Monday June 8 2015
Long-range plan for electric service shows declining role of coal increasing use of energy efficiency
- Filed Under:
- News Release
- Rocky Mountain Power
SALT LAKE CITY—Rocky Mountain Power envisions an energy future with the bulk of new electricity usage met by energy efficiency savings, a more responsive transmission system that maximizes intermittent renewable resources and a significantly reduced reliance on coal-fueled power plants.
The details that make up this vision are contained in the company’s Integrated Resource Plan, filed recently in the six states the company serves. The 500-page document, now before regulators in Utah, Wyoming, Idaho, Oregon, Washington and California, outlines the preferred mix of resources the company can use to meet the energy needs of its 1.8 million customers in the western U.S. The company updates the plan every year and renews the plan every two years.
“We know customers depend on us to provide safe, reliable, affordable power every day,” said Cindy Crane, president and CEO of Rocky Mountain Power, which serves 1 million customers in Utah, Wyoming and Idaho. “The IRP is designed to determine the lowest-cost options for customers, adjusting for risks, market projections, regulatory uncertainties and changing technology. We depend a great deal on public involvement by utility regulators, customers and other stakeholder groups to develop this plan. We welcome more discussions on this important issue.”
“One of the ways our industry is changing is a gradual, orderly transition away from coal to produce electricity. In recent years, the company has built new natural gas plants and wind power projects and expanded energy efficiency programs. As a result, the IRP does not see the need to build a new power plant of any type in the next 10 years.”
Highlights of the preferred portfolio include:
- Less reliance on coal. The IRP anticipates ending coal generation at 10 units, totaling 2,800 megawatts of generating capacity, by 2029. The company closed the two units at the Carbon plant in central Utah on April 15. The company plans to convert unit 3 at the Naughton plant in western Wyoming to natural gas by 2018 and close or convert Cholla unit 4 in Arizona by 2024. Dave Johnston units 1 through 4 in eastern Wyoming will reach the end of their depreciable life in 2027, and Naughton units 1 through 3 will do the same in 2029.
- More energy efficiency. The expansion of energy efficiency programs is projected to meet 86 percent of projected increase in usage over the next decade. In 2014 alone, working with customers, the utility saved more than 553,200 megawatt-hours of electricity, enough to power nearly 59,000 homes for a year. That is about the number of homes in Ogden and Layton, Utah, combined. Because of these savings, the company doesn’t envision building another major thermal power plant until 2028.
- Renewable resources. Rocky Mountain Power has invested heavily in expanding its portfolio of renewable resources, both directly and through power purchase agreements with renewable developers. The company is the second largest owner of wind generation assets among rate regulated utilities in the United States. Renewable and non-carbon resources currently make up 25 percent of the company’s owned and contract generation capacity. Within the next two years, PacifiCorp plans to add even more new wind and solar capacity via purchase power agreements with independent power producers.
“Our company is also taking a leadership role in the creation of a more responsive and efficient way of operating the West’s transmission system,” said Crane. “In partnership with the California Independent System Operator, we are leading the way to a lower-cost, lower-emissions future by using advanced technology to change the way that we generate, manage and dispatch electric power on the grid. Working with the California ISO and other utilities that are joining us in this transformation, we are able to maximize the use of intermittent renewables, enhance reliability and lower costs to our customers.”
For a full version of the Integrated Resource Plan, go to: http://www.pacificorp.com/es/irp.html
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About Rocky Mountain Power
Rocky Mountain Power is one of the lowest-cost electricity providers in the U.S., serving 1 million customers in Utah, Wyoming and Idaho. The utility has a diverse generation mix, utilizing hydroelectric, coal, natural gas, geothermal and wind sources. Rocky Mountain Power is a division of PacifiCorp, which through the Pacific Power division, also provides electric service to customers in Oregon, Washington and northern California.