[USA] Minnesota Appeals Court upholds Minnesota Power’s proposed natural gas power plant

On August 23, 2021, the Minnesota Court of Appeals upheld a 2018 Minnesota Public Utilities Commission (PUC) approval of Minnesota Power’s plans to jointly build a $700 million natural gas plant in Superior, Wisconsin.[1] Minnesota Power and Dairyland Power Cooperative first proposed the 625 MW Nemadji Trail Energy Center (NTEC) project in 2017, with a planned construction date in 2025. The companies said they would jointly operate the plant to ensure reliability while transitioning away from coal towards renewables. However, environmental groups, including the Minnesota Center for Environmental Advocacy, Union of Concerned Scientists, and Sierra Club, have challenged the PUC’s approval of Minnesota Power’s plans to buy a stake in the project.  They argue that there is substantial evidence that does not support the commission’s determination that the power plan is necessary and in the public interest.

The appeals court, which reviewed the case on remand from the Minnesota Supreme Court, said the NTEC is a “more reliable and lower cost source” of energy than equivalent-sized wind or solar power projects. The court ruled that Minnesota Power and the MPUC “offered extensive evidence and analysis showing that the transition away from coal and toward intermittent renewable resources impairs reliability and could cause a reliance on more expensive energy markets.” The NTEC is facing another legal challenge in Wisconsin where two environmental groups, Clean Wisconsin and the Sierra Club, petitioned an administrative law judge to review a prior approval by the Wisconsin Public Service Commission.[2]

[1] https://dailyenergyinsider.com/news/31668-minnesota-powers-proposed-natural-gas-power-plant-wins-minn-appeals-court-approval/?amp

[2] https://www.sierraclub.org/press-releases/2020/03/clean-wisconsin-sierra-club-challenge-gas-plant-approval

[Japan] Mitsubishi Heavy Industries Engine & Turbocharger Conducted a Combustion Test for a Pure Hydrogen Engine in Collaboration with AIST

On January 21, 2021, Mitsubishi Heavy Industries Group (MHI, Headquarters: Tokyo) announced that its subsidiary company, Mitsubishi Heavy Industries Engine & Turbocharger (MHIET, Headquarters: Sagamihara, Kanagawa Prefecture), had conducted a combustion test for a pure hydrogen engine in collaboration with Japan’s National Institute of Advanced Industrial Science and Technology (AIST, Headquarters: Tokyo), a Japanese research institute.

This combustion test installed a modified single cylinder gas engine (bore 170mm x stroke 220mm) made by MHIET at the AIST Fukushima Renewable Energy Institute in Koriyama City, Fukushima Prefecture. The test aims to validate and confirm certain conditions for combusting hydrogen without emitting CO2.

MHIET and the MHI Research and Innovation Center have jointly developed and produced the hydrogen engine by leveraging their knowledge of hydrogen combustion technologies, diesel engines, and natural gas engines. Since AIST has prior experience in developing large-scale, high-power, high thermal efficiency, and low NOx hydrogen engines, the research institute has been responsible for building and testing the hydrogen power generation facility, as well as collecting data from the test. Based on the test results, the hydrogen power output is expected to increase up to 340kW for a 6-cylinder engine and 920kW for a 16-cylinder engine. MHIET plans to conduct further tests and gather more data in order to build a multi-cylinder hydrogen engine with 1MW of output.

Both MHI and MHIET have prior experience in hydrogen R&D: MHI has been developing zero-CO2 emission products, while MHIET has also been developing hydrogen engines and has been partnering with AIST to conduct hydrogen engine combustion research since FY2019. MHIET plans to replace its gas engine generator with EBLOX, its triple-hybrid, self-sustaining power supply system, including a hydrogen engine generator. MHI has stated that it will continue to contribute to an energy-stable and carbon-free society by utilizing solar power, batteries, and hydrogen energy.[1]

[1] https://www.mhi.com/jp/news/210121.html

[USA] APS proposes plan to give $144 million to Arizona tribes and others affected by coal plant closures

