ENMAX Energy today announced its intention to build a major generation plant in southern Alberta to serve its growing customer base. The new power plant will provide enough electricity for about two thirds of Calgary’s requirements. It will be using the best available gas technology and would produce 50% less CO2 than current coal plants.
In a statement released today, Gary Holden, CEO of ENMAX Energy said:
“We need to secure lower cost sources of new electricity for our EasyMax customers when they come to renew their contracts. We have a responsibility to continue to seek the best overall resources for our customer base.
Our vision is that our customers will have access to state-of-the-art, environmentally sensitive generation across the province that will optimize existing infrastructure.This plant will become the template for future plants in Alberta because it is cleaner and can be located closer to customers.
Alberta will need additional capacity of up to 3,800 MWs during the next 10 years and ENMAX is hopeful that most of it will be either wind, hydro or clean burning fuel situated close to the customer, such as this plant.
The first phase of the plant can be built within three years, subject to finalizing construction contracts and regulatory matters. Fortunately this technology can be built quickly as most of the equipment is off-the-shelf. Location for the plant is confidential as alternatives are currently being evaluated.
This project will present solutions to several existing Alberta system issues:
1. It will help firm up the southern transmission grid, which will contribute greatly to the development of additional wind farms, by assisting in overcoming the challenge of intermittent production.
2. It will open the door for greater export capacity and more wind generation overall.
3. It will have a dramatic impact in reducing electricity line losses, bringing benefits to all Albertans.
4. It will go a long way to meeting the Province’s CO2 intensity targets for the electricity sector.
Our long term plan is to have 100% of our customers’ needs matched by renewable energy, cogeneration or the best available clean coal or gas technology by the time current power purchase agreements are terminated. This project is a very important step in that direction.
In light of this announcement and in view of the ongoing proceedings in the proposed 500kv line between Edmonton and Calgary, we want to take this opportunity to clarify our position with respect to the 500 kV line. We agree the line will enhance system reliability and its development is consistent with the requirements of the Transmission Regulation. We are therefore fully supportive of the 500kv facility currently under review, and recognize the need for its construction. We will be very happy to see this plant and the North-South transmission line working together for system security in the Southern part of Alberta."
ENMAX Energy Corporation, a subsidiary of ENMAX Corporation, is Alberta’s leading competitive electricity retailer. In addition to electricity, ENMAX Energy provides natural gas, renewable energy and value-added services to residential, commercial and industrial customers throughout Alberta. ENMAX Energy contracts low-cost reliable electricity from the Keephills and Battle River coal-fired plants and meets peak demand through a long term agreement with the natural gas fired Calgary Energy Centre. Through a subsidiary, it is one of Alberta’s largest investors in renewable energy with 50 per cent ownership of the McBride Lake Wind Farm and 100 per cent ownership of the Taber Wind Farm. ENMAX Energy has the largest green power marketing program of its kind in Canada and in 2006, received the Consumer Champion Award for its ground-breaking EasyMaxTM program. For more information, visit our website at enmaxenergy.com.
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