LUDLOW — After a temporary pause to address public concerns and set the record straight about Project 2015A, a proposed 55-megawatt capacity plant in Peabody, the Massachusetts Municipal Wholesale Electric Company (MMWEC) is moving forward with the project.
MMWEC announced Friday that it has filed an update with the Department of Public Utilities (DPU) regarding Project 2015A, which will provide required capacity for 14 cities and towns during periods of peak electricity demand. The decision to resume was made July 13 at an MMWEC Board of Directors meeting.
“MMWEC appreciates the recent input on the project from everyone,” said MMWEC Chief Executive Officer Ron DeCurzio. “As proven leaders in the incorporation of carbon-free technologies, MMWEC and its members continue to look for ways to increase the carbon-free generation in their energy portfolios, while ensuring they are providing the required capacity, grid reliability and dependable service for their customers.”
As required by the DPU’s previous order, MMWEC informed DPU Thursday that it is moving forward to seek DPU authority to issue tax-exempt, long-term debt to finance the project. In its filing, MMWEC requests that the DPU set July 29 as the deadline for initial briefs in the case, with reply briefs due by Aug. 5.
In May, the board had authorized a minimum 30-day pause to address concerns brought to the MMWEC board, while also considering available options to fulfill required capacity obligations under ISO New England rules. The Project has been under development and public review for more than three years and has secured required state permits through the state’s robust regulatory processes.
During the pause, MMWEC reexamined the project (including termination); project participant needs, obligations and rates; and alternative technologies (including battery storage). MMWEC also reexamined environmental justice issues and concerns related to the project.
In coordination with MMWEC’s efforts, the Peabody Municipal Light Plant (PMLP) will use a portion of Project 2015A to replace the capacity from its existing Waters River Unit 1 generator. The decision involves the replacement and decommissioning of its existing 20-megawatt generator, which dates to the 1970s. The capacity replacement would result in the generator being shut down in compliance with PMLP’s obligations in the ISO New England capacity market and in accordance with ISO New England tariff requirements.
During the pause, which began on May 11, MMWEC engaged with numerous interested parties, including residents of Peabody, legislators, other state and local elected officials and the administration. Public meetings were held in Peabody and Danvers. Numerous open public meetings were held with the public invited to comment. During the Peabody meeting, MMWEC provided a near-two hour update on the project in an attempt to set the record straight. MMWEC also expanded the information posted on the project website, www.project2015A.org, in response to questions asked.
PMLP Manager Charles Orphanos indicated his frustration over the fact that many people at the meeting appeared to believe they are experts who would substitute their opinions for those of the true experts, “the utility commissioners who dedicated their time to educate themselves, keep rates low and stable.
“They like to think they know more than utility experts,” he said. “What people don’t know is this is a very technical issue and we needed to give it due diligence. Even so, they kept referring to things that just aren’t true, like the fact after being informed multiple times the project is $85 million, someone still said it was $170 million.”
During the pause, MMWEC reversed course on the proposed installation of a new 200,000-gallon oil storage tank. Instead, it will now use urea, a non-hazardous substance, rather than ammonia, as a scrubbing agent for NOx emissions. In addition, MMWEC undertook extensive discussions with the equipment manufacturer about the potential to incorporate green hydrogen into the fuel mix to further reduce emissions. Because green hydrogen as a fuel source is an extremely new technology, those efforts are ongoing.
“Contrary to what people are falsely saying, we are already investing in wind and solar projects,” Orphanos said. “It’s disheartening to listen to people who don’t know the facts. The fact is we agree that renewables are great and need to be a priority, but renewables do nothing on the capacity side. That’s what people refuse to accept and that really strikes a vein.
“We are not making this stuff up.”
