Two rulings announced on Dec. 7 moved the Gainesville
Renewable Energy Center closer to a
construction start.
The Florida Power Plant Siting Board, composed of the Florida
governor and the independently elected members of the Cabinet, unanimously
approved the site application for the proposedbiomass power plant in
Gainesville, Fla. This siting board approval is the culmination of the
permitting and regulatory activities designed to ensure that the project is in
the best interests of the citizens of Florida. In announcing the approval, Gov.
Charlie Crist said, “I think this can be a
great breakthrough and I think it is the right thing to do. The groups that
have supported this, I have great trust and confidence in them.”
Also on Dec. 7, a Florida administrative law judge issued his
second ruling in favor of the proposed
biomass plant. Judge Robert E. Meale’s recommended
orders for the plant’s air construction permit rejected claims made by
petitioners who oppose the plant. He found instead that the facility will
comply with all applicable environmental regulations and will not cause adverse
air emissions impacts or adverse impacts to wildlife species or their habitat.
The air construction permit is expected to be finalized by the Florida
Department of Environmental Protection in the next few weeks.
On Nov. 1, in a separate but related process for the site
certification application, Judge Meale issued
an order recommending that a site certification be granted for the Gainesville
Renewable Energy Center despite the claims
of one intervenor. In that order, Judge Meale stated,
“Instead of undermining sound silvicultural practices,
the new market for biomass materials will enhance the viability of forestry
resources and thus serve regional environmental needs.”
The 100-megawatt biomass project will be owned and operated
by American Renewables,
LLC. Gainesville Regional Utilities, the municipally-owned
utility that serves the Gainesville community, has a 30-year power purchase
agreement to buy all power generated. GRU chose to move forward with GREC after
undergoing a seven-year process to review options to responsibly and cost-effectively
meet its future generation needs while helping Gainesville achieve its carbon
reduction goals. GREC, which will be fueled by
wood waste, will meet GRU’s need for improved reliability, increased fuel
diversity and long-term cost savings for customers.
Almost two-thirds of the energy GRU currently produces
is fueledby coal, and 25 percent comes from
natural gas.
The three national bond rating agencies that recently awarded
the utility “Double A” ratings cited a lack of fuel diversity as one of the
challenges facing GRU. Adding biomass to the fuel supply will help the utility
maintain its high bond ratings, which in the past six years have saved
customers more than $67 million.
“The siting board’s decision and the Judge’s order confirm
that GREC will be designed and operated in an environmentally responsible
manner,” said Josh Levine, project manager for American Renewables. “We look
forward to quickly beginning construction.” Levine added. “It is critical that
the project move forward without delay so the citizens of Gainesville and the
region can reap the significant economic benefits the plant will bring,
including more than 700 direct and indirect permanent jobs throughout the
region, as well as the benefit of nearly $200 million in reduced rates over 30
years if the project remains on schedule and is eligible for federal stimulus
dollars.”
The plant has been approved and endorsed by a wide variety of
government agencies, nonprofits and other
organizations from the environmental, business, forestry and other communities,
including: the Florida Wildlife Federation, Southern Alliance for Clean Energy,
Florida Forestry Association, Florida Farm Bureau Federation, Florida Municipal
Electric Association, Gainesville Area Chamber of Commerce, FloridaWorks, Forest Landowners Association, Alachua County
Legislative Delegation, Gainesville City Commissioners, North Central Florida
Renewable Resource Conservation & Development Council, Florida Department
of Agriculture & Consumer Services, Florida Public Service Commission,
Florida Department of Environmental Protection, Florida Department of Health,
Florida Department of Community Affairs, Florida Department of State, Florida
Department of Transportation, North Central Florida Regional Planning Council,
Suwannee River Water Management District, City of Gainesville, Alachua County
and the U.S. Corps of Engineers.