VIsiting the nation's first greenfield commercial IGCC power plant

POWER-GEN International 2010 got off to a quick start Monday morning when I, along with 45 other show and conference attendees, had the opportunity to tour the 260 MW Polk Power Station, the nation's first greenfield integrated coal gasification combined-cycle (IGCC) power plant.

The Tampa Electric Co.-owned Polk Power Station was constructed on a 4,300- acre piece of land that was once used for phosphate mines. The IGCC plant, referred to as Unit 1, is a first-of-its-kind combination of two technologies, coal gasification and combined-cycle, that began commercial operations in 1996.

Oxygen-blown gasification, a technology originally developed by Texaco and then purchased by General Electric, combines coal that is stored on-site in two 5,000 tons silos at the Polk plant with oxygen in the 40-foot-tall GE gasifier to produce the fuel syngas. After processing, the clean coal gas is used in the GE 7FA combustion turbine to produce electricity.

To generate even more power at the same plant, the combined-cycle design takes the "waste" exhaust heat from the 7F turbine, recovers it in the HRSG to produce high-pressure steam that then passes through GE D11 steam turbine. When firing with syngas, the IGCC heat rate at Polk is about 9,300 Btu/kWh.

Vernon Shorter, a consultant for TECO who led the plant tour, said power providers “should consider this technology because of the environmental benefits and efficiency.”

Built with $140 million of support from the U.S. Department of Energy as part of its Clean Coal Technology program, the Polk station operates at 90 percent availability with over 98 percent SO2 reduction, and 90 percent NOX control. The plant is also considered zero process water discharge, which DOE recognized as among the world’s cleanest. The combined-cycle technology requires less cooling water than conventional technology and TECO was able to modify the existing mine cuts to act as the plant’s cooling reservoir. And in March 2009, TECO established an agreement with the City of Lakeland and the Southwest Florida Water Management District to supply Polk Power Station with up to five million gallons of treated reclaimed water daily that would otherwise be discharged into Tampa Bay.

For TECO to meet summer demand, the Polk station has four additional simple cycle GE 7FA combustion turbines on site that were brought online between 2000 and 2007. Unit 2 and Unit 3 are 180 MW duel fuel turbines that are fired with natural gas and distillate oil, while the 160 MW Units 4 and 5 operate using only natural gas.

The Polk IGCC station has operated on over 20 different fuels, including coals, coal blends, coal/petroleum coke blends and coal/coke/biomass blends.

“This plant has produced more megawatts than any other IGCC plant in the world,” said Shorter.

Although the plant was not in operation the day we toured it due to a problem with the sulfur removal plant, an occurrence that is rare, added Shorter, the tour was informational. It was my first tour of an IGCC facility, along with many of the other visitors, and I recommend visiting the facility if the opportunity ever becomes available.

Oyster Creek plant closing, will others follow?

On Dec. 8, Exelon announced that the Oyster Creek nuclear power generating facility in New Jersey will be shut down by 2019, roughly 10 years before the plant’s operating license expires. The 619 MW Exelon-owned nuclear plant, the oldest in the U.S., is shutting down instead of building cooling towers that the New Jersey Department of Environmental Protection has been pushing for. Exelon’s Chief Nuclear Officer, Christopher M. Crane, told the New York Times that installing cooling towers “would cost us significantly more than the current value of the plant.”

Exelon received an estimate in 2006 that it would cost $700 to $800 million for the 40-year old plant to install cooling towers. Because every nuclear plant is unique, cooling towers must be designed specifically for each site. When I spoke with plant spokesman David Benson for a story in the October issue of Power Engineering magazine, he also said the retrofit estimate is “more than the plant is worth.”

“If we were forced to put up cooling towers, we would have to close the plant.”

Now, it appears that Benson was correct. Many nuclear power plants in the United States are going through feasibility studies to consider technologies to comply with an expected revision to Section 316(b) of the Clean Water Act, which sets out rules related to fish impingement and entrainment. 316(b) requires that the location, design, construction and capacity of cooling water intake reflect the best available technology for minimizing the environmental impact on fish and other aquatic life. Regulations for existing facilities under section 316(b) were previously made known in both 2004 and 2006 under Phase II. Litigation followed both of these actions, and now EPA is looking to combine and re-proclaim rules for all existing cooling water intake structure facilities.

The biggest push has been for power plants to install cooling towers to reduce the amount of water used to cool the plants. EPA estimates that over 200 billion gallons of water per day are withdrawn by manufacturing facilities and power plants.

But Benson said Exelon has made investments over a number of years to reduce the plant’s impact on Barnegat Bay, the body of water that the plant uses for cooling. According to Benson, “DEP has pointed out that we have wedge wire technology that is as good as it gets and we are always looking for updated technology.”

After Oyster Creek is closed by the end of 2019, Exelon will take about two years to put its components in layup. The company has about $750 million for decommissioning, but will not tear down the plant for at least 10 years after closure.

