Garland, Texas -- Garland Power & Light is developing a compliance plan for Senate Bill 7, which the Texas Legislature approved in their 1999 session.
Senate Bill 7 (SB 7) addresses the total annual emissions of nitrogen oxides from electrical generating facilities. It is the intent of the legislature that, "for the 12-month period beginning on May 1, 2003, and for each 12-month period after the end of that period, total annual emissions of nitrogen oxides from facilities subject to this section may not exceed levels equal to 50 percent of the total emission of that pollutant during 1997, as reported to the Texas Natural Resource Conservation Commission."
Facilities of 25 megawatts or less may be excluded from these requirements if the Texas Natural Resource Conservation Commission is informed by the municipal corporation, electric cooperative or river authority of its intent to exclude those facilities. Garland Power & Light has two facilities affected by SB 7 -- CE Newman Power Plant in Garland (Dallas County) and Ray Olinger Power Plant (Collin County). "The Newman Plant has five emission sources, but only one is affected due to provisions of SB 7 exempting units smaller than 25 megawatts," said Dave Breedlove, Production Department Manager.
"The Newman #5 Unit is a 39 megawatt unit. The Olinger Plant, approximately 25 miles north of Garland, has three emission sources, with two affected. The Olinger #1 Unit is 75 megawatts; the Olinger #2 Unit is 110 megawatts and the Olinger #3 Unit is 150 megawatts capacity. However, the Olinger #3 Unit is excluded due to a previously issued emissions permit from the state which does not expire until 2008."
"For these three units (Newman #5, Olinger #1 and Olinger #2), we will make modifications to our boilers in order to reduce the nitrogen oxide emission levels," said Breedlove. "We are already studying this process and have an outside company conducting testing to determine the most cost effective way to reduce emissions prior to the May 2003 deadline. We can accomplish this compliance within this time frame, but the cost of these modifications could be substantial depending upon final interpretation of provisions within SB 7."
"The general trend is that any steps we take to reduce emissions will ultimately also decrease the efficiency of the equipment as well," said Breedlove. "Therefore, not only will this cost capital money to make these modifications, but the efficiency of the generation of electricity will also be reduced. This will result in increased electrical generation costs, which may be partially passed on to the customer." RJM, headquartered in Connecticut, is conducting the testing and analysis for Garland Power & Light.
Timothy McNay, RJM Lead Engineer, said "Garland Power & Light contracted with RJM to initiate the process to achieve full compliance with SB 7 in a timely manner. RJM is currently conducting extensive testing and analysis to determine the most cost effective way to achieve that compliance." "The RJM report is expected by late November," said Breedlove. "Our next step is to start budgeting money in the next three fiscal years to begin and complete these modifications. During the modification process, there will be no service effects noticeable for customers of Garland Power & Light.
Electrical service will continue uninterrupted." Nitrogen oxide emissions come primarily from non-stationary sources, such as vehicles. The emissions levels in the Dallas / Fort Worth area are currently classified as "serious" by the Environmental Protection Agency (EPA), with the strong possibility of the rating being reclassified to "severe." On February 19, 1998, the EPA mandated that the emissions levels be reduced for a four-county area: Dallas, Tarrant, Denton & Collin, even though much of the emissions come from counties south of the four-county area.
The North Central Texas Council of Governments (NCTCOG) is working with various entities to develop a plan to reduce these emission levels. On March 18, 1999, the NCTCOG submitted a compliance plan to the EPA which was rejected. "What this means" said Breedlove, "is that unless a new EPA compliance plan is approved, our emissions reduction percentage may have to be higher than the 50 percent indicated in SB 7. It may reach as high as an 88% reduction if the EPA so mandates, with that decision expected by the end of October. If this higher percentage is required, Garland Power & Light will respond appropriately to meet compliance." Governor Bush signed Senate Bill 7 on June 18, 1999, and it became effective on September 1, 1999.