According to The Arizona Republic, Arizona Public Service (APS), Arizona’s largest electric utility and a subsidiary of Pinnacle West Capital Corporation, is proposing a plan to offer $144 million to aid three coal country and Native American communities where the company plans to close its remaining coal-run power plants.[1] Under the plan, APS would increase investments in Navajo Nation, Hopi Tribe and Joseph City area while retaining workers, providing electricity to regions in the Navajo Nation that are off the power grid, and developing renewable energy projects. APS is the majority owner of the Four Corners Power Plant on Navajo land which employs 327 people, 80% of them Native American. 350 people work at a Navajo Nation-owned coal mine next to the plant. Four Corners is scheduled to close by 2031. APS is also the majority owner of the Cholla Power Plant in Joseph City, which employs roughly 200 people and is scheduled to close by 2025, with one of the three remaining units closing in 2020. According to the CEO of APS Jeff Guldner, APS is trying to prevent layoffs with the 2020 closure.

[1] https://www.azcentral.com/story/money/business/energy/2020/11/06/arizona-public-service-co-offering-144-million-tribes-coal-country/6180829002/

[Japan] Osaka Gas Participates in the Three Rivers Natural Gas-Fired Power Plant Project in Illinois, U.S.

On August 25, 2020, Osaka Gas (Headquarters: Osaka) announced that it will participate in the Three Rivers Natural Gas-Fired Power Plant Project, which is in development in Illinois, U.S., through its wholly-owned subsidiary. On August 21, 2020, Osaka Gas signed an agreement to acquire 15% of the equity of Three Rivers from a subsidiary of Competitive Power Ventures (CPV), an Independent Power Producer headquartered in Silver Spring, Maryland, U.S. The transaction amount has not been disclosed, but according to Japanese media it is estimated to be worth several billion Japanese yen.

The facility is a 1,250MW natural gas-fired combined-cycle power plant with about 61% generation efficiency. The plant is expected to begin commercial operations in May 2023 and will produce and sell electricity in the PJM wholesale market, located in the eastern U.S.

Based on its long-term management vision and medium-term plan, “Going Forward Beyond Borders 2030”, Osaka Gas’s parent company, Daigas Group, will continue to explore overseas energy business opportunities and create a strong position in the U.S. as a priority market.[1] [2]

[1] https://www.osakagas.co.jp/en/whatsnew/__icsFiles/afieldfile/2020/08/24/20200825.pdf

[2] https://www.osakagas.co.jp/company/press/pr2020/1289500_43661.html

[Japan] Kansai Electric Power Developed an AI-based Self-Driving Robot for Thermal Power Plant Inspections

On August 25, 2020, Kansai Electric Power (KEPCO, Headquarters: Osaka Prefecture) announced that it had developed an AI-based self-driving robot for inspecting thermal power plants. KEPCO partnered with K4 Digital (Headquarters: Osaka) and Kanden Systems (Headquarters: Osaka) to develop the robot. K4 Digital is a digital technology solution company jointly established by KEPCO and Accenture Japan (Headquarters: Tokyo) in 2018.[1] Kanden Systems is KEPCO’s wholly owned subsidiary that provides energy IT solutions.

Field workers need to conduct on-site inspections of thermal power plants on a regular basis, which requires substantial time and effort. Since Japan expects to face a labor shortage due to the future retirement of a large number of older workers, utility companies are concerned that they will face a shortage of skilled workers to conduct regular inspections. KEPCO’s robot design aims to address this expected labor shortage.

KEPCO, K4 Digital and Kanden Systems have worked together to develop the robot since December 2018. A demonstration testing for the robot that began in Sakaiko Power Station, Osaka, in December 2019, had successful results. The robot is expected to be introduced in KEPCO’s power plants and offered to other utilities in 2021.[2] [3]

[1] https://www.kepco.co.jp/corporate/pr/2018/0801_1j.html

[2] https://www.kepco.co.jp/corporate/pr/2020/0825_1j.html

[3] https://www.kepco.co.jp/corporate/pr/2020/pdf/0825_1j_01.pdf

[Japan] Kansai Electric Power Developed a Drone to Conduct Chimney Inspections for Thermal Power Plants

On August 6, 2020, Kansai Electric Power (KEPCO, Headquarters: Osaka Prefecture) announced that it has developed a drone that can be used to inspect the interiors of chimneys installed at thermal power plants.

Traditionally, workers had to set up a scaffold inside the chimney to inspect the interior to identify any deterioration. This work posed some significant risks for worker safety because the height of chimneys installed at thermal power plants can reach approximately 200m.