This announcement comes on the same day that The Brattle Group, an economic consulting firm, released a report that said around 11,000 to 12,000 MW of coal-fired generation could retire if cooling towers are mandated.

So the U.S. could see large amounts of power generation begin to go offline, like Oyster Creek, if the EPA does require plants to install cooling tower technology. Although the rule would not pertain to only nuclear plants, in the U.S. 35 of the 104 active nuclear power reactors currently use closed-cycle cooling towers while 60 use once-through cooling technology. EPA said that while their information on impact is limited, the agency claims it does know that trillions of aquatic organisms are impinged or entrained annually. EPA also said that 40 percent of all cooling water intakes are on water bodies that have threatened or engaged species.

“If the new rule is prescriptive and states that everyone needs to install cooling towers, that is huge for the industry,” said Greg Allen, director of environmental and engineering services for Alden Research Laboratory. “It is very difficult to retrofit cooling towers at existing plants.”

So now the power industry must wait for EPA to make a decision on 316(b) in order to determine the fate of numerous power plants. Retrofits may be an option for some plants. But like Benson and Crane said, it can also be expensive. EPA is finalizing an estimation of the proposed rule's likely cost and plans to issue a final rule in mid-2012.

Grabbing the Headlines

New build. Small reactors. Life extension. These are topics that continued to grab headlines throughout 2010 surrounding the nuclear power industry.

In the U.S. alone, the Nuclear Regulatory Commission has received 13 applications to license 22 new reactors. And with the Southern Co.-led consortium receiving the first conditional loan guarantee from the federal government, new build seemed to be moving forward in the U.S. But as utilities and vendors both wait, the Department of Energy has yet to hand out another loan guarantee to any others seeking to build the first new nuclear reactor in the U.S. It seemed that DOE was on the verge until Constellation Energy backed out on plans to build a new reactor in Maryland.

At the NUCLEAR POWER International conference this year new build will be one of the topics discussed during the three-days of sessions in Orlando, Fla.

“The main drivers for nuclear expansion, both globally and in North America, have not changed,” said Deva Chari, Westinghouse senior vice president of nuclear power plants, during the November Nuclear Power Executive Roundtable discussion in Power Engineering magazine. “The global need for energy, and particularly for electricity, will continue to grow, environmental issues and greenhouse gas emissions will continue to be a concern, and countries and regions will continue to be concerned about the security of their energy supplies.”

New reactor designs that are generating interest in commercial power circles throughout the world will be discussed in a session headed by four industry experts.

“There are some applications where a small reactor may make sense assuming there is some significant change in regulatory framework that can be made,” said Areva Senior Vice President of U.S. new build operations Mark Marano, whom also participated in the Nuclear Power Executive Roundtable discussion. “But the main challenge for the small modular reactor technology will be their ability to be competitive in this regulatory environment.’

Outside of new build and new reactor designs, nuclear power plant operators and the NRC work together to achieve license renewals for nuclear facilities. Currently, the NRC has approved license renewals for 57 of the 104 operating reactors in the U.S. Another conference session will discuss the everyday challenges that operators face in terms of safely operating and maintaining the aging nuclear fleet while preparing for life extension projects of nuclear reactors. And when completing those projects, Entergy Nuclear CEO and Chief Nuclear Officer John Herron said predictability and stability are key to both the license renewal process and the new nuclear licensing.

“For anybody to want to go and invest in nuclear, and bet your company on the size of an investment that may be the market cap of the company, you have to have regulatory predictability and stability,” he said. “I would tell you that we have a long way to go in that area.”

This year has been active for the nuclear power industry and with the possibility of more funding from the DOE for nuclear power, 2011 shows no signs of slowing down. At NUCLEAR POWER International attendees will get to discuss some of the new activities and challenges that face the nuclear power industry. And according to Herron, “with respect to clean, baseload energy, nuclear is the only way to go.”

I look forward to meeting you in Orlando!

The fate of nuclear power after midterm elections

In the largest shift of power since 1948, Republicans took over the U.S. House on midterm election night. And the nuclear industry could benefit from the Republican takeover as part of the clean energy legislation.

In a statement released the morning of Election Day, Don Gillispie, CEO of Alternate Energy Holdings, Inc., said that if Republicans won, the other big winner would be nuclear power. Well, we do know that Republicans have won the House and have made up ground in the Senate as well, even though Democrats still hold the majority.

Historically there has been more support from Republicans for nuclear power. But Steve Corneli, senior vice president of market and climate policy for NRG Energy, said there is an increasing awareness from Democrats that nuclear power can be an important part of energy independence and a zero-carbon emission future.

Michigan representative Fred Upton, like many Republicans, is a supporter of nuclear power in the U.S. Upton is also a strong contender to head the House Energy and Commerce Committee; the committee that sees over the national energy policy.

