Proposed 600-megawatt gas-fired power plant
would benefit from logistics
By CHRISTOPHER WILLIAMS
April 13, 2009
A northeast energy corridor is the key piece of the puzzle needed to develop and link New Brunswick’s resources to the energy-stressed New England states. This “energy transmission pathway” took a giant leap forward on March 25 with an announcement in Saint John by New Brunswick Premier Shawn Graham and Maine Governor John Baldacci.
“The proposed energy corridor will help accelerate the development and deployment of clean, renewable and greenhouse-gas-free electricity generation resources in both New Brunswick and Maine, as well as provide leadership in helping address and support the overall North American energy security agenda,” said Mr. Graham to a packed room at the Delta Hotel.
One proposal calls for rights of way along Maine’s Interstate 95 to be used as a transportation corridor to move electricity and natural gas to the major New England markets to the south for various forms of energy. Electricity transmission lines, pipelines and similar facilities would be grouped together to minimize the environmental impact while supporting the development of clean sources of energy. The corridor would be designed to be scalable and able to accommodate other forms of energy in the future, including the productive use of CO2. Currently, transmission lines and pipelines from New Brunswick to the United States are at or near full capacity.
“Great potential exists for Maine and New Brunswick to grow and share clean, renewable energy,” Mr. Baldacci said. “For the full potential to be realized, regional transmission capacity must expand. Exploring the potential for private investment in the northeast energy corridor is a vital next step to realizing our shared goals of achieving energy independence, having access to reliable and affordable energy, and reducing carbon emissions on both sides of the border.”
The shared corridor concept is particularly attractive to electricity utility NB Power, and Saint John-based Irving Oil is committed to developing energy supply options. At the same announcement, Irving Oil said it is becoming an “energy company,” not just a fuel company, and proposes to build a 600-megawatt gas-fired power plant at its Canaport LNG natural gas receiving and regasification terminal in Saint John.
“We are motivated by Premier Graham and Governor Baldacci’s long-term vision for the growth of our region and are pleased to be playing a role in helping to develop the concept,” said Kenneth Irving of Irving Oil. “The northeast energy corridor would involve a complex series of projects that would require a high level of collaboration at a time when our industry and the global economy face a high degree of uncertainty.”
Both New Brunswick and Maine hold tremendous potential for wind power transmission. Last fall, 32 wind turbines were shipped through the Port of Saint John for assembly at the now operative 96-megawatt Kent Hills wind farm near Moncton. However, wind power requires a pathway to markets as well as base-load power to ensure continuity of energy supply when wind turbines are not spinning. Natural gas-fired electrical generation and renewable or emission-free forms of energy such as wind power, tidal power, electricity from biomass and nuclear power are also vital to addressing climate change.
The first phase of the project is expected to generate $2 billion worth of investment and create thousands of jobs. A 1,200- to 1,500-megawatt transmission line, wind power and a cogeneration natural gas plant would also be part of the first phase. In addition to completing its Canaport LNG marine terminal this year, Irving Oil has plans with partner BP to spend up to $8 billion to build a second oil refinery in Saint John.
Other energy providers in the northeast also would have access to the energy corridor facilities to send their products to the market, creating new opportunities for economic growth, particularly for the Port of Saint John, which currently handles more than 21 million tonnes of crude and refined petroleum, pet coke and soon natural gas imports.