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Home Webinars

Puerto Rico’s grid threatened by FERC cap on LNG storage facility: PREPA

by manusohal
December 11, 2022
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Puerto Rico’s grid threatened by FERC cap on LNG storage facility: PREPA
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The Puerto Rico Electrical Energy Authority on Friday urged the Federal Power Regulatory Fee to carry a cap on how a lot liquefied pure gasoline will be saved at a facility owned by EcoEléctrica, saying the restrict threatens grid stability.

“FERC’s limitation of the gas stage of the EcoEléctrica LNG storage tank locations the Island’s reserve margins and stability in danger,” Josué Colón-Ortiz, PREPA government director, stated in a letter to FERC.

The cap imposed by FERC might value PREPA greater than $250 million this 12 months if it should proceed burning Bunker C gas oil at its 820-MW Costa Sur energy plant as a substitute of gasoline equipped by EcoEléctrica, Colón-Ortiz stated.

EcoEléctrica’s LNG terminal provides gasoline to the corporate’s 540-MW Penuelas energy plant and to PREPA’s Costa Sur plant. The ability vegetation produce about 40% of Puerto Rico’s electrical energy, in accordance with PREPA.

After earthquakes with epicenters close to EcoEléctrica’s LNG terminal hit Puerto Rico in late 2019 and early 2020, FERC ordered the corporate to not fill its storage facility above 63 toes, a stage that represents about 60% of its capability, whereas evaluation was achieved on the construction to verify it was secure. In April, FERC rejected EcoEléctrica’s request to boost the storage stage to 91 toes, saying the corporate failed to point out the storage facility might face up to extreme earthquakes.

EcoEléctrica’s LNG provide is of “utmost significance” for Puerto Rico’s electrical system, partially as a result of the facility vegetation the storage facility serves present baseload energy and ancillary companies that assist preserve the island’s grid, in accordance with Colón-Ortiz.

Additional, when Hurricane Fiona broken EcoEléctrica’s LNG provide terminal final month, the Penuelas and Costa Sur energy vegetation weren’t capable of absolutely run on gasoline whereas the terminal was being repaired, in accordance with Colón-Ortiz. Consequently, PREPA’s capacity to produce energy was restricted, and it was pressured to make use of costlier diesel gas in its plant, he stated.

“Within the ultimate steadiness of pursuits, the doable (not possible) dangers are overwhelmingly outweighed by the truth that, significantly lowering the gas storage limitations will permit each Costa Sur and EcoEléctrica to adjust to emission rules, maximize electrical energy manufacturing, present much-needed frequency regulation for the system’s stability, and decrease prices to the folks of Puerto Rico,” Colón-Ortiz stated within the letter.

EcoEléctrica on Friday filed a confidential report at FERC analyzing the LNG storage facility’s capacity to face up to earthquakes. Since April, EcoEléctrica has submitted six stories evaluating numerous features of the storage facility’s construction.

FERC is maintaining a detailed eye on situations in Puerto Rico following the hurricane, in accordance with Celeste Miller, an company spokesperson.  The fee plans to reply to PREPA “sooner or later,” she stated Monday.

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