"Through a greater commitment to nuclear, we have a unique opportunity to cut greenhouse gases, provide stability to our electrical supply and create jobs," Upton told Reuters.

John Boehner (R-OH) is expected to take over as the new Speaker of the House and is also a strong proponent of nuclear power.

"The new Congress will be more pro-nuclear than any Congress we've seen in decades," said Gillispie.

And President Obama continues to promote nuclear power, too.

“There’s been discussion about how we can restart our nuclear industry as a means of reducing our dependence on foreign oil and reducing greenhouse gases,” Obama said during a speech the day after the midterm elections. “Is that an area where we can move forward?”

As of now, that seems to be possible. The White House has requested an additional $36 billion in federal loan guarantees for new nuclear plants and it seems that Republicans are likely to support the measure, even with a big focus during the campaign on reducing government spending.

But Corneli said the interesting part is that the important policy measures that are needed to help jump start the nuclear renaissance are the ones with the lowest cost to federal treasury, and those are the federal loan guarantees, “which really don’t cost the treasury anything.”

“Essentially it is self-financing,” he said. “It seems like the stars could be lining up right now for a boost in nuclear power development.”

Corneli said nuclear is established and the existing fleet of nuclear reactors provide the lowest cost power currently on the grid, but there hasn’t been a new plant built in roughly 30 years.
“We actually think that nuclear power has the potential to be the real foundation of clean energy technology,” he said.

Gillispie seems to agree.

“When the history of nuclear power is written, Nov. 2, 2010 will be a major turning point for the industry," said Gillispie. "It will mark the beginning of a dramatic resurgence for nuclear power."

Can nuclear plants operate beyond 60 years?

The United States clearly wants to lower emissions from power generation facilities and of the 104 operating emission-free nuclear reactors in the United States, about half of them are more than 30 years old. Nuclear plants in the U.S. are initially licensed for 40 years of operation and have the ability to receive a license extension for 20 additional years of power generation. While more than half of the reactors have received extensions, and most of the remaining plants are expected to as well, the question now is, “Can these nuclear power plants operate beyond 60 years?”

A survey conducted by the Electric Power Research Institute in early-2010 of executives representing 57 of the 104 operating units found that more than 60 percent believe there was a greater than 75 percent likelihood of extending operations beyond 60 years to 80 years and beyond.

Recognizing the challenges facing the extension of plant operation from 60 to 80 years and beyond, EPRI launched the Long-Term Operation project to “provide value by identifying and developing research and development activities that will provide the technical basis for license renewal beyond 60 years and for extended high-performance operation.” Along with EPRI, the Department of Energy, the Nuclear Regulatory Commission, some U.S. and international utilities and industry vendors are participating to modernize and improve plant operations, as an example.

Maria Korsnick, chief nuclear office and senior vice president of Constellation Energy Nuclear Group, said the goal is to harness the “known benefits of nuclear power, which right now provides more than 70 percent of emission free electricity in the U.S.”

Korsnick said it is an opportunity for Constellation, as they still have very much life in their current license, to look ahead and understand what potential issues could be present. Constellation currently operates two of the oldest reactors in the fleet, Nine Mile Point 1 and Ginna, both of which turned 40-years-old last year.

Neil Wilmshurst, chief nuclear office and vice president of EPRI, said the LTO project “is around helping us all understand what challenges may be in front of us to secure continued operation of the existing fleet.”

He said technical issues have arisen and will continue to rise which has lead to EPRI deploying an Issue Tracking Table – a live document that is updated when new issues and questions come to light. Wilmshurst said that one key area that EPRI is gathering more information on is the issue of concrete aging. EPRI does not currently see concrete aging is a problem, but do acknowledge that they “need to understand what aging is in order to answer any questions regulators may have during the relicensing process.”

And the relicensing of a plant to extend its life to 80 years or beyond could be significantly more difficult than the first round of relicensing, according to Korsnick.
She said that unlike the first round of relicensing, which involved an inspection of the plant, she “would envision that going from a 60 to 80 year time frame would be an ongoing inspection of the plant to insure the fact they are aging as you have estimated.”

And she does have some experience in the field of relicensing as she was working with Calvert Cliffs when it became the first plant to submit for original license renewal.

Both Korsnick and Wilmshurst agree that nuclear has be a part of the generation mix in order to combat climate change and to achieve CO2 reduction.

“Nuclear can’t answer the whole problem,” said Wilmshurst. “But it is hard for us to envision CO2 reduction happening without sustained nuclear generation out into the future,” especially operating at 90 percent capacity.

Korsnick said the country still needs new nuclear plants to take shape, but did say they may be built at a slower rate perhaps than forecasted just a few years ago.

Nevertheless, “there is a compatibility, if you will, between the construction of new nuclear as well as the extension of our current operating assets,” she said. “A combination of extending the life of current assets as well as new technology positions us strategically as a nation for success.”

