GPACE will be presenting on Wednesday, May 19th at the Tri-State Generation and Transmission public resource planning meeting at Tri-State headquarters in Westminster, Colorado.
This public resource planning process that Tri-State is undergoing was brought about as part of a settlement agreement primarily involving the Colorado Public Utilities Commission, Colorado Governor Ritter’s office, Western Resource Advocates, and Tri-State, whereby an existing docket to consider PUC regulation of Tri-State was closed without action in exchange for this public resource planning process.
The process is non-binding; that is, Tri-State is not obligated to accept any of the recommendations or answer public questions, but it does provide a forum for important public information and scrutiny of Tri-State’s resource planning.
Tri-State has no member coops in Kansas, so why is the resource planning process of a Colorado-based rural electric coop of interest or importance to Kansans?
Recall that it was in response to an RFP for baseload capacity from Tri-State that Sunflower Electric (in Kansas) let their permit for the 660mw Sand Sage project expire (after the initial granting and an extension) and began the process of putting together the current plan to build three huge additional coal plants at Holcomb for out-of-state utilities. So far as we know (the details have not been discussed since rural electric coops do not have to allow public or regulatory review of their plans) Tri-State would be the equity owner of 80% of the electric power produced by the proposed 895mw coal-fired plant at the Holcomb Station, and they would own 80% of the equity value of the plant. Beyond that, not much is known about the details of the business arrangement between Tri-State and Sunflower regarding the proposed plant, or any future development at Holcomb.
We do know that Tri-State reps recently acknowledged in one of the public meetings that they currently have developed no transmission plans for Holcomb – which seems to be at odds with claims by Sunflower and Holcomb supporters in Kansas that the plant is critical to transmission for wind energy. That fact is also seemingly not in compliance with the settlement agreement between the Governor and Sunflower, which calls for transmission to be built.
Tri-State is also on record stating that they do not see the Holcomb coal plant as a near term baseload solution under any circumstances, which again, is at odds with claims by Sunflower and Kansas coal supporters that the plants will start construction within a year and employ people to combat the recession.
And, Tri-State’s own load forecasts acknowledge that they do not have near-term need for the baseload capacity represented by the proposed Kansas coal plant.
Yet, their 2009 annual report shows that they have spent $51.3 million, excluding the cost of land and water rights, developing the units at Holcomb as of December 31, 2009.
So, what’s currently happening at the Tri-State public resource planning meetings (and the ultimate outcome of their resource planning process) will have a tremendous impact upon Kansans, since the fate of the proposed 895mw coal-fired plant, and the possible addition of two more huge coal plants as part of the proposed Holcomb Station expansion, may be impacted.
Even if you can’t attend the May 19th meeting near Denver, Kansans can register and participate in the public meeting via webinar here.
Scott Allegrucci
Executive Director
