suesguy
09-03-2007, 02:44 PM
Is it just me but, does the following only benifit NB Power?
NB Power continues to pursue the use of a cheap, dirty fuel supplement at one of the province's three worst polluters, despite saving $225 million in fuel costs at Coleson Cove.
The Crown corporation is studying the use of petroleum coke, a controversial coal-like oil refining by-product at the 1,000 megawatt power plant.
Petroleum coke, also known as pet coke, sells for 20 per cent of the cost of heavy fuel oil Coleson Cove uses now.
"We are going to go ahead with a test burn," said Michel Losier, spokesman for NB Power said on Friday.
NB Power estimates it will cost $20 million to convert one of three boilers at Coleson Cove to burn a mixture of petroleum coke and heavy fuel oil.
The utility has received approval from the provincial Department of the Environment to conduct test burns this fall and winter to gather information for a full environmental impact assessment.
A full conversion of Coleson Cove to burn petroleum coke would cost between $100 million and $120 million and would require a full environmental impact assessment.
The Crown corporation has said converting Coleson Cove to petroleum coke could save $50 million to $70 million annually in fuel costs.
Those savings would be on top of the $225 million in fuel costs NB Power will save at Coleson Cove over the next two years, thanks to a discounted fuel supply agreement that was reached as part of the Orimulsion settlement with Venezuela's state-owned oil company.
But environmentalists are urging NB Power to scrap its petroleum coke plan at Coleson Cove.
David Coon, policy director for the Conservation Council of New Brunswick, said using petroleum coke at Coleson Cove will increase greenhouse gas emissions in the province.
"It will make it that much more difficult for New Brunswick to meet its greenhouse gas reduction targets," he said.
"The premier has launched a very impressive climate action plan and this is the kind of thing that will confound it. It makes no sense from that perspective."
Coleson Cove produces 2.9 million tonnes of greenhouse gas, compared to 3.1 million tonnes produced each year by the Belledune power plant and 3.2 million tonnes created by the Irving Oil refinery in Saint John.
NB Power has been burning a mixture of petroleum coke and coal at Belledune for the past eight years.
The utility spent $800,000 this year repairing the water wall of a boiler unit at Belledune because of accelerated corrosion caused by the petroleum coke mix.
NB Power estimates that burning a blend of 75 per cent coal and 25 per cent petroleum coke at Belledune saved $35 million in fuel costs in the past five years.
"The benefits to burning pet coke far away the costs of lining out water walls," said Losier.
Losier said wear and tear caused by the burning petroleum coke at Coleson Cove is part of on-going technical feasibility studies that NB Power is conducting during the test burns.
Losier said NB Power is considering greenhouse gas emissions along with the cost savings generated from cheaper fuels.
Losier said moves such as refurbishing the Point Lepreau Nuclear Generating Station and the addition of 400 megawatts of wind energy are part of NB Power's efforts to reduce greenhouse gas emissions.
"There's no question that we are looking at opportunities continuously for lower cost fuel," he said. "It's very important to NB Power and it's very important to the ratepayer. But it's all within a balanced approach and that's what we're after."
NB Power continues to pursue the use of a cheap, dirty fuel supplement at one of the province's three worst polluters, despite saving $225 million in fuel costs at Coleson Cove.
The Crown corporation is studying the use of petroleum coke, a controversial coal-like oil refining by-product at the 1,000 megawatt power plant.
Petroleum coke, also known as pet coke, sells for 20 per cent of the cost of heavy fuel oil Coleson Cove uses now.
"We are going to go ahead with a test burn," said Michel Losier, spokesman for NB Power said on Friday.
NB Power estimates it will cost $20 million to convert one of three boilers at Coleson Cove to burn a mixture of petroleum coke and heavy fuel oil.
The utility has received approval from the provincial Department of the Environment to conduct test burns this fall and winter to gather information for a full environmental impact assessment.
A full conversion of Coleson Cove to burn petroleum coke would cost between $100 million and $120 million and would require a full environmental impact assessment.
The Crown corporation has said converting Coleson Cove to petroleum coke could save $50 million to $70 million annually in fuel costs.
Those savings would be on top of the $225 million in fuel costs NB Power will save at Coleson Cove over the next two years, thanks to a discounted fuel supply agreement that was reached as part of the Orimulsion settlement with Venezuela's state-owned oil company.
But environmentalists are urging NB Power to scrap its petroleum coke plan at Coleson Cove.
David Coon, policy director for the Conservation Council of New Brunswick, said using petroleum coke at Coleson Cove will increase greenhouse gas emissions in the province.
"It will make it that much more difficult for New Brunswick to meet its greenhouse gas reduction targets," he said.
"The premier has launched a very impressive climate action plan and this is the kind of thing that will confound it. It makes no sense from that perspective."
Coleson Cove produces 2.9 million tonnes of greenhouse gas, compared to 3.1 million tonnes produced each year by the Belledune power plant and 3.2 million tonnes created by the Irving Oil refinery in Saint John.
NB Power has been burning a mixture of petroleum coke and coal at Belledune for the past eight years.
The utility spent $800,000 this year repairing the water wall of a boiler unit at Belledune because of accelerated corrosion caused by the petroleum coke mix.
NB Power estimates that burning a blend of 75 per cent coal and 25 per cent petroleum coke at Belledune saved $35 million in fuel costs in the past five years.
"The benefits to burning pet coke far away the costs of lining out water walls," said Losier.
Losier said wear and tear caused by the burning petroleum coke at Coleson Cove is part of on-going technical feasibility studies that NB Power is conducting during the test burns.
Losier said NB Power is considering greenhouse gas emissions along with the cost savings generated from cheaper fuels.
Losier said moves such as refurbishing the Point Lepreau Nuclear Generating Station and the addition of 400 megawatts of wind energy are part of NB Power's efforts to reduce greenhouse gas emissions.
"There's no question that we are looking at opportunities continuously for lower cost fuel," he said. "It's very important to NB Power and it's very important to the ratepayer. But it's all within a balanced approach and that's what we're after."