Remember the Past

The expansion of nuclear power globally was front-and-center on Day 1 of the 3rd Annual Nuclear Power Congress in Atlanta. Like travelers’ flights getting to the conference, some around the industry seem to believe the "renaissance" of nuclear power generation is in a delay.

With a continued increase in power demand and growing environmental concerns, 65 countries in the world are now interested in developing new nuclear said Stephen Kidd, director of strategy and research for the World Nuclear Association.

“By 2030, I think we have to accept that there are a lot of uncertainties about where nuclear power is going to go,” he said.

The three regions that house the largest amount of nuclear reactors are the east coast of North America, western Europe and east Asia, specifically Korea and Japan. But China and India are both planning major growth, with 24 reactors currently under construction in China.

While the U.S. does not have the build out taking place like China, dirt is moving for new reactors. And cost is always brought up when talking about new build in the U.S. Commissioner Stan Wise of the Georgia Public Service Commission said that while rates may go up for Southern during construction, being in a regulated market, “Five to 10 to 20 years from now, that is where we benefit from new nuclear.”

Other than cost, licensing in the U.S. is a large topic of discussion at the Nuclear Power Congress. Chuck Pierce, AP1000 licensing manager for Southern Nuclear Operating Co., summed it up great with a quote from George Santayana.

“Those who cannot remember the past are condemned to repeat it,” the quote read.

Dealing with regulatory changes following the 1979 accident at Three Mile Island, Vogtle Units 1 and 2 ran into construction delays and cost far more than expected. Today, state regulators are monitoring cost and construction as the Southern Co.-led consortium moves forward with plans to add Units 3 and 4, adding potentially another 2,200 MW of generating capacity.

And Pierce mentioned the Institute of Nuclear Power Operations (INPO) Principles for Excellence in Nuclear Power Construction:

1) Leaders Demonstrate Alignment on a Commitment to Excellence
2) Strong First-Line Supervision is Key to Success
3) Personnel are Qualified for Their Jobs
4) Schedules are Realistic and Understood
5) Construction of a Nuclear Plant has Special Requirements
6) Personnel Safety is Highly Valued
7) The Plant is Built as Designed
8) Deviations and Concerns are Identified, Communicated, and Resolved
9) Transition to Plant Operation is Started Early

Meeting these principles, or goals, are important to avoid consequences of mistakes in nuclear construction; consequences that Edward Finley, chairman at the North Carolina Utility Commission, said are much more devastating at nuclear plants than at other power generation facilities.

And the Nuclear Regulatory Commission is helping in the process. The agency has increased the workforce from 3,000 in 2004 to 4,000 in 2008, said Luis Reyes, regional administrator for the NRC. And the NRC is now “more hands-on than it was in the 70s and 80s.”

So the message was clear; learn from the past to succeed in new nuclear build out. And Finley said there is a “much improved process today, as had in the past.”

Someone will get the loan, right?

Over the last few days, two recent developments in the wait for the final Department of Energy loan guarantee have sparked conversation.

According to reports, the Japan Bank for International Cooperation (JBIC) plans to lend up to $4 billion to fund the NRG South Texas nuclear project. If this loan goes through it would be the country’s first state financing for an atomic power station abroad. But for the government-run bank to hand over any cash to fund the project, it must be guaranteed by the U.S. government. This loan deal could encourage utilities to invest in nuclear projects abroad which would support Prime Minister Naoto Kan’s goal of exporting infrastructure to boost the Japanese economy.

In the second development, The Washington Post reported that Constellation Energy is in disagreement with its French partner, Electricite de France, over a business deal. Both Constellation and EDF are equal partners in UniStar. UniStar wants to build a fleet of new reactors in the U.S. starting with a third unit at Constellation’s Calvert Cliffs plant in Maryland.

The disagreement reportedly stems from the $2 billion option that would force EDF to buy several of Constellation’s gas, coal and hydro plants. Like the South Texas project, Calvert Cliffs is waiting on a decision from the DOE on the federal loan guarantee.

I interviewed Mark Marano, Areva senior vice president of U.S. new build operations, for Power Engineering magazine’s Nuclear Power Executive Roundtable being published in the November issue.

“Both UniStar and NRG have been forced to scale back due to delays in receiving the conditional loan guarantees. The delay will clearly slow any efforts to spur any growth and any investment and any creation of jobs,” he said. “And the result sadly enough - we won’t be just talking about stimulating and adding jobs - the lack of action on loan guarantees could inherently cause the reverse reaction which is just the opposite of what its intent was.”

The November issue of Power Engineering magazine features my complete roundtable discussions with five industry experts. Among the topics discussed: Federal Loan Guarantees.

The industry as a whole and especially those looking at new build out continue to wait to see what the DOE’s next move is. But someone will get the loan, right?

Stay tuned.

Nuclear waste can be stored safely for up 60 years after life of reactor, says NRC

16 September 2010 - Radioactive waste from nuclear power plants can be stored safely for up to 60 years beyond the licensed life of a reactor.

