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ERCOT Working To Use CenterPoint-TDU Mobile Generation As Alternative To RMRs for Two CPS Units; Will Recommend RMR Agreement For One CPS Unit
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ERCOT reported at today's Texas PUC opening meeting that it is working on developing an agreement to move the mobile generation units of CenterPoint Energy Houston Electric from Houston to the San Antonio area, as an alternative to entering into reliability must-run agreements with two CPS Energy units which will suspend operations
As part of exploring such an agreement, ERCOT must work through feasibility, regulatory, and cost issues
The mobile generation from CEHE (~500 MW) is approximately the same capacity as the aggregate of two of the CPS Energy Braunig units which are the subject of a notice of suspension of operations -- Units 1 & 2. Units 1 & 2 are older and smaller than Unit 3. ERCOT said that it would defer consideration of whether an RMR is needed for Units 1 & 2 to allow the consideration of the use of the CEHE mobile generation to continue
ERCOT continues to discuss use of the mobile generation with CEHE, the entity from which CEHE is leasing the generation, and CPS Energy, reviewing technical and cost issues
While not formally voting on any plan, PUC Commissioners were generally supportive of exploring the CEHE mobile generation approach as potentially resolving favorably several issues -- both the need for capacity due to the Braunig unit suspensions, until new transmission is completed, and cost recovery issues related to CEHE's procurement of the mobile generation, which has previously been faulted by state leaders as not useful during hurricane outages due to the mobile generating units' large size, which did not make them appropriate for relieving localized distribution outages
ERCOT will recommend to the ERCOT Board that ERCOT enter an RMR agreement for CPS's Braunig Unit 3, which is newer and about 412 MW. This RMR would begin in the summer of 2025
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November 21, 2024
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Copyright 2024 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com
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