Oct 22, 2020

NIPSCO announces three 900MW Indiana solar projects

Solar
Indiana
USA
Scott Birch
4 min
Three solar projects will begin construction in 2022 and be operational in 2022 and 2023
Three solar projects will begin construction in 2022 and be operational in 2022 and 2023...

Northern Indiana Public Service Company (NIPSCO), a subsidiary of NiSource, has announced that it will bring an additional 900MW to Indiana, via the Dunns Bridge I, Dunns Bridge II and Cavalry Solar Energy Centres, as part of its long-term generation strategy.

In a statement, NIPSCO says that it has finalised three build transfer agreements with subsidiaries of NextEra Energy Resources, a leader in renewables and energy storage. 

NIPSCO adds that the Indiana solar projects are expected to begin construction in 2022 and be operational in 2022 and 2023. NextEra Energy Resources will construct the projects, and NIPSCO will enter into joint ventures to own, operate and maintain some facets of these assets once construction is complete, the statement adds.

"The addition of these three solar projects and associated battery storage is an investment in the future of Indiana and the future of NIPSCO, as we deliver on our promise of bringing safe, reliable and affordable energy to our customers," says Mike Hooper, NIPSCO president. 

"Renewable technology continues to advance, and we are proud to be working with NextEra Energy Resources on the Dunns Bridge and Cavalry solar projects as we continue to implement our 'Your Energy, Your Future' plan.

Dunns Bridge Solar I 

The 265 MW solar project will be located in Jasper County. The project will include an estimated 900,000 solar panels and is expected to be operational in 2022. Dunns Bridge Solar will be capable of producing enough energy to power 79,500 homes.

Dunns Bridge Solar II

This project will have 435 MW of solar paired with 75 MW of battery storage and will also be located in Jasper County. The project will include an estimated 1,500,000 solar panels and is expected to be operational in 2023. Dunns Bridge II will be capable of producing enough energy to power 130,500 homes. Dunns Bridge Solar I & II are expected to generate approximately $59 million in additional tax revenue for Jasper County over the life of the projects and approximately 300 jobs during construction. This project was originally developed by Orion Wind Resources LLC, a joint venture between Orion Renewable Energy Group LLC and MAP® Energy. Learn more about Dunns Bridge Solar I & II at www.DunnsBridgeSolar.com. 

Cavalry Solar

This project will have 200 MW of solar with 60 MW of battery storage and will be located in White County. The project will include an estimated 650,000 solar panels and is expected to be operational in late 2023. Cavalry Solar will be capable of producing enough energy to power 60,000 homes. Cavalry Solar is expected to generate approximately $25 million in additional revenue for White County over the life of the project and approximately 200 jobs during construction. Learn more about Cavalry Solar at www.CavalrySolar.com.

Hooper adds that the investment in this new generation will bring economic benefits to the state of Indiana, including both construction and long-term operating and maintenance jobs, along with enhancing the county tax base.

"Jasper County is pleased to continue our long-term relationship with NIPSCO with the development of the Dunn's Bridge Solar Project," says Kendell Culp, Jasper County commissioner. "As the county continues to search for additional economic development projects in light of the coming retirement of the Schahfer Generating Station, we look forward to this new opportunity to bring stability to our county's tax base."

The statement explains that the Indiana-based Dunns Bridge I, Dunns Bridge II and Cavalry solar projects were selected through a Request for Proposal (RFP) solicitation that NIPSCO ran as part of its "Your Energy, Your Future" generation transition, which was announced in its 2018 Integrated Resource Plan (IRP).

Adding these three solar projects is the next step in bringing the plan to life, the statement notes. The company plans to be coal-free by 2028, adding a combination of cleaner energy sources to its existing portfolio, which includes natural gas and hydroelectric generation. 

It believes this generation transition will help deliver a more affordable, reliable and sustainable energy mix for NIPSCO customers for years to come – saving customers $4 billion over the long term. On average, this transition would save NIPSCO customers an estimated $105 per year, just by eliminating the fuel costs of running its coal-fired generating plants.  

Five renewable projects have previously been announced by NIPSCO, which include a combination of similar joint venture agreements and purchased power agreements. Two of the wind projects are near completion, including the Jordan Creek Wind Energy Centre, a subsidiary of NextEra Energy Resources. NIPSCO will purchase the power directly from Jordan Creek Wind.

The three latest projects were chosen following a comprehensive review of bids submitted through the all source RFP process that NIPSO underwent in 2019 – which continues to affirm the conclusions of the 2018 NIPSCO IRP, that wind and solar resources were shown to be lower cost options for customers compared to other energy resource options.

NIPSCO expects to announce additional renewable projects later this year.