The Nuclear Regulatory Commission released this finding this week and approved final revisions to its “Waste Confidence” regulation, previously stating waste could be stored safely for 30 years.

“The extension of the original language of 30 years to 60 years is the reflection of increased confidence in the confidence of the casks. When the 30-year period was written the casks were still a fairly new system,” said NRC spokesperson David McIntyre.

This all comes at a time when regulators are still considering the fate of Yucca Mountain in Nev., a proposed repository for nuclear waste that the Department of Energy has motioned to withdraw its application from. The original waste confidence regulation stated that the Commission was confident that there would be at least one operational mined geological repository in the first quarter of the 21st century. While the Obama administration has stopped the Yucca Mountain project for the time being, President Obama has asked a panel of experts to recommend alternatives; recommendations that are not due until January 2012. So the Commission has removed language discussing the operation of a permanent repository and stated that “sufficient repository capacity will be available when necessary.” The NRC did emphasize that the revisions of the waste confidence findings and rule are not intended to signal an endorsement of indefinite storage of spent fuel at reactor sites.

"Today the commission affirmed our confidence that spent nuclear fuel can be stored safely and securely without significant environmental impacts for at least 60 years after operation at any nuclear power plant." said NRC Chairman Gregory B. Jaczko in a prepared statement. “We also directed the NRC staff to conduct additional analysis for longer-term storage to ensure that we remain fully informed by current circumstances and scientific knowledge relating to spent fuel storage and disposal.”

This finding also comes at a time when new nuclear build is grabbing the headlines in the media surrounding the nuclear power industry. Federal loan guarantees are in place for new nuclear power plants to be constructed which can reduce greenhouse gas emissions in the U.S. due to the fact that nuclear plants do not emit carbon dioxide. This new rule could possibly eliminate some concerns about waste storage in the U.S. as part of the licensing new facilities; a concern that opposition to nuclear power tends to bring up. Currently NRC has received 13 applications to license 22 new reactors.

McIntyre said that with another decade of experience along with additional testing, monitoring and looking at security aspects after 9/11 it gives the NRC extra confidence in the casks design from a long term safety standpoint. He continued on to say that since the waste can be stored safely, waste storage is not an issue that opponents of nuclear plants can contest in an adjunction hearing.

The NRC has 60 days to incorporate the revisions to the Waste Confidence rule.

"Coal is base load generation king in the U.S."

August 10, 2010 - Tuesday morning's keynote session at COAL-GEN 2010 featured three informative speakers that opened up continued dialogue between the delegates across the exhibition floor. James Wood from the Department of Energy, Dr. Robert Wayland from the Environmental Protection Agency and Penn State Social Science Professor Frank Clemente all delivered insightful speeches on not only the current and future status of coal-fired generation, but energy as a whole.

As the U.S. population grows the need for electricity will continue to rise and coal is going to be in the mix of power generation. Prof. Clemente described during his presentation that by the year 2030 four billion people globally will get 40 percent of their electricity from coal-based generation. Just here in the U.S. coal represents almost 50 percent of the total power generation. But as the power providers continue to burn coal and companies look to build new coal-fired plants, there are regulations in place to cut down on emissions. EPA is working on several National Air Quality Standards that will reduce the amount of nitrogen oxide, sulfur dioxide, carbon monoxide, particulate matter released. EPA has also proposed to strengthen the 8-hour primary ozone standard to a level within the range of 0.060-0.070 parts per million (ppm) to protect public health. And for companies operating coal-fired plants they may have to comply with the new standards being set forth by EPA.

EPA has created an Integrated Utility Strategy that has the vision of an electric power sector in a clean energy economy. All pieces of the larger puzzle are the newly proposed Transport Rule that covers 31 states and D.C., utility MACT (maximum achievable control technology), New Source Performance Standards (NSPS) along with regulations from the Office of Water and Office of Resource Conservation and Recovery. But retrofitting plants to meet new standards is not cheap.

"It's sure true that if coal based generation is going to stay as base load in the U.S. the technologies that will need to be put in place for carbon capture and sequestration will have to be competitive in capital and operating costs," said Wood.

And Dr. Wayland stated that in order to avoid wasting investment and stranding assets the process has to be completed in a sequence and timely manner.

“There is new data coming in now to be used in the new MACT rule,” said Wayland.
And while companies will attempt to comply with new EPA standards in the future, Prof. Clemente insisted that coal is the answer for electricity generation in the U.S. Currently over 20 states get 45 percent of their power generation from what Prof. Clemente described as an energy secured, versatile fuel.

So what does the next 20 years look like for coal generation? No one can be so sure to say that they know exactly where the industry will stand but both Wood and Wayland stated that by the 2030 timeframe coal-fired plants should be in the mid-40 range for efficiency and be achieving zero emissions. When Power Engineering Chief Editor asked Wayland if zero emission is achievable, the answer was “by 2020 to 2030, yes it is.”