The use of drones was previously considered to be too difficult since Global Positioning System (GPS) is not available inside the chimney. However, the drone developed by KEPCO is equipped with Visual Simultaneous Localization and Mapping (SLAM), a mapping technology that can determine the position and orientation of the drone, as well as LiDAR, a method for measuring distances, in order to enable autonomous drone operation without GPS. It is the first time that Japan has developed a drone technology that can determine the position of a drone in a cylindrical space where GPS is not available.

In addition to improving worker safety, the drone is expected to reduce the time necessary to conduct inspections by approximately 90% and the inspection costs by more than 50%.

KEPCO partnered with Kanso (Headquarters: Osaka), a civil engineering consulting company, and Autonomous Control Systems Laboratory (Headquarters: Tokyo), an autonomous control solutions company, to consider marketing the drone to utilities and local governments.[1] [2]

[1] https://www.kepco.co.jp/corporate/pr/2020/0806_1j.html

[2] https://www.kepco.co.jp/corporate/pr/2020/pdf/0806_1j_01.pdf

[Japan] Japan’s Agency for Natural Resources and Energy Held a Discussion About Phasing Out Inefficient Coal-Fired Power Plants

On July 3, 2020, the Ministry of Economy, Trade, and Industry (METI) announced its plan to develop specific measures for phasing out inefficient coal-fired power plants by 2030. The announcement was made by Hiroshi Kajiyama, the minister of METI, in a press conference.

Japan’s decision to phase out inefficient coal-fired power plants is described in the 5th Strategic Energy Plan[1] issued in 2018; however, no detailed implementation plans were developed thus far. Minister Kajiyama described the need to develop concrete steps towards phasing out inefficient coal-fired power plants and accelerating the implementation of renewable energy to achieve a decarbonized society while carefully balancing Japan’s energy mix with consideration of limited energy resources to ensure a stable energy supply. The minister said that he had ordered METI’s officials to start discussion to develop the phase out plans by the end of July 2020.

Following this announcement, on July 13, 2020, the Agency for Natural Resources and Energy’s Electricity and Gas Industry Committee held a meeting to discuss specific measures to phase out coal-fired power plants.  The discussion focused on addressing the following topics:

1)   Introduce new regulatory measures in order to phase out inefficient coal-fired power plants

2)   Create new mechanisms to promote the early retirement of inefficient coal-fired power plants while ensuring a stable energy supply

3)   Review the current utilization rules on transmission lines to implement measures to accelerate the expansion of renewable energy, while considering various specific regional conditions.

Currently, coal-fired power generation accounts for 32 percent of Japan’s energy mix and inefficient coal-fired generation accounts for 16 percent of the total. Japan plans to reduce the share of coal-fired power generation to 26 percent by FY 2030. Japan plans to continue supporting the long-term use of coal generation by promoting innovative technologies to enhance the efficiency of coal-fired power plants, including Integrated Coal Gasification Combined Cycle (IGCC), Integrated Coal Gasification Fuel Cell Combined Cycle (IGFC), and Carbon Capture Utilization and Storage (CCUS). [2] [3] [4]

[1] The 5th Strategic Energy Plan, which sets Japan's long-term energy policy towards 2050, was approved by the Cabinet on July 3, 2018.  It includes Japan’s plans to maintain coal-fired generation to support the nation’s stable energy supply while phasing out inefficient coal-fired power plants.

The English version of the 5th Strategic Energy Plan can be accessed from METI’s website: https://www.meti.go.jp/english/press/2018/pdf/0703_002c.pdf

[2] https://www.meti.go.jp/speeches/kaiken/2020/20200703001.html

[3] https://www.meti.go.jp/shingikai/enecho/denryoku_gas/denryoku_gas/pdf/026_03_00.pdf

[4] https://www.meti.go.jp/shingikai/enecho/denryoku_gas/denryoku_gas/026.html

[Japan] J-Power Consolidates its Thermal Power Generation and Service under J-POWER Generation Service

Tokyo-based Japanese power producer J-Power announced on June 25, 2020, that it will transfer the operation of its thermal power generation plants to JPEC (Headquarters: Tokyo).[1] JPEC is J-Power’s wholly owned subsidiary that provides construction and maintenance services for power generation equipment.[2] JEPC will be renamed J-POWER Generation Service to reflect this change.

