An application that APV Renaissance Partners Opco. filed with the Pennsylvania Department of Environmental Protection sheds light on a proposed new natural gas-fired project at FirstEnergy Corp.'s retired Hatfield's Ferry.
The project consists of two 500-MW units each with a Siemens AG combustion turbine and heat recovery steam generator, according to a section of APV's permit application that the Pennsylvania Department of Environmental Protection shared with S&P Global. The DEP received the full application from APV on March 17 and said the application is still under administrative review, according to an April 5 email. Construction of the new plant is part of a deal that FirstEnergy announced to sell 33 acres of a retired coal plant site for redevelopment. FirstEnergy retired the Hatfield's Ferry coal plant in 2013 due to the costs to comply with the U.S. EPA's Mercury and Air Toxics Standards, which existing coal and oil units began complying with in 2015.
FirstEnergy subsidiary Allegheny Energy Supply Co. and APV plan to close the deal in the third quarter of 2018, which gives APV time to secure required permits and approvals by March 1, 2018, and bid the project in a May 2018 auction in the 13-state regional power market managed by PJM Interconnection, according to APV's project application. APV expects to complete construction of the new plant by June 1, 2021, which makes it eligible for PJM's May 2018 auction that procures capacity for the 2021/2022 operating year running from June 1, 2021, to May 31, 2022.
"The existing infrastructure available at Hatfield's Ferry and abundant fuel supply in the region make this an ideal location for the construction of a natural gas power plant," APV President John Seeker said in FirstEnergy's release.
In the application, APV said the new plant would connect into the grid at the Hatfield substation. Gas will be supplied by either an existing lateral pipeline owned by EQT Corp. at the border of the site or a five-mile lateral pipeline to be built between the new gas plant and an interstate pipeline owned by Texas Eastern Transmission LP, a subsidiary of Enbridge Inc., according to the application. The Texas Eastern Transmission pipeline network draws gas from Texas and the Gulf Coast up to northeastern power generation facilities, according to Spectra Energy Partners LP's website, whose parent merged with Enbridge in February.
Though the deal calls for purchasing both cooling towers, APV plans to reuse one of the towers, denoted No. 2, and demolish the other before building the new plant, APV said in its application.