And while natural gas plants continue to come online in the U.S. along with renewables, "coal is base load generation king in the U.S,” said Wayland.

Bruce Mansfield Power Plant Tour

August 9, 2010 - To kick off COAL-GEN 2010, Monday morning I had the privilege of touring FirstEnergy's largest coal-fired power plant, the Bruce Mansfield station in Shippingport, Pa. The Bruce Mansfield plant is one of 7 fossil plants that FirstEnergy owns and operates and almost 40 COAL-GEN delegates took the 45 minute bus ride to attend the tour as well.

The three unit 2,460 MW station is situated along the Ohio River about 25 miles northwest of Pittsburgh. Unit 1, which was completed in 1976, generates 830 MW. Unit 2 came online a year later and also generates 830 MW. And 800 MW capacity Unit 3 came online in 1980. Upon arrival the generous hosts at FirstEnergy greeted us with a short introductory video and the tour was underway. Our tour guides, Jeff and Doug, gave us the full tour through the turbine room, the control room, past the pulverizers and boilers and even up to the roof of the plant. The entire tour was very informative but my personal favorite was getting out onto the roof of the plant. Although going up to the 17th floor was hotter than anything I have ever experienced, including humid Oklahoma summers, the view from the top was spectacular.

From the roof we could see the operation of the plant. As well as a never-ending view down the Ohio River. On the river sit coal unloading stations for barges that deliver about 3,000 tons of coal per hour. The birds'-eye-view also gave us the opportunity to see the huge coal yard. A large coal yard is needed because the Bruce Mansfield plant burns nearly 24,000 tons of coal per day and more than 7 million tons annually.

Looking down on the air quality control systems (AQCS) we had the opportunity to see the scrubbers and absorbers between the boilers and the 950-foot tall chimney for Units 1 and 2. Unit 3 is equipped with with a precipiatator/absorber system consisting of four electrostatic precipitators, four induced draft fans, five parallel absorber modules and a 600-foot tall stack. All three units use Selective Catalytic Reduction systems to eliminate about 90 percent of nitrogen oxides from the flue gases. And with the use of the AQCS the Bruce Mansfield station removes 92 percent of sulfur dioxide from boiler flue gas.

A lot of people tend to refer to power plants by the "huge, clouds of smoke" coming from enormous towers. Although those plumes are not smoke, the towers are large and are attached to a plant. And the Bruce Mansfield plant does use cooling towers. The plant uses about 70 million gallons of water per day from the Ohio River. Three 410-foot cooling towers reduce the temperature of about 310,000 gallons of water per minute by 27 degrees. Cooling towers are so synonymous with power plants that it was only appropriate to take the group picture standing underneath the large structures.

I can say the tour of the Bruce Mansfield plant was enjoyable for all participants, including myself. The 40 delegates from all over the globe were very enthusiastic about the operations of the plant and that made being the technical tour leader that much more enjoyable.

The U.S. nuclear renaissance coming to an end already?

August, 4 2010 - While the United States nuclear industry is continuing on its path to expand, there seems to be a roadblock for some companies. Cost. The capital cost for nuclear power plants is not cheap and this had led to some companies cutting back spending and even looking at canceling planned new nuclear development.

NRG Energy Inc. said it would cut spending on two new reactors planned at the South Texas Project from $7.5 million a month in July to $1.5 million a month. But NRG isn’t alone. Constellation Energy Group announced in late July it would cut spending on the planned Calvert Cliffs III reactor in Maryland. Both are waiting on a decision from the Department of Energy for a federal loan guarantee. Constellation has even stated it could completely shut down operations in Maryland by the end of the year if it hadn’t received a federal guarantee.

“This shows you the difficulty in this market and how important the loan program is to supporting the projects and getting them off the ground,” said Leslie Kass, Nuclear Energy Institute senior director of business policy and programs.

Since the DOE awarded Southern Co. an $8.3 billion loan guarantee in February for the Plant Vogtle project, NRG Energy, Constellation and Scana Corp. have been in competition for the remaining guarantee. DOE only has about $10 billion remaining of guaranteed money, enough for only one project.

“There is a challenge since they only have the funding for one project and it is very difficult to select just one when they are all so good,” said Kass. “And splitting it (the only current remaining loan guarantee) three ways does nobody any good.’

But Southern Co.’s loan was awarded almost six months ago. Why the holdup for the next announcement?

The DOE said that before a conditional commitment can be offered each project is thoroughly reviewed by the DOE’s Loan Program Office from a financial, environmental, legal and feasibility standpoint. While the DOE reviews each project, each company waits.

And those companies are waiting on the conditional commitment, not the money. But Kass thinks that a conditional commitment is enough to give them faith to go forward but “if they don’t have a clear path to financing, which is extremely difficult in a merchant market right now, they simply have to be prudent.”