Since 2004, J-Power and JPEC have shared responsibility of operations and maintenance (O&M) of thermal power plants. However, in response to the rising competition introduced by the deregulation of the electricity market, J-Power plans to streamline its businesses to improve efficiency and reduce the cost of O&M by consolidating O&M under J-POWER Generation Service. In the long term, J-Power plans to strengthen its investment in renewable energy and overseas business development.

Starting in August 2020, the O&M for seven of J-Power’s Thermal Power Plants will be managed by J-POWER Generation Service. J-Power will integrate its Thermal Power Generation Department and Thermal Power Construction Department into the Thermal Energy Department, which will be responsible for developing the company’s strategy for thermal generation and maintaining and improving the thermal generation technology. J-Power will continue to be responsible for fuel supply and electricity sales. [3]

[1] https://www.jpec.co.jp/company/index.html

[2] https://www.jpec.co.jp/service/index.html

[3] https://www.jpower.co.jp/news_release/2020/06/news200625_4.html

[USA] New Mexico regulators delay two solar+storage projects intended to replace San Juan coal plant

On April 29, 2020 the New Mexico Public Regulation Commission voted 3-2 to delay the decision on whether to approve two solar-plus-storage projects that the Public Service Company of New Mexico (PNM), the New Mexico’s largest investor-owned utility, had proposed as part of the replacement generation for its San Juan coal plant.[1] The regulators determined that they could not approve the two solar projects before taking a closer look at the utility’s full replacement plan. The two projects in question are the Arroyo (300 MW of solar and 40 MW/160 MWh of battery storage) and the Jicarilla (50 MW solar and 20 MW/80MWh of battery storage) projects. The two projects are part of PNM's broader plan to add 350 MW of solar capacity, 380 MWh battery storage, and 280 MW of natural gas to replace its coal-fired generation. PNM has plans to spend $733 million in order to replace its coal-fired generation.[2]

Environmental groups and PNM have both stated that they were not happy with the decision, though they both understood in part the commission's reasoning. A major downfall to the delay is that the projects won’t be able to secure the full value of the solar investment tax credit as it winds down, making the projects' future prices unknown.

[1] https://www.santafenewmexican.com/news/local_news/regulators-again-delay-decision-on-pnms-solar-proposals/article_475242f8-8a32-11ea-aa6c-571c28313f6f.html

[2] https://www.prnewswire.com/news-releases/pnm-files-consolidated-application-for-san-juan-generating-station-300878854.html

[USA] DOE announces $28 million to develop ultrahigh temperature materials for gas turbine applications

On April 21, 2020, the U.S. Department of Energy (DOE) announced up to $28 million in funding for a new Advanced Research Projects Agency-Energy (ARPA-E) program called ULtrahigh Temperature Impervious Materials Advancing Turbine Efficiency (ULTIMATE).[1][2] The goal of the ULTIMATE program is to improve the efficiency of gas turbines by increasing the temperature capability of the materials used in parts such as the turbine blade. Blade material temperature capability has improved steadily over the last few decades to 1100 ºC, the DOE believes there are opportunities to discover, develop, and implement novel materials that work at temperatures significantly higher than industry standard superalloys. ULTIMATE projects will develop and demonstrate ultrahigh temperature materials that can operate in high temperature and high stress environments of a gas-turbine blade. The ULTIMATE program will target enabling gas-turbines blades to operate continuously at 1300 ºC in a material test environment—or with coatings, with turbine inlet gas temperatures of 1800 ºC or higher. According to the DOE, improving gas turbine efficiency will create opportunities to generate more energy savings, lower carbon emissions, and benefit the economy.

[1] https://www.energy.gov/articles/department-energy-announces-28-million-develop-ultrahigh-temperature-materials-gas-turbine

[2] https://arpa-e.energy.gov/?q=arpa-e-programs/ultimate

[USA] EPA rule change to save 4 coal plants across Pennsylvania and West Virginia

On April 9, 2020, the U.S. Environmental Protection Agency (EPA) updated its Mercury and Air Toxics Standards (MATS) to assist four struggling coal plants in Pennsylvania and West Virginia.[1] The coal plants burn low-quality coal refuse—waste abandoned from mining and burning coal. Under Obama-era MATS standards these plants did not meet acid gas hazardous air pollutant emissions standards, but the new rule creates a subcategory for these plants. This particular change to MATS is not likely to have a major environmental impact because of its limited scope.

