Aquatera Utilities Inc.

Transcription

1 Decision Aquatera Utilities Inc MW Power Plant June 26, 2014

2 The Alberta Utilities Commission Decision : Aquatera Utilities Inc MW Power Plant Application No Proceeding No June 26, 2014 Published by The Alberta Utilities Commission Fifth Avenue Place, Fourth Floor, 425 First Street S.W. Calgary, Alberta T2P 3L8 Telephone: Fax: Website:

3 The Alberta Utilities Commission Calgary, Alberta Decision Aquatera Utilities Inc. Application No MW Power Plant Proceeding No Introduction and background 1. Aquatera Utilities Inc. (Aquatera) filed an application with the Alberta Utilities Commission (AUC or the Commission) for approval to construct and operate a 2.85-megawatt (MW) power plant at its water and wastewater treatment plant, located in the city of Grande Prairie, as well as for the issuance of a connection order, pursuant to sections 11 and 18 of the Hydro and Electric Energy Act. The application was registered on February 28, 2014 as Application No and assigned Proceeding No The Commission requested additional information from Aquatera regarding potential environmental impacts on April 1, 2014, and received responses on April 17, The Commission issued a second round of information requests pertaining to Aquatera s compliance with Section 95 of the Electric Utilities Act on June 3, 2014, and received responses on June 9, The Commission issued a notice of application on May 20, The notice was also published in the Grande Prairie Daily Herald on Friday, May 23, No submissions were received by the deadline date of June 13, Discussion 4. Aquatera stated that the bioreactor landfill gas-to-energy project would consist of two MW GE Jenbacher JMS 420 dual fuel (landfill gas/natural gas) generators. The generators would be capable of operating by themselves, in parallel, or in cogeneration with the power grid. Aquatera stated that the primary fuel supply for the power plant would be landfill gas collected and transmitted by pipeline from the adjacent facilities at the landfill. Natural gas, supplied from the local ATCO Gas distribution system would be used as a backup fuel supply in the event that the supply of landfill gas is unavailable at the power plant. 5. Aquatera stated that the proposed power plant would be housed in a building constructed on previously disturbed land within the water and wastewater treatment plant site, located at the southeast quarter of Section 11, Township 71, Range 6, west of the Sixth Meridian and partly on Plan , Lot 1, Block 1, within the city of Grande Prairie. 6. Aquatera submitted a noise impact assessment respecting the proposed power plant and stated that the anticipated noise levels would be within the permissible sound levels specified in AUC Rule 012: Noise Control (AUC Rule 012). 7. The proposed power plant would be connected to the Alberta Interconnected Electric System via ATCO Electric Ltd. s distribution system. Aquatera provided both a proposal to AUC Decision (June 26, 2014) 1

4 2.85 MW Power Plant Aquatera Utilities Inc. connect the proposed power plant from ATCO Electric Ltd. and ATCO Electric Ltd. s acceptance of the connection proposal. 8. Aquatera completed an air quality assessment for sulphur dioxide, carbon monoxide and particulate matter for the proposed and existing sources of air emissions and predicted the maximum concentrations would be less than the applicable Alberta Ambient Air Quality Objectives. 9. Aquatera stated that the Alberta Air Emission Standards for Electric Generation are applicable to natural gas-fired power plants, but would not apply to the proposed power plant because the primary fuel source for the power plant is intended to be landfill gas. Aquatera submitted that they had consulted with Alberta Environment and Sustainable Resource Development (AESRD) with respect to NO x emission limits and the applicability of the Alberta Air Emission Standards for Electric Generation. Aquatera also submitted that the AESRD is currently in the process of reviewing its Environmental Protection and Enhancement Act application and will make a decision on the NO x emission limit after reviewing the application and the air quality assessment. 10. Aquatera stated that it is wholly owned by the City of Grande Prairie, County of Grande Prairie No. 1 and the Town of Sexsmith. The City of Grande Prairie holds an absolute majority of both the issued common shares and the preferred shares; therefore, Aquatera is a subsidiary of the City of Grande Prairie. Aquatera submitted that it is in compliance with Section 95 of the Electric Utilities Act in that the generating units would be located on Aquatera s property and the electric energy to be produced by these units is incidental to the main purpose of the landfill site. Aquatera also submitted that it would use all the electrical energy produced within the landfill site and the water treatment plant at other Aquatera sites and in the city of Grand Prairie. 11. Aquatera provided an approval of generation facility, issued by the Market Surveillance Administrator (MSA), confirming the MSA s acceptance on Aquatera s compliance plan under Section 2 of the Municipal Own-use Generation Regulation. 12. Aquatera submitted that it conducted a participant involvement program for the power plant in February Personal consultations were conducted with landowners within 800 metres of the project and information packages were sent to 49 businesses within the County of Grande Prairie Industrial Park, Minhas Industrial Park, and Highway 40 Industrial Park. Unaddressed mail was also sent to 3,917 residents and landowners within a 2,100-metre radius. Aquatera stated that no concerns about the proposed power plant were raised. 3 Findings 13. The Commission has considered the application and finds that the application meets the information requirements stipulated in AUC Rule 007: Applications for Power Plants, Substations, Transmission Lines, Industrial System Designations and Hydro Developments. 14. The Commission finds that the noise impact assessment submitted by Aquatera fulfills the requirements of AUC Rule 012 and the proposed power plant will not exceed the permissible sound level. 2 AUC Decision (June 26, 2014)

5 2.85 MW Power Plant Aquatera Utilities Inc. 15. The Commission considers that Aquatera s participant involvement program is satisfactory. No public, industry or agency objections were received by Aquatera. Further, no objections or concerns were received in response to the notice of application issued by the Commission. As a result, the Commission considers that a hearing is not required for this application. 16. The Commission finds that Aquatera is in compliance with Section 95 of the Electric Utilities Act because it is a subsidiary of the City of Grande Prairie and the power plant is located on land owned by the City of Grande Prairie. Also, Aquatera has complied with sections 2 and 3 of the Municipal Own-use Generation Regulation because all of the electrical energy produced by the proposed power plant will be used by Aquatera and the City of Grande Prairie and Aquatera has received approval of its compliance plan from the MSA. 17. Furthermore, the Commission is satisfied that the environmental impacts of the proposed power plant are minimal since the power plant will be located within the water and wastewater treatment plant, and will use landfill gas that currently is being emitted into the environment. 18. As a result of the above findings, the Commission considers that the approval of the proposed power plant is in the public interest, pursuant to Section 17 of the Alberta Utilities Commission Act. 19. The Commission also considers that the requirements for the issuance of a connection order have been met for the proposed power plant. 4 Decision 20. Pursuant to Section 11 of the Hydro and Electric Energy Act, the Commission approves the application and grants Aquatera the approval set out in Appendix 1 Power Plant Approval No. U June 26, 2014 (Appendix 1 will be distributed separately). 21. Pursuant to Section 18 of the Hydro and Electric Energy Act, the Commission approves the application for a connection order and grants Aquatera the approval set out in Appendix 2 Connection Order No. U June 26, 2014 (Appendix 2 will be distributed separately). Dated on June 26, The Alberta Utilities Commission (original signed by) Henry van Egteren Commission Member AUC Decision (June 26, 2014) 3