And the DOE said their first priority is to minimize risk to taxpayers.

But being in a rate regulated market, Scana is different form NRG and Constellation. Scana can recover financing costs and return on equity as they go through the public service commission. The loan guarantee program improves cash flow and helps with ratings and its can give them another mechanism for support that is not available in the merchant markets.

“This is a good program for them because it can help save money for rate payers, but it is not as essential as it is for merchant plants,” said Kass.

Having already spent about $1 billion, Kass said Scana is going to continue to move forward with the already in progress construction as they wait on both DOE’s decision on the loan guarantee and NRC’s decision on a license.

As stated, NRG will continue to spend, but just not a much. If Constellation does not receive the loan guarantee, could this be the first company to put the brakes on the nuclear renaissance in the U.S.? Or will Congress increase funding levels for the loan guarantee program?

As the industry as a whole waits to see what happens next, DOE did tell me “we hope to make a nuclear loan announcement soon.”

Let's meet in Pittsburgh!

July 22 - In just a matter of weeks the coal industry will get the opportunity to come together and discuss anything and everything related to coal-fired power generation. An anticipated crowd of over 4,500 attendees and 350 exhibitors will converge upon the David L. Lawrence Center in Pittsburgh, Pa. Aug. 8-12 for COAL-GEN 2010. This year marks the 10th anniversary for the industry’s most informative event. The sessions during COAL-GEN 2010 will cover all the latest topics that affect the design, development, upgrading and operation and maintenance of coal-fired power plants. During the conference, attendees will get the chance to listen to industry leaders discuss topics ranging from “co-firing coal and biomass” to “NOx control regulation and dry SOx control technologies” to “boiler optimization innovations.”

Kicking off the stay in Pittsburgh, on Monday morning I get the privilege of hosting the technical tour at the Bruce Mansfield Power Station for Power Engineering magazine. I, along with other COAL-GEN 2010 attendees, will get to see the 2,460 MW capacity station up close, inside and out. The plant, which uses more than seven million tons of coal annually and has three separate coal-fired units, will be a great place to start off the stay in The ‘Burgh.

The keynote session on Tuesday morning provides three outstanding speakers for conference ‘goers to listen to:

Mr. James F. Woods is the Deputy Assistant Secretary for Clean Coal in the Office of Fossil Energy at the Department of Energy. With over 30 years of experience in the power industry, he is responsible for the management and direction of the Office’s clean coal research and development programs.

Dr. Robert Wayland is the Leader of the Combustion Group for the U.S. Environmental Protection Agency’s Office of Air Quality Planning and Standards. Having over 20 years experience in air quality programs, Dr. Wayland manages the development of air regulations for industrial and utility combustion sources. He is also involved in the Agency’s development of multi-pollutant emissions strategy for the utility sector which includes the final Clean Air Interstate Rule.

Professor Frank Clemente, a professor of Social Science at Penn State University, is the former Director of the university’s Environmental Policy Center. Prof. Clemente has published more than 100 articles in energy related media and his research has been funded by the National Science Foundation, Rockefeller Foundation and Ford Foundation.

All three speakers will have very timely topics for us all to listen and take notes to. I am excited to attend this event and expand my knowledge on not just the coal-fired generation aspect of power generation, but power generation as a whole.

I hope to see you in Pittsburgh!

For a complete list of conference activities, log onto the COAL-GEN 2010 website.

Nuclear Renaissance in the U.S.?

July 13, 2010

With the oil crisis in the Gulf and the newly released transport rule from the EPA calling for reductions in SO2 and NOx emissions that would cross state lines, the nuclear renaissance conversation seems to be picking up again in the States. But Westinghouse Senior Vice President of Nuclear Power Plants Deva Chari said the oil spill in the Gulf will no have no impact, whether positive or negative, on the future of nuclear power generation.

Learning lessons from the Three Mile Island accident, the nuclear industry is gaining interest in the U.S. That is shown with the 18 applications for operating licenses submitted to the NRC over the last three years. Thirteen of those applications are currently under review by the NRC.

“The future is extremely bright,” said Chari.

And the Obama administration has made it clear that it will support new nuclear plants in this country. On Feb. 16, President Obama awarded the first loan guarantee for a nuclear plant under the provisions of the Energy Policy Act of 2005. The award of $8.3 billion for two additional reactors at the Vogtle plant in Georgia is conditional until the plant receives the combine construction and operating license from the NRC, which is expected in 2011.

“This is so important not just for Georgia, not just for Georgia Power, but it is important I think for the future of nuclear power in this country,” said Georgia Public Service Commissioner Stan Wise.

Another major developing project in the U.S. is at the V.C. Summer plant in South Carolina. South Carolina Electric and Gas plans to build two new Westinghouse AP1000 reactors to add on to the current 966 MW being produced. If the NRC issues the construction license in 2011 then SCE&G plan to bring the first of the new units online in 2016.

