(Host) Utilities in Vermont are looking for new power supply contracts. The companies are asking energy firms throughout the Northeast and Canada to come up with proposals for up to 250 megawatts of electricity.
VPR’s John Dillon reports:
(Dillon) The utilities are planning for the day that contracts from the state’s two main energy suppliers – Vermont Yankee and Hydro Quebec – expire. The energy contracts end between 2012 and 2016.
Steve Costello is a spokesman for Central Vermont Public Service Corporation, the state’s largest electric utility.
(Costello) "There are two separate requests. The first one totals 100 megawatts and that was filed by CVPS, Green Mountain Power and Vermont Electric Co-op. 40 megawatts each for CV and GMP, and 20 for Vermont Electric Co-op. There we’re looking for firm power supply, and we’ll be issuing probably a couple more over the next two years in that regard, to essentially diversify our power supplies, give us some new sources, and expand the range of options that we have."
(Host) CVPS and GMP are also seeking separate contracts for 150 megawatts of new energy in case the Vermont Yankee nuclear plant is not allowed to operate after 2012.
Yankee wants to extend its license for another 20 years beyond 2012. CVPS supports the company’s request. But Costello said the new bids will insure the companies have a back-up plan in case the re-license effort fails. The bid process should also give a picture of what replacement power will cost.
(Costello) “Essentially what we’re asking these bidders to do is tell us what they would charge us for power in the event Vermont Yankee wasn’t available to us. So that will give us very clear information what the incremental costs of Vermont Yankee’s loss will be.”
(Dillon) An environmental group that has questioned the Vermont Yankee license extension says it’s a good idea to line up possible replacement power.
Sandra Levine is a lawyer for the Conservation Law Foundation.
(Levine) “I think it’s a good step forward. The uncertainty around the re-licensing of Vermont Yankee and the continuing problems that Vermont Yankee … makes it clear that the utilities need to have alternatives available. And we should be having alternatives that provide for low emissions generation.”
(Dillon) The Vermont utilities have sent the bid requests to dozens of power suppliers throughout the region. The utilities say they hope to select the winning bidders in late March.
For VPR News, I’m John Dillon.