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AES and Meta Announce PPAs to Provide 650 MW of Solar Capacity for Data Centers

LCG, May 22, 2025--The AES Corporation (AES) yesterday announced that it has entered into two, long-term Power Purchase Agreements (PPA) to support Meta's data centers with 650 MW of solar capacity from two AES projects that will be starting operation in the Southwest Power Pool (SPP). AES expects these two solar projects will provide economic benefits to communities in Texas and Kansas, including hundreds of new construction jobs and contributing millions in long-term tax revenue.

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TVA Submits First Construction Permit Application for SMR at Clinch River Site

LCG, May 21, 2025--The Tennessee Valley Authority (TVA) announced yesterday that it is the first utility in the U.S. to submit a construction permit application (CPA) for the GE Vernova Hitachi Nuclear Energy (GVH) small modular reactor (SMR) BWRX-300 technology to the U.S. Nuclear Regulatory Commission (NRC). The application is TVA's next step in pursuing an SMR at its Clinch River site, near Oak Ridge, Tennessee. Preliminary SMR site preparation could begin as soon as 2026.

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Industry News

Calpine Contracts With California May Be Revised

LCG, Apr. 5, 2002--Negotiators for California and Calpine representatives have indicated that changes may be made within days to power-purchase contracts signed by Gov. Davis during the power crisis in early 2001.

At the time they were signed, some of the contracts with Calpine were seen as being among the better deals signed by the state. Critics of the contracts have said that some of the contracts cause the state to buy power at night, when much less power is needed. A particular contract calls for "capacity payments" to a peaking plant in order to have it available continuously. The contract is worth $80 to $90 million per year for 20 years, but does not cover any actual electricity delivery.

The state's attorney general Bill Lockyer has filed a series of complaints with the Federal Energy Regulatory Commission regarding prices charged by energy suppliers, a complaint which would likely be withdrawn in the case of Calpine if contracts are revised. Concerns about Calpine's aggressive expansion and its dependence on debt have caused its stock price to fall approximately 80% from its level at this time last year. Bill Highlander, director of public relations at Calpine, said that new contracts are not being considered to emphasize more payments within a shorter time-frame. "More money upfront is always a good thing. But we don't need it," he said.
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