Signalta Resources Limited

Transcription

1 Decision D Coaldale 6.4-Megawatt Cogeneration Station June 1, 2017

2 Alberta Utilities Commission Decision D Coaldale 6.4-Megawatt Cogeneration Station Proceeding Application A001 June 1, 2017 Published by the: Alberta Utilities Commission Fifth Avenue Place, Fourth Floor, 425 First Street S.W. Calgary, Alberta T2P 3L8 Telephone: Fax: Website:

3 Alberta Utilities Commission Calgary, Alberta Decision D Proceeding Coaldale 6.4-Megawatt Cogeneration Station Application A001 1 Decision summary 1. In this decision, the Alberta Utilities Commission must decide whether to approve an application from to construct and operate a power plant designated as the Coaldale 6.4-megawatt Cogeneration Station. After consideration of the record of the proceeding and for the reasons outlined in this decision, the Commission finds that approval of the project is in the public interest having regard to the social, economic, and other effects of the project, including its effect on the environment. 2 Introduction 2. (Signalta) filed an application with the Commission for approval to construct and operate a 6.4-megawatt (MW) natural gas-fired cogeneration station in the Coaldale area (the power plant), pursuant to Section 11 of the Hydro and Electric Energy Act. Signalta also applied for a connection order to connect the power plant to FortisAlberta Inc. s distribution system, pursuant to Section 18 of the Hydro and Electric Energy Act. The application was registered on February 2, 2017 as Application A The Commission issued a first round of information requests on February 27, 2017; Signalta responded on April 6, On April 28, 2017, the Commission issued a second round of information requests and a letter stating that the application would not be processed until written correspondence from Alberta Environment and Parks (AEP) with respect to environmental matters was provided. 1 Signalta responded to the second round of information requests on May 3, 2017 and written correspondence from AEP was filed on May 9, Discussion 4. The power plant would be located on the same project site as the Whole Leaf Farms Ltd. greenhouse in the northeast quarter of Section 18, Township 9, Range 19, west of the Fourth Meridian. The power plant would supply electricity, heat and gaseous carbon dioxide for CO 2 fertilization to the greenhouse. Excess electricity would be offered to the Alberta Interconnected Electric System. 1 2 Exhibit X0022, AUC Letter re Request for information, April 28, Exhibit X0026, AEP correspondence to AUC - re review of power plant, May 10, Decision D (June 1, 2017) 1

4 Coaldale 6.4-MW Cogeneration Station 5. Signalta proposed to construct the power plant in two stages. The first stage would consist of three, MW natural gas-fired internal combustion engines, and the second stage would consist of an additional three, MW natural gas-fired internal combustion engines, for a total capability of 6.4 MW. 6. The power plant would be connected to the distribution system via an approximately 400-metre 25-kilvolt distribution line built by FortisAlberta Inc., connecting the power plant to an existing FortisAlberta Inc. distribution line. 7. Signalta stated that it notified all landowners and interested parties within 2,000 metres of the project site and consulted with the County of Lethbridge, the Town of Coaldale, the Oldman River Regional Planning Commission and Alberta Transportation. The Alberta Electric System Operator and FortisAlberta Inc. were also notified of the proposed project. A letter of nonobjection from FortisAlberta Inc. was submitted as part of the application Signalta stated that the only concern expressed was from the County of Lethbridge regarding the project s storm water management plan. Signalta stated that a joint effort among the County of Lethbridge, AEP and Signalta addressed the concerns through development of a more detailed plan, and the County of Lethbridge issued the development permit with no residual concerns. Signalta stated there were no objections to the power plant itself. 9. Signalta submitted a noise impact assessment report prepared by Innova Global. In response to an information request to incorporate the exhaust stacks modelled at their corresponding heights, 4 Signalta filed a revised noise impact assessment report The project area falls within the South Saskatchewan Regional Plan The proposed power plant would be located on and surrounded by cultivated agricultural land. The project site would require no brushing and does not have any water courses, ponds or sensitive areas. 11. Signalta indicated that the power plant would comply with the Alberta Ambient Air Quality Objectives and Guidelines Summary. 12. Signalta stated that the Historical Resources Management Branch of Alberta Culture and Tourism reviewed the power plant proposal and concluded that there would be no affected listed sites and that a historical resources impact assessment would not be required. If any historic resources were encountered during land disturbances, Signalta would contact the Historical Resources Management Branch for further instructions. 13. In an information request, the Commission asked Signalta to provide written correspondence from AEP summarizing the results of AEP s initial review of Signalta s application for the power plant under the Environmental Protection and Enhancement Act. 6 In response, Signalta explained that although it was in ongoing discussions with AEP, AEP had not Exhibit X0001, Signalta AUC Letter of Non-Objection, February 2, Exhibit X0021, AUC Information Request - Round 2, Signalta-AUC-2017APR28-001, April 28, Exhibit X0025, NIA-001 Signalta Coaldale NIA, May 5, Exhibit X0018, Information_request-round1_0017_Signalta_Response, Signalta-AUC- 2017FEB27-004, April 6, Decision D (June 1, 2017)

5 Coaldale 6.4-MW Cogeneration Station yet provided a summary of the results of its initial review. On May 9, 2017, the Commission received correspondence from AEP stating that it had completed its review of the power plant for an industrial approval, and that the AEP application was deemed administratively and technically complete Due to the minor nature of the application, a notice of application was not issued. Consequently, a hearing was not required because the Commission considered that its decision or order would not directly and adversely affect the rights of a person pursuant to Section 9 of the Alberta Utilities Commission Act. 4 Findings 15. The Commission has determined that the technical, siting, emissions, environmental and noise aspects of the power plant have been met. Signalta s participant involvement program has been conducted and there are no outstanding public or industry objections or concerns. 16. The environmental impacts of this project are minimal because the project is located on cultivated agricultural lands with no wetlands, wildlife or fish habitat on the project site or close enough to be impacted. AEP has also reviewed an application for the project under the Environmental Protection and Enhancement Act and deemed it administratively and technically complete. 17. The revised noise impact assessment is considered complete and the predicted sound levels comply with the requirements of Rule 012: Noise Control. 18. With respect to the connection of the power plant to FortisAlberta Inc. s distribution system, Signalta submitted a letter of non-objection from FortisAlberta Inc. pending final execution of an interconnection agreement. 19. Based on the foregoing, the Commission considers the project to be in the public interest in accordance with Section 17 of the Alberta Utilities Commission Act. 5 Decision 20. Pursuant to Section 11 of the Hydro and Electric Energy Act, the Commission approves the application and grants Signalta the approval set out in Appendix 1 Power Plant Approval D June 1, 2017, to construct and operate the Coaldale 6.4-MW Cogeneration Station (Appendix 1 will be distributed separately). 7 Exhibit X0026, AEP correspondence to AUC - re review of power plant, May 5, Decision D (June 1, 2017) 3

6 Coaldale 6.4-MW Cogeneration Station 21. Pursuant to Section 18 of the Hydro and Electric Energy Act, the Commission approves the application and grants Signalta the approval set out in Appendix 2 Connection Order D June 1, 2017, to connect the power plant to FortisAlberta Inc. s distribution system (Appendix 2 will be distributed separately). Dated on June 1, 2017 Alberta Utilities Commission (original signed by) Anne Michaud Commission Member 4 Decision D (June 1, 2017)