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EPA and Texas Railroad Commission Sign Memorandum of Agreement for Permitting Geologic Storage of Carbon Dioxide

LCG, April 29, 2025--Officials from the U.S. Environmental Protection Agency (EPA) and Texas Railroad Commission (RRC) signed a memorandum of agreement (MOA) today outlining the state’s plans to administer programs related to carbon storage wells, known as Class VI wells. The MOA signing is a required step in the RRC’s application to be granted authority to permit Class VI wells in the state of Texas. EPA is currently preparing a proposed approval of RRC’s primacy application.

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Calpine and ExxonMobil Sign CO2 Transportation and Storage Agreement for CCS Project in Texas

LCG, April 24, 2025--Exxon Mobil Corporation (ExxonMobil) announced yesterday an agreement with Calpine Corporation (Calpine) to transport and permanently store up to 2 million metric tons per annum (MTA) of CO2 from Calpine’s Baytown Energy Center, a natural gas-fired facility located near Houston, Texas. This is part of Calpine’s Baytown Carbon Capture and Storage (CCS) Project that is designed to add CCS for the facility’s CO2 emissions. The Calpine facility could then provide a 24/7 supply of low-carbon electricity to the Texas grid plus steam to nearby industrial facilities.

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Industry News

North Carolina City, Scana Plan 500 Megawatt Plant

LCG, Nov. 10, 2000--The public works department of Fayetteville, N.C. and utility holding company Scana Corp. signed a memorandum of understanding this morning to jointly build and own a 500 megawatt natural gas-fueled, combined-cycle power plant to supply electricity to the city's 60,000 residential, commercial and industrial customers.

Steven K. Blanchard, general manager of the Fayetteville Public Works Commission, said "One of Fayetteville's greatest challenges is meeting the growing demand for electricity in our community, the result of our continuing economic prosperity."

He said the PWC had been through a lengthy process of reviewing proposals, and narrowed their choices to three proposals to provide long-term electric service to the community, before deciding to pursue a joint development with Scana.

"We recognize that self-sufficiency is the key to being able to reliably provide low-cost electricity to our citizens and businesses in the future. To meet this objective, we must begin today to develop new capacity and we needed an experienced energy partner who is interested in working in the future of Fayetteville and eastern North Carolina," Blanchard said.

This morning's agreement allows Scana to begin work on a 106-mile, 16-inch natural gas transmission line stretching from the company's pipeline system in South Carolina to Fayetteville while definitive agreements are being finalized, a joint announcement said.

The project, expected to be completed by the summer of 2002, will cost about $265 million. The Public Works Commission will own a 60 percent interest in the plant and SCANA will own the balance. The pipeline project is expected to cost around $90 million, and will be funded and owned by Scana.

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