— Canal Generating Plant’s surplus interconnection capacity, an efficient option for bringing renewable energy to the grid, requires RFP change —
BOSTON — May 23, 2023 — JERA Americas, Inc. (JERA), a leading national energy company and the owner of the Canal Generating station in Sandwich, Mass., has officially submitted comments to the Massachusetts Department of Public Utilities (DPU) seeking to include the Canal plant’s surplus interconnection capacity of approximately 1,200 megawatts (MW) as an option in the Commonwealth’s next RFP solicitation of offshore wind.
JERA commented that the surplus capacity offers both economic and environmental benefits in connecting offshore wind energy generation to the grid. The Canal facility—a peaking plant with three units, including two oil-fueled units with nearly 1,200 MW of interconnection capacity—is critical to reliability on extreme weather days and in the past seven years has run less than one percent of the time.
“The economic and environmental benefits of Surplus Interconnection Service that the Canal Generating Plant offers are both clear and substantial,” JERA Americas wrote in its filing, stating that an already fully built-out interconnection facility avoids costly upgrades, would speed up bringing renewable energy to the grid, and minimizes environmental impacts. “Unfortunately, the Draft RFP may deprive the Commonwealth of the many benefits that Surplus Interconnection Service would provide.”
JERA stated that a Federal Energy Regulatory Commission (FERC) order (Order 845) for Large Generator Interconnection agreements allows for the efficient use of Surplus Interconnection Service in connecting renewable energy resources to the grid. The new rule granting the option for using surplus interconnection capacity was not considered in latest RFP rules (codified in Order 83D) because Order 845 was approved a year after the 83D order.
JERA concluded that it “is only seeking the opportunity for the Surplus Interconnection Service at Canal to be an acceptable interconnection option under the RFP. Whether Surplus Interconnection Service at Canal (Canal Option) is one of the best options will ultimately be determined by the Evaluation Team. However, denying the Canal Option an opportunity to participate in the RFP and receive that evaluation is illogical, as it would deprive the Commonwealth of what might prove to be among the most cost effective and environmentally benign interconnection options.”
Earlier this month the Massachusetts Department of Energy Resources and the electric distribution companies jointly filed a draft Request for Proposals with the Department of Public Utilities (DPU) for the generation of 3,600 MW, Massachusetts’ largest solicitation of offshore wind energy.
ABOUT JERA AMERICAS
JERA Americas is supporting an energy transition in an environmentally and socially responsible manner. The Company is a subsidiary of Tokyo-based JERA, which stands for Japan’s Energy for a New Era, and produces about 30% of all electricity in Japan. JERA is committed to achieving net zero CO2 emissions from its domestic and overseas businesses by 2050 and is contributing to the development of a sustainable society. For more information contact [email protected]. Or you may or follow JERA Americas on LinkedIn or visit https://www.jera.co.jp/en/corporate.