURCE Georgia Power
Contact: Mark Williams, +1-404-506-7676, +1-800-282-1696
Press spacebar to pause and continue. Press esc to stop.