According to the Anthracite Region Independent Power Producers Association (ARIPPA), a group that represents the coal refuse-to-energy industry across West Virginia and Pennsylvania, there are more than 5,000 abandoned mines across Pennsylvania that were never reclaimed, totaling between 200 million and 8 million cubic yards of waste.[2] One remediation solution for the problem, burning waste into energy, became viable in the late 1970s through the Public Utility Regulatory Policies Act (PURPA), which sought to diversify the country’s electric resource profile. Since 1987, more than 212 million tons of coal refuse have been removed in Pennsylvania alone, but the coal plants are now struggling as their economic viability has declined. Without the rule change, two of the four plants affected would have likely closed by the end of May.

[1] https://www.epa.gov/mats/regulatory-actions-final-mercury-and-air-toxics-standards-mats-power-plants

[2] https://arippa.org/wp-content/uploads/2018/12/ARIPPA-Coal-Refuse-Whitepaper-with-Photos-10_05_15.pdf

[USA] Dominion prepares to file Virginia IRP without natural gas buildout

On April 2, 2020, Dominion Energy asked Virginia regulators for permission to avoid certain requirements, including comprehensive analysis of new natural gas or nuclear power buildouts, for its 2020 Integrated Resource Plan (IRP) filing that it says will no longer apply. [1] Specifically, Dominion wants to stop incorporating some modeling and analysis that were required under the Clean Power Plan of 2014, which has since been replaced by the U.S. Environmental Protection Agency with the Affordable Clean Energy rule of 2019. According to the utility, a natural gas buildout would not be viable due to the 100% clean energy mandate by 2045 instituted by the Virginia Clean Economy Act (VCEA) passed on March 6, 2020.

The request marks a big shift for Dominion which has included scenarios with up to 10 new combined-cycle or combustion turbine facilities in its previous IRPs. Environmental groups believe that the lack of need for new gas infrastructure could also extend to the development of the Atlantic Coast Pipeline which is slated to run 600 miles from West Virginia, through Virginia, to eastern North Carolina.[2] However, Dominion has stated that it has no plans to make changes to the Atlantic Coast Pipeline project. Dominion will own 53% of the gas project, alongside Duke Energy, after buying Southern Company's 5% stake.

[1] http://www.scc.virginia.gov/docketsearch/DOCS/4m0c01!.PDF

[2] https://chesapeakeclimate.org/dominion-energy-abandons-gas-infrastructure-plans-due-to-passage-of-virginia-clean-economy-act/

[Japan] Mitsubishi Heavy Industries’ Turboden will Deliver an Organic Rankine Cycle Power Generation System to the Meadow Lake Tribal Council in Saskatchewan, Canada

On February 10, 2020, Mitsubishi Heavy Industries’ (MHI) subsidiary Turboden, a manufacturer based in Bersica, Italy that specializes in Organic Rankine Cycle (ORC) systems that produce electric and thermal power[1], announced that it would deliver an 8MW ORC power generation system to the Meadow Lake Tribal Council (MLTC) in Saskatchewan, Canada. The system will be fueled by sawmill residual wood biomass.

MTLC is a tribal council representing nine First Nation band governments in Saskatchewan. Multiple native inhabitant groups reside in the tribal area which is located near Meadow Lake in the northwestern area of the province. The ORC system will be funded by both the Canadian federal government and the Saskatchewan government as a part of the MLTC’s local development program. Approximately 5,000 households in the region will be supplied with a total of 6.6 MW of carbon neutral baseload electricity. In addition to electricity, the heat generated by this system will be supplied to NorSask sawmill’s lumber dry kiln and buildings, which is expected to reduce natural gas consumption. The NorSask Sawmill is Canada’s largest sawmill.

