PEABODY — The Massachusetts Municipal Wholesale Electric Company’s (MMWEC) plans to build an $85 million, 55-megawatt peaker power plant in Peabody took another step forward last week.
The Department of Public Utilities (DPU) approved MMWEC’s request for up to $170 million in bonds to build Project 2015A, a gas-powered plant at Peabody Municipal Light Plant’s (PMLP) Waters River substation.
The decision sparked a response by opponents of the project, led by Peabody resident Jerry Halberstadt of the Clean Power Coalition and Breathe Clean North Shore (BCNS), who appealed Monday in a letter to state Sen. Michael Barrett and state Rep. Jeffrey Roy, co-chairs of the Joint Committee on Telecommunications, Utilities and Energy, to investigate the failure of the DPU to follow the state’s new roadmap.
PMLP Manager Charles Orphanos said opponents are barking up the wrong tree.
“MMWEC has already gone through the Department of Environmental Protection (DEP) and that’s where the issues all these people keep raising were handled,” Orphanos said. “MMWEC did everything by the book. What they are looking for has nothing to do with the DPU’s approval of financing. I knew at some point somebody would appeal to someone, but the issues they keep raising were already dealt with.
“This is non-jurisdictional,” he added. “It’s not the right forum for these issues. They continue to appeal to anybody they think will listen, so this is not surprising to me. DPU just moved the project one step closer. Claims about the road map have nothing to do with the DPU, it was only about financing.”
In a statement issued by Halberstadt Monday, opponents claim the approval is in “stark violation” of the Climate Law, urging legislators to “halt the program and make sure that the provisions of the Climate Law are followed, including a comprehensive health and environmental review.” Halberstadt also claims that the plant is “a risky investment creating future burdens for ratepayers.
“We urge: cease building new fossil fuel infrastructure; cease energy production through existing fossil fuel infrastructure; and increase renewable energy sources, like solar and wind,” the letter stated.
MMWEC and PMLP have touted the project as one that will help keep rates low and also provide a safe and reliable source for municipal light plants (MLPs) to purchase capacity, which they currently have to buy on the open market from fossil-fuel sources at unpredictable and volatile rates. Orphanos and MMWEC CEO Ron DeCurzio have repeatedly stated that Project 2015A will eventually put those plants out of business, pushing the industry to more renewable sources, which ironically is a goal of many who oppose 2015A.
Peabody resident Sudi Smoller of BCNS said she was dissatisfied with the DPU decision, claiming the project will adversely affect the health and wellness of those living closest to the plant.
The project would run approximately 250 hours per year, providing required capacity for 14 cities and towns during peak demand periods. Nonetheless, Massachusetts Communities Action Network (MCAN) Executive Director Sarah Dooling said the project will be harmful to people and the environment.
“DPU’s approval brings MMWEC one step closer to building a power plant that will contribute to local pollution and harm local community members, while highlighting — yet again — how broken DPU processes are,” she said, adding that MCAN will continue to push the Baker administration to require an environmental impact review.
“DEP did not require an environmental impact review of any kind,” said Orphanos. “MMWEC has already complied with all DEP requirements.”
In May, the project was put on pause to address concerns brought to the MMWEC board, while also considering available options to fulfill required capacity obligations under ISO New England rules.
During the pause, MMWEC reexamined the project (including termination); project participant needs, obligations and rates; and alternative technologies (including battery storage). MMWEC reexamined environmental issues related to the project and engaged with Peabody and Danvers residents, legislators and other state and local elected officials. Public meetings were held in Peabody and Danvers.
During the Peabody meeting, MMWEC provided a two-hour informational presentation on the project in an attempt to set the facts straight. MMWEC expanded the project’s website, www.project2015A.org, and also made major changes to the project, eliminating one of two planned 200,000-gallon oil tanks, switching from ammonia to urea and retired gas turbine No. 1.
