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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

NRG's El Segundo Energy Center Project Commences Operations

LCG, August 9, 2013--NRG Energy, Inc. (NRG) recently announced that commercial operation has commenced at its natural gas?fueled, combined-cycle generating facility at the El Segundo Energy Center, which is located near Los Angeles, California. Southern California Edison will obtain the entire output from the facility under a 10-year power purchase agreement (PPA) executed in 2008.

The new, 550-MW El Segundo Energy Center project supports the retirement of a less efficient, 335-MW steam boiler unit built at the site in 1964 that relied on once-through ocean water for cooling. The new facility is an air-cooled, combined-cycle facility that uses grey water and reduces the use of potable water at the site by nearly 90 percent. The new facility employs a fast-start design that delivers more than half of its generating capacity in less than 10 minutes and the balance in less than 1 hour. The rapid response capabilities are especially important in California, with its ever-growing use of intermittent, renewable resources.

"Our modernization efforts at El Segundo ideally complement California?s growth of intermittent renewable energy sources, such as wind and solar, in support of the State?s renewable portfolio standard while maintaining its tradition of being a good neighbor to the surrounding coastal communities," said the President of NRG Energy?s West Region. "In addition, we have worked with the community to improve the visual aesthetics of the site by incorporating native landscaping, installing a new picturesque sea wall, and affording improved coastal views with the lower profile of the plant."

The new generating capacity is a welcome addition this summer, given Southern California Edison's recent decision to not reactivate and to permanently retire Units 2 and 3 at its San Onofre Nuclear Generating Station (SONGS).

NRG purchased El Segundo Generating Station in the spring of 1998 as part of the California electric industry restructuring. The station was originally built in the 1950s by Southern California Edison.
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