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Jul 29, 2021

Carbon dioxide removal revenues worth £2bn a year by 2030

Energy
technology
CCUS
Netzero
Dominic Ellis
4 min
Engineered greenhouse gas removals will become "a major new infrastructure sector" in the coming decades says the UK's National Infrastructure Commission

Carbon dioxide removal revenues could reach £2bn a year by 2030 in the UK with costs per megatonne totalling up to £400 million, according to the National Infrastructure Commission

Engineered greenhouse gas removals will become "a major new infrastructure sector" in the coming decades - although costs are uncertain given removal technologies are in their infancy - and revenues could match that of the UK’s water sector by 2050. The Commission’s analysis suggests engineered removals technologies need to have capacity to remove five to ten megatonnes of carbon dioxide no later than 2030, and between 40 and 100 megatonnes by 2050.

The Commission states technologies fit into two categories: extracting carbon dioxide directly out of the air; and bioenergy with carbon capture technology – processing biomass to recapture carbon dioxide absorbed as the fuel grew. In both cases, the captured CO2 is then stored permanently out of the atmosphere, typically under the seabed.

The report sets out how the engineered removal and storage of carbon dioxide offers the most realistic way to mitigate the final slice of emissions expected to remain by the 2040s from sources that don’t currently have a decarbonisation solution, like aviation and agriculture. 

It stresses that the potential of these technologies is “not an excuse to delay necessary action elsewhere” and cannot replace efforts to reduce emissions from sectors like road transport or power, where removals would be a more expensive alternative.  

The critical role these technologies will play in meeting climate targets means government must rapidly kick start the sector so that it becomes viable by the 2030s, according to the report, which was commissioned by government in November 2020. 

Early movement by the UK to develop the expertise and capacity in greenhouse gas removal technologies could create a comparative advantage, with the prospect of other countries needing to procure the knowledge and skills the UK develops.

The Commission recommends that government should support the development of this new sector in the short term with policies that drive delivery of these technologies and create demand through obligations on polluting industries, which will over time enable a competitive market to develop. Robust independent regulation must also be put in place from the start to help build public and investor confidence.

While the burden of these costs could be shared by different parts of industries required to pay for removals or in part shared with government, the report acknowledges that, over the longer term, the aim should be to have polluting sectors pay for removals they need to reach carbon targets.

Polluting industries are likely to pass a proportion of the costs onto consumers. While those with bigger household expenditures will pay more than those on lower incomes, the report underlines that government will need to identify ways of protecting vulnerable consumers and to decide where in relevant industry supply chains the costs should fall.

Chair of the National Infrastructure Commission, Sir John Armitt, said taking steps to clean our air is something we’re going to have to get used to, just as we already manage our wastewater and household refuse. 

"While engineered removals will not be everyone’s favourite device in the toolkit, they are there for the hardest jobs. And in the overall project of mitigating our impact on the planet for the sake of generations to come, we need every tool we can find," he said.

“But to get close to having the sector operating where and when we need it to, the government needs to get ahead of the game now. The adaptive approach to market building we recommend will create the best environment for emerging technologies to develop quickly and show their worth, avoiding the need for government to pick winners. We know from the dramatic fall in the cost of renewables that this approach works and we must apply the lessons learned to this novel, but necessary, technology.” 

The Intergovernmental Panel on Climate Change and International Energy Agency estimate a global capacity for engineered removals of 2,000 to 16,000 megatonnes of carbon dioxide each year by 2050 will be needed in order to meet global reduction targets. 

Yesterday Summit Carbon Solutions received "a strategic investment" from John Deere to advance a major CCUS project (click here). The project will accelerate decarbonisation efforts across the agriculture industry by enabling the production of low carbon ethanol, resulting in the production of more sustainable food, feed, and fuel. Summit Carbon Solutions has partnered with 31 biorefineries across the Midwest United States to capture and permanently sequester their CO2 emissions.  

Cory Reed, President, Agriculture & Turf Division of John Deere, said: "Carbon neutral ethanol would have a positive impact on the environment and bolster the long-term sustainability of the agriculture industry. The work Summit Carbon Solutions is doing will be critical in delivering on these goals."

McKinsey highlights a number of CCUS methods which can drive CO2 to net zero:

  • Today’s leader: Enhanced oil recovery Among CO2 uses by industry, enhanced oil recovery leads the field. It accounts for around 90 percent of all CO2 usage today
  • Cementing in CO2 for the ages New processes could lock up CO2 permanently in concrete, “storing” CO2 in buildings, sidewalks, or anywhere else concrete is used
  • Carbon neutral fuel for jets Technically, CO2 could be used to create virtually any type of fuel. Through a chemical reaction, CO2 captured from industry can be combined with hydrogen to create synthetic gasoline, jet fuel, and diesel
  • Capturing CO2 from ambient air - anywhere Direct air capture (DAC) could push CO2 emissions into negative territory in a big way
  • The biomass-energy cycle: CO2 neutral or even negative Bioenergy with carbon capture and storage relies on nature to remove CO2 from the atmosphere for use elsewhere

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