Although it was originally established in 1980 by professors at the Polytechnic University of Milan, Turboden was acquired by MHI in 2013. In 2016, Turboden signed a contract with Daiichi Jitsugyo (Headquarter: Tokyo, Japan), a general machinery trading company[2], to promote the marketing of its products. Since then, Daiichi Jitsugyo has become its sales distributor in Japan.[3]

[1] https://www.turboden.com/company/1058/about-us

[2] https://www.djk.co.jp/company/outline.html

[3] https://www.mhi.com/jp/news/story/200210.html

［USA］Dairyland Power Cooperative plans to retire 345 MW of coal

Dairyland Power Cooperative, a Wisconsin electric utility, announced in January 2020 that it is planning to retire Genoa Station 3, a 345 MW coal plant, in 2021, five to ten years earlier than previously planned.[1] Utility officials ultimately determined cheaper, cleaner resources were preferable over keeping the coal plant open. This announcement follows a January 16, 2020 Wisconsin regulatory decision approving Dairyland’s 625 MW gas-fired Nemadji Trail Energy Center (NTEC), which will be co-owned with Minnesota Power, a Minnesota utility. The gas plant, which will serve customers in Minnesota and Wisconsin, requires permission from both Minnesota and Wisconsin regulators. Although the plant received approval from Minnesota regulators in October 2018, the Minnesota Court of Appeals ordered further analysis in December 2019 and directed Minnesota’s Public Utilities Commission to do an environmental impact assessment of the plant. Dairyland is currently reviewing the Court of Appeal’s decision to determine how it will impact the project’s timeline.

[1] https://www.dairylandpower.com/content/dairyland-announces-genoa-station-3-retirement-plans

［USA］New Bill Introduced in Georgia Legislature Would Require Companies to Treat Coal Ash Like Municipal Solid Waste

A new bill—H.B. 756— that would require disposal of coal ash or combustion residuals (CCR) to be as rigorous as municipal solid waste (MSW) was introduced by Rep. Robert Trammell (D) in the Georgia legislature on January 14, 2020.[1] In December 2019, Georgia became the second state allowed the U.S. Environmental Protection Agency to run its own coal ash permitting program which will allow the state flexibility in how it cleans up the toxic waste. Georgia Power's current plans for closing its ash sites includes leaving CCR in unlined ponds. By contrast, MSW in Georgia is disposed in landfills with both bottom liners and collections systems for leachate.

Recently, concerns over the risk of groundwater contamination have grown and a number of states have mandated coal ash cleanup. North Carolina, for example, ordered Duke Energy to excavate roughly 72.5 million metric tons of CCR.[2] There has been no such order in Georgia, though a 2018 report on the coal-fired power plants in the state found that groundwater was contaminated near all but one site.

[1] http://www.legis.ga.gov/Legislation/20192020/187853.pdf

[2] https://news.duke-energy.com/releases/duke-energy-north-carolina-regulators-and-environmentalists-reach-agreement-to-permanently-close-all-remaining-ash-basins-in-north-carolina

［USA］ NorthWestern Energy to acquire 25% share of Colstrip; plans to reduce carbon by 90%

NorthWestern Energy, a utility company based in Sioux Falls, SD, announced on December 10, 2019 that it plans to purchase Puget Sound Energy's (PSE) 25% share of Montana's coal-fired Colstrip Unit 4 for just $1.[1] If the plan is approved by the Montana Public Service Commission and Washington Utilities Transportation Commission, NorthWestern would procure 185 MW of generation from Colstrip Unit 4 which would bring its totally share of the unit to 55%. According to NorthWestern, the purchase, although contrary to its carbon-reduction goals, will help the utility to meet a winter peak capacity deficit and preserve reliability for its customers. Currently, NorthWestern’s energy portfolio for Montana is 60% carbon-free. The utility will set aside the benefits from the transaction to address the environmental costs associated with its existing ownership when the time comes to retire Unit 4. For PSE, the sale of its share of the Colstrip unit will help the utility reduce its coal fleet by 50% and give them a lead on meeting Washington state’s requirement for electric utilities to eliminate coal-fired generation from their portfolios in the next five years.[2],[3]  

[1] http://www3.northwesternenergy.com/our-company/media-center/current/news-article/2019/12/10/NorthWestern-Energy-to-acquire-25-share-of-Colstrip-Unit-4-from-Puget-Sound-Energy

[2] https://www.pse.com/press-release/details/pse-moves-closer-to-coal-free-electricity-years-ahead-of-schedule?utm_source=Social&utm_medium=TWITTER&utm_campaign=Engagement

[3] https://www.utc.wa.gov/regulatedIndustries/utilities/energy/Pages/CETAoverview.aspx