Originally Published: May 1st, 2011, Long Island Business News

By Claude Solnik

The Long Island Power Authority has received proposals for 45 projects that would provide up to 2,500 megawatts of power from firms ranging from Long Island to California.

The authority said 16 entities submitted proposals for one or more projects, including 29 projects that would produce power on Long Island and 16 to bring in power from elsewhere.

LIPA released the names of firms that submitted proposals after noting that it had seen “significant public interest” in the contracts, which could help determine how the area receives power for decades.

Proposals came from individual firms and consortiums ranging from massive utilities to smaller companies already providing power on Long Island.

LIPA didn’t release details of the projects, although the variety of firms making proposals showed a wide range of interest in providing power on or to Long Island, including traditional utilities and companies specializing in renewable or green energy.

Companies that made proposals include massive utilities such as Arlington, Va.-based AES Corp., with 17 billion in annual revenues and operations in 28 nations, and Calpine Corp. as well as New York- based firms such as Caithness Energy.

“We are very interested,” Norma Dunn, a Calpine spokeswoman, said, noting her company already provides some power to LIPA. “The Long Island Power Authority is a valued customer of Calpine.”

Calpine delivers about 28,000 megawatts of energy to customers in 20 U.S. states and Canada.

Caithness, which already provides power to LIPA, through Caithness Long Island also submitted a proposal. The firm operates the Caithness Long Island Energy Center, a 350-megawatt natural gas fired generator that went into service on August 1, 2009.

Chicago-base Exelon Corp., one of nation’s largest electric and gas utilities, also submitted a proposal to supply power to LIPA. The company plans to merge with Constellation Energy.

“That deal requires a lot of approvals from regulatory bodies,” Paul Ellsberg, an Exelon spokesman, said. “We don’t expect it to be completed until early 2012.”

Hess Corp. also partnered on a proposal with ArcLight Energy Partners Fund III, among one of several projects championed by energy funds.

Deepwater Wind Holdings, which specializes in offshore wind farms, also submitted a proposal.

Deepwater already plans to build its Block Island Wind Farm three miles southeast of Block Island. The firm plans to begin preparing the site for that project in late
2010 and to begin operating in 2012.

LIPA hopes to select projects by the second quarter of 2012, to negotiate contracts and complete environmental review by the first quarter of 2013 and to enter into contracts as of the first quarter of that year.

Complete URL: http://libn.com/blog/2011/05/01/lipa-fields-proposals-for-up-to-2500-mw/

The authority expanded an earlier request from 1,000 megawatts to 2,500 megawatts, saying it believed greater scope would increase flexibility and allow for a “phased-in approach to upgrade and modernize” its power sources.

Below are the names of parent and/or consortium members as listed on LIPA’s website:

  • AES Corp.
  • Anbaric Holding, and Exelon Corp.
  • ArcLight Energy Partners Fund III and Hess Corporation
  • Astoria Project Partners
  • Barnum Transmission Partners, TransCanada Power Mktg Ltd.
  • Brookfield Renewable Power Inc.
  • Boundless Energy, Thoresco, Sea Breeze Power, Charles M. Pratt, and Energy Capital Partners
  • Caithness Energy
  • Calpine Corporation Capital Power L.P. and Capital Power Corporation Competitive Power Ventures Inc. and Competitive Power Ventures Holdings
  • Deepwater Wind Holdings
  • Electric Power Development Co.
  • NextEra Energy Resource
  • Panda Power Funds
  • US Power Fund III, LP