8/29/2013

 The U.S. Environmental Protection Agency (EPA) has issued a proposed Best Available Retrofit Technology (BART) rule for the Navajo Generating Station (NGS) located near Page, Arizona to reduce emissions of nitrogen oxides (NOx) from the coal-fired power plant. EPA’s proposal would require Selective Catalytic Reduction (SCR) to be installed and operational by 2023. This would cost at least $500 million and perhaps as much as $1.1 billion.

 Why does this matter to Central Arizona Project (CAP)? NGS provides more than 90 percent of the power CAP needs to deliver water. As a result, CAP’s share of the costs to retrofit NGS would be passed along to our customers. In addition, the plant owners have indicated that this level of costs could lead to plant closure, particularly if such costs would have to be borne in advance of resolution of other uncertainties related to continuing operation of the plant.

 CAP, along with the Gila River Indian Community, the Navajo Nation, SRP, the Environmental Defense Fund, Western Resource Advocates and the U.S. Department of Interior worked together to develop an alternative "Better than BART" plan for NGS.

The alternative proposal, provided to the EPA on July 26, addresses NOx emissions in a manner that protects the future of the NGS. The proposal calls for the owners to shut down one of the three power units by 2020 or accomplish the same results in other ways that produce equivalent reductions in emissions. The proposal also calls for the installation of the SCR technology on the remaining two units by 2030 and the owners have committed to withdraw from NGS by 2044.   

 Should the EPA accept the plan, the benefits to CAP are numerous. The long-term viability of NGS provides certainty that stable and reliable power supplies are available to CAP for decades. The proposal potentially delays the costs until 2030, providing time for CAP and its customers to prepare for those costs. CAP will also continue to benefit from the sale of surplus NGS power to fund Arizona's repayment to the federal government for construction of the CAP system. Finally, the Department of Interior will assist Arizona's water settlement tribes in mitigating the costs of this agreement.

Please join us in lending their support to this win-win solution by sending your comments to the EPA.

The U.S. Environmental Protection Agency (EPA) has issued a proposed Best Available Retrofit Technology (BART) rule for the  Navajo Generating Station (NGS) located near Page, Arizona to reduce emissions of nitrogen oxides (NOx) from the coal-fired power plant. EPA’s proposal would require Selective Catalytic Reduction (SCR) to be installed and operational by 2023. This would cost at least $500 million and perhaps as much as $1.1 billion.

Why does this matter to Central Arizona Project (CAP)? NGS provides more than 90 percent of the power CAP needs to deliver water. As a result, CAP’s share of the costs to retrofit NGS would be passed along to our customers. In addition, the plant owners have indicated that this level of costs could lead to plant closure, particularly if such costs would have to be borne in advance of resolution of other uncertainties related to continuing operation of the plant.

CAP, along with the Gila River Indian Community, the Navajo Nation, SRP, the Environmental Defense Fund, Western Resource Advocates and the U.S. Department of Interior worked together to develop an alternative "Better than BART" plan for NGS.

The alternative proposal, provided to the EPA on July 26, addresses NOx emissions in a manner that protects the future of the NGS. The proposal calls for the owners to shut down one of the three power units by 2020 or accomplish the same results in other ways that produce equivalent reductions in emissions. The proposal also calls for the installation of the SCR technology on the remaining two units by 2030 and the owners have committed to withdraw from NGS by 2044.

Should the EPA accept the plan, the benefits to CAP are numerous. The long-term viability of NGS provides certainty that stable and reliable power supplies are available to CAP for decades. The proposal potentially delays the costs until 2030, providing time for CAP and its customers to prepare for those costs. CAP will also continue to benefit from the sale of surplus NGS power to fund Arizona's repayment to the federal government for construction of the CAP system. Finally, the Department of Interior will assist Arizona's water settlement tribes in mitigating the costs of this agreement.


Click here to sign up for CAP News, a once a week email which contains information about the issues and concerns to CAP and its stakeholders.