CenterPoint details IRP for future electric generation
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Evansville-based CenterPoint Energy Indiana South on Thursday unveiled its Integrated Resource Plan preferred portfolio detailing its continued investment in renewable energy generation. The electric utility business for Texas-based CenterPoint Energy Inc. (NYSE: CNP) said the plan outlines its goal to end the use of coal in Indiana by 2027.
The proposed plan, according to CenterPoint, is expected to save customers nearly $80 million compared to the continued use of coal, while reducing carbon emissions from its electric generation fleet by more than 95% over the next 20 years.
CenterPoint said 85% of the electricity currently generated for its 150,000 customers in southwest Indiana comes from coal. The utility’s plan calls for converting its one remaining coal-fired unit at the F.B. Cully Generating Station to natural gas by 2027.
By 2030, the utility expects more than 80% of its electricity will be generated by solar and wind, with the remainder provided by natural gas.
“Our recommended mix of renewable and natural gas resources is expected to maintain the ability to turn on generating resources during times of greatest demand, supporting reliability and continuing our strategy of providing cleaner electricity that meets customers’ future energy needs,” Richard Leger, senior vice president of Indiana electric, for CenterPoint, said in a news release.
In addition to the work at the F.B. Cully facility, CenterPoint plans to add 200 megawatts of wind and 200 MW of solar by 2030. The utility said an additional 400 MW of wind resources could also be needed by 2032.
CenterPoint’s IRP process began last year, shortly after receiving approval from the Indiana Utility Regulatory Commission to extend the deadline to submit the IRP to June 2023.
The utility issued a Request For Proposals for a variety of renewable energy resources, including solar, wind, and battery storage. Over the next year, CenterPoint began an analysis of energy needs and collected public stakeholder input as it developed its plan.
“Customer and stakeholder engagement were heavily considered throughout this process,” said Leger. “We appreciate the thoughtful insights which helped us arrive at our go-forward plan that will help meet the growing demands of our residential and business customers in the region and maintain our environmental responsibilities.”
CenterPoint plans to submit its IRP to the IURC by June 1, and a director’s report with comments from the commission is expected to be issued by the second quarter of 2024.
You can learn more about CenterPoint’s IRP by clicking here.
Last June, the IURC approved the construction of two natural gas combustion turbines at the A.B. Brown power plant in Posey County. The turbines will replace two coal-fired generation units at the plant.
CenterPoint said it also has five solar projects in previous stages of development, and is seeking approval from the IURC for a wind generation project.