Charlotte-based Duke Energy plans to retrofit its two Cliffside coal power plants to enable them to also burn natural gas. If successful and cost-efficient, the utility will also make similar modification at most of its remaining coal-fired plant fleet by spring 2019.
First, however, Duke Energy awaits approval from the NC Utilities Commission for PSNC Energy to build a gas pipeline to its Cliffside plants. The PSNC also filed for approval of its contract to deliver gas to the two to-be-converted coal power units.
Duke Energy did not disclose any cost estimates neither for the plant retrofits to dual-fuel capability, nor for the costs of building a gas feeder pipeline. It also didn’t specify the future ratio of coal- vs gas-burn.
“This is our first venture into this kind of innovation. So we are still trying to figure out what that looks like,” a company spokesman said. He insisted that the retrofit is likely to reduce fuel cost and make the plants’ overall operation more profitable. Running on gas also increases the flexibility, allowing the plants to ramp up and down more quickly to balance renewable energy.
CCGT new-build in Florida
In Florida, Duke Energy is forging ahead with construction of its 1,640 MW Citrus County. Foundation works have started for the first steam generator and HRSG – the aim is to get the first 820 MW power unit operational in spring 2018.
The CCGT be fuelled with natural gas via a new pipeline that Sabal Trail Transmission constructing at a cost of $3 billion. The pipeline will start in Alabama, extend through Georgia and end in Central Florida. Duke Energy committed to invest $225 in Sabal Trail Transmission in May 2015 and became a 7.5% owner of the pipeline.
Though Sabal Trail project partners are prepared to splash out over $3.5 billion to build two gas transit pipelines that will alleviate current supply bottlenecks – land right issues hampered a timely start. Construction works of the 515-mile pipeline are now unlikely to get going before early next year. They were initially meant to start in late summer this year for operations to commence in May 2017.