AMP Fremont Energy Center in Fremont, Ohio has begun operation and is now providing power to BMU.

February 1, 2012

Fremont natural gas power plant begins operation

By LOU PENDLETON

In June 2011, the Bryan Board of Public Affairs voted to take 6 megawatts from the Fremont Energy Center project, a natural gas combined cycle facility jointly purchased by 86 American Municipal Power members. Last month, the plant began commercial operation and started providing power.

The 707-megawatt natural gas facility located in Fremont was not fully constructed when AMP purchased it from FirstEnergy in July 2011. AMP oversaw completion of the facility and commissioning.

The plant will supply intermediate power – Monday through Friday during the 16 highest demand hours. The facility also includes duct-firing that allows additional generation to be available during peak demand periods.

"Participation in the Fremont project fits in with our overall power supply strategy. With ownership, we can control our power supply costs. We won’t be as susceptible to market manipulation," said Steve Casebere, director of utilities. "This project also fills a need we had for intermediate power."

Casebere said the price of power from the plant is presently less than BMU’s average cost of power. With gas prices expected to remain low for some time, he said the Fremont plant will play a significant role in keeping electric rates steady.

“The plant will run whenever the price of power is cheaper than the market price. For example, in January the price of power from the plant was $6 less per megawatt than the market. We expect it to run quite a bit because the price for gas is low and AMP has already purchased blocks of natural gas.”

The Fremont facility utilizes two natural gas-fired turbine generators to produce electricity and the excess heat from the combustion process is used to generate additional electricity via specially designed steam turbines, called heat recovery steam generators. The process enhances the efficiency of electricity generation by capturing heat that would otherwise be wasted, so it is less impactful on the environment.

The Fremont plant also adds a feature known as “duct firing”. Gas burners are added to the heat recovery steam generator, increasing the quality of the steam, which translates into more electricity being generated by the steam turbines. Since this requires the use of additional natural gas, it is used in times of peak energy demand, allowing the unit to provide much needed peaking power.

Other local AMP members participating in the Fremont Energy Center are Edgerton, Holiday City, Montpelier, Napoleon and Pioneer.