NEI Senior Director of Business Policy and Programs Leslie Kass said they see new construction getting off the ground with more fully developed construction schedules.

“Depending on how those projects go, and we expect them to go very well, we think things will take off,” said Kass.

If the industry does get the boost it needs, Kass thinks we will see four to eight plants online by the 2016-2020 timeframe with companies taking steps to get back into the market when more financial recovery happens.

So it seems to be a talking point right now in the industry that we can expect to see a nuclear renaissance in the U.S. But hasn’t this conversation come up in the past? And if the U.S. is going to see a nuclear renaissance, then the next question is how large.

In the September issue of Nuclear Power International I will be reporting on new projects taking place both in the United States and internationally. Focusing on cost, my discussions with nuclear power executives will give us a better picture of where the industry is moving from here.

Chattanooga, Tenn.

Located at the base of Lookout Mountain is Chattanooga, Tenn., the fourth-largest city in the state. The town of 496,000 people has a vast history of being known as a manufacturing town since the arrival of the railroad in 1850. Showing resilience, the city of Chattanooga has survived tough times such as the American Civil War and massive floods, especially the flood of 1867 which is thought to be the worst in the cities long history. But the workforce in Chattanooga has always been strong and city mayor Ron Littlefield said “manufacturing has always been in the DNA of the community.” During the 1970s and 1980s Chattanooga focused heavily on cleaning the air and water in the city that Walter Cronkite described as the most polluted city in America in 1969.

Fast forward to 2010 and Chattanooga is home to some of the top power generation companies such as the Tennessee Valley Authority (TVA), SIAG Aerisyn, Alstom and Westinghouse. And this week brought another milestone to the city’s development of power generation facilities. Having the opportunity to visit Chattanooga this week, I got to see the grand opening of Alstom’s $300 million production facility for steam turbines, gas turbines, large turbo-generators and related equipment for the North American fossil fuel and nuclear power generation market. Alstom CEO Patrick Kron said Chattanooga was a perfect fit for Alstom to get closer to their U.S. customers. And with easy accessibility to the Tennessee River, the plant will have access to 80 percent of nuclear power plants in the United States. With the rotor welding line and the non-destructive testing already operational, Alstom will ship their first turbine from the Chattanooga plant in early 2011.

But power generation has long been an economic driver in the community. Founded in 1933 when Congress signed the TVA Act, one of the nation’s largest public power providers is sending electricity to 9 million people in a seven state region. With coal-fired plants providing more than 100 billion kWh annually, 60 percent of TVA’s total generation comes from coal-fired plants and combustion turbines. 30 percent of generation comes from the three nuclear power plants TVA currently operates and the remaining 10 percent from hydro plants. With their nuclear plants’ six reactors currently providing 6,800 MW and the need for power continuing to grow, TVA is constructing another reactor at the Watts Bar plant. The five-year project is due to be complete in October of 2012 and will add an additional 1,180 MW to TVA’s generation.

Keeping the nuclear generation trend alive in Chattanooga was made easier with the 2009 opening of the Westinghouse U.S. Boiling Water Reactor Service Center. The 66,000 square foot facility is used to train employees, customers and industry personnel on the safe refueling and maintenance of boiling water reactors in the U.S. The training facility is complete with a mock-up single control cell, jet pump, under vessel carousel, refueling bridge and 251” GE reactor. The 600,000 gallon cavity is an exact replica of a operating reactor, only on the clean side. There is no radioactive material at the facility. Students can operate remote vehicles to deliver equipment to the reactor from a refueling bridge that is an actual bridge from a canceled plant. When the cavity is drained students can go into the reactor to study the quarter grid of the reactor to learn about the reactor from the inside. With between 200 and 400 students passing through the facilities doors per year, Westinghouse has one of the only training facilities of its kind to prepare people for the operation of nuclear power plant reactors.

“I can’t see how nuclear power can’t be part of the energy solution in America moving forward,” said Bruce Phares, director of the BWR Reactor Services in Chattanooga.

To help even more with the development of students and interest in the power generation industry is the Engineering Technology Division at Chattanooga State University headed by Dean Tim McGhee. The school’s Radiation Protection program was started in the fall of 2008 with an annual target of 15 students graduating. In May of this year, 13 students graduated and 12 went straight to work at TVA.

“The industry is looking at us as an opportunity to recruit,” said McGhee.

Recruiting at high schools has led to the radiation protection program to have the current mark of 100 students.

The creation of jobs and the boost to the local economy provided by power generation facilities in Chattanooga, Tenn. has led the people of this city and surrounding communities to believe there is room for growth in the industry. Hamilton County Mayor Claude Ramsey said nuclear power has been part of the lives of people in Chattanooga and has never left the city. The city does continue to grow in the power generation industry and I look forward to the next big announcement out of this area of southeastern Tennessee.