CLF to PUC: Burrillville plant not needed

The Conservation Law Foundation (CLF) today presented its arguments against Invenergy’s proposed $700 million fracked gas and diesel oil burning power plant in a brief filed with the Rhode Island Public Utilities Commission (PUC). The PUC is charged with rendering an advisory opinion to the Energy Facilities Siting Board (EFSB) the board that will have the final say in whether the proposed plant gets built. In putting together their advisory opinion, the PUC will be considering briefs from the CLF, Invenergy, the Town of Burrillville and the Division of Public Utilities and Carriers (Division).

The PUC’s mandate is to “conduct an investigation … and render an advisory opinion” as to the “need for the proposed facility,” says CLF attorneys Max Greene and Jerry Elmer in their brief, quoting Rhode Island General Laws § 42-98-9(d). The CLF “therefore presented unrefuted evidence that shows the plant is not needed, in the form of testimony from expert witness Robert Fagan.”

Though Invenergy’s expert witnesses “profess to disagree” with Fagan, they argue that the plant will provide a “social surplus” of energy and not that the plant is actually needed, says the CLF in their brief. In the recent ISO-NE forward capacity auction, Invenergy only sold half its capacity. If you subtract out Invenergy’s contribution to the energy markets the region still has nearly 1,000 megawatts of excess capacity, says the CLF.

Further, Invenergy and the Division presented no evidence at the hearings that the plant is needed. Instead, Invenergy made the claim that if the power plant sold energy in an ISO-NE forward capacity auction, this proves the plant must be needed.  The CLF argues that this is incorrect, maintaining that “… a CSO is not a showing of need but the result of a complex market mechanism that takes into account other factors such as cost.”

But even if we accept the “CSO equals need” argument, says the CLF, neither Invenergy nor the Division “has presented evidence to show that the proposed Invenergy plant is needed. This is because Invenergy has proposed a two-turbine, 1,000 MW plant but has not obtained a CSO for a two-turbine, 1,000 MW plant.” What Invenergy is defending is a one turbine plant, since that’s what sold at auction.

The PUC must consider the need of the power plant as proposed. What Invenergy has proposed is a two-turbine, 1,000 MW plant. As the CLF brief makes clear, “Invenergy has not obtained a CSO for a two-turbine, 1,000 MW plant,” it has, at best, demonstrated the need for a “485 MW project.”

“Not once does the EFSB Order describe the proposed Invenergy plant under consideration as a single-turbine, 485 MW generator. Instead, the Order says the proposed plant ‘will have a nominal power output at base load of approximately 850-1,000 megawatts” and that the plant will consist of two units. So defined, ‘the proposed facility’ and ‘the Project’ do not have a CSO.”

The PUC’s advisory opinion is due at the EFSB before final hearings start in September. The briefs from all intervenors are due at 4pm today (Thursday).