FAQs
- Who is ODEC?
- What is ODEC’s mission?
- What is a consumer-member?
- How many consumer-members does ODEC currently have?
- How many power generation facilities are in ODEC’s portfolio?
- What is the difference between a base load and peaking facility?
- What separates electricity from other forms of energy?
- Why are energy demands increasing?
- Does ODEC encourage its consumer-members to be energy efficient?
- What is ODEC’s stance on renewable energy?
- Does ODEC encourage its consumer-members to reduce demand at the time of the peak?
- What can be done to stabilize demand?
- How can a stable, sufficient energy supply impact the economy?
- Why did ODEC decide to explore building a new advanced technology base load power station?
- What would the new power station be named?
- When would the power from the Cypress Creek Power Station be available?
- What are the three most common fuel sources for base load generation facilities?
- Which was selected for the Cypress Creek Power Station's?
- Why was coal selected as the primary fuel source?
- I’ve heard that coal is very abundant. Is this true, and how abundant is it?
- Were renewable fuel sources considered for the Cypress Creek Power Station?
- Why was biomass selected?
- How much biomass will be used?
- Why not use natural gas as the fuel source for the Cypress Creek Power Station?
- Why not use uranium as the fuel source for the Cypress Creek Power Station?
- Can Virginia fully rely on wind, solar or geothermal energy for power?
- How long has ODEC explored the idea of building a new power source?
- Why did ODEC select the two sites for consideration?
- How much energy will the Cypress Creek Power Station be capable of producing?
- How will ODEC minimize the environmental impact of this facility?
- When will construction of Cypress Creek Power Station begin and how long will it last?
- When will the decision be made about the location?
Who is ODEC?
Old Dominion is a not-for-profit, member-owned wholesale power supplier to 11 locally owned and locally controlled electric distribution cooperatives.
What is ODEC’s mission?
ODEC’s mission states:
We exist to serve our Members. We shall provide reliable, safe and economical wholesale electric power sources, continually evaluate and meet the Members’ needs in order to facilitate their growth and strength, and to assure their continued success, take an active role in the development of opportunities advantageous to the Members.
What is a consumer-member?
Consumer-members are the cooperative equivalent of a customer. However, unlike customers of for-profit “investor-owned” utilities, ODEC’s consumer-members have a voice in how ODEC operates, and, because ODEC is a not-for-profit organization, its consumer-members receive refunds on their electricity bills in the form of capital credits when ODEC revenues exceed cost.
How many consumer-members does ODEC currently have?
ODEC serves approximately 400,000 consumer-members in Virginia, Maryland and Delaware.
How many power generation facilities are in ODEC’s portfolio?
ODEC owns, co-owns or operates five power generation facilities in Virginia and Maryland. These facilities include:
- North Anna Nuclear Power Station, Louisa County, Va. (nuclear, base load, 11.6-percent ownership)
- Clover Power Station, Halifax County, Va. (coal-fired, base load, 50-percent ownership)
- Marsh Run Power Station, Fauquier County, Va. (natural gas with fuel oil backup, peaking, 100-percent ownership)
- Rock Springs Generation Facility, Cecil County, Md. (natural gas, peaking, 50-percent ownership)
- Louisa Power Station, Louisa County, Va. (natural gas with fuel oil backup, peaking, 100-percent ownership)
What is the difference between a base load and peaking facility?
A base load facility produces electricity at a constant rate to meet some or all of a region’s ongoing energy demands, usually at a lower cost relative to other production facilities in the same region. Most are nuclear or coal-fired facilities; some supplement traditional energy sources with renewable energy sources such as biomass.
A peaking facility produces electricity only when there is a high demand – typically on the hottest and coldest days of the year. Peaking facilities operate anywhere from a few hours per year to several hours per day depending on the condition of the region’s electrical grid. Many peaking facilities utilize gas turbines that burn natural gas. Peaking facilities typically cost more to operate on a cost-per-MW basis, but help ensure there is enough electricity to meet customer needs during peak summer and winter periods.
What separates electricity from other forms of energy?
Unlike other forms of energy, electricity cannot be stored effectively. Electricity is manufactured in a matter of seconds and must be delivered virtually at the speed of light. Load and generation must be a virtual match in order for the electricity grid to function.
Why are energy demands increasing?
Today, there are more homes and businesses using more appliances and electronic equipment than ever before. Whether they are cooking, watching TV, listening to music, lighting outdoor activities, playing video games, working on the computer, charging electronic devices such as cell phones or music players, or simply turning on a lamp to enjoy a book – humans use electricity in countless ways to improve and sustain their quality of life.
Additionally, in our service areas in particular, data centers that house a large number of computers to support the Web and mobile phone usage are increasing in numbers. These data centers have a tremendous need for electricity. This trend will only continue to accelerate as Virginia’s population grows.
Does ODEC encourage its consumer-members to be energy efficient?
Yes. As a not-for-profit, consumer-owned electricity provider, ODEC has been a leader in initiating and establishing numerous energy efficiency programs for more than two decades. In addition to consumer education efforts communicated through its membership magazine, Cooperative Living, cooperative newsletters, other publications and Web sites, ODEC offers an array of other energy efficiency programs including CFL bulb programs, home energy audits, new construction development programs and special consumer financing options for home energy improvements.
What is ODEC’s stance on renewable energy?
ODEC has utilized renewable energy for more than 50 years. Its member systems purchase approximately 75 MW of hydroelectric capacity from the Southeastern Power Administration, accounting for four percent of the cooperative’s wholesale power. ODEC has executed contracts to purchase 120 MW of wind energy, one MW of landfill gas power and an additional half-MW of hydroelectric power.
Does ODEC encourage its consumer-members to reduce demand at the time of the peak?
Yes. ODEC and its distribution cooperatives offer many opportunities for consumer-members to reduce demand at the time of the peak. These include interruptible rates, and direct load control of water heaters and air conditioners. In addition, ODEC’s distribution cooperatives exercise voltage reduction on their systems at the time of peak.
What can be done to stabilize demand?
Measures must be taken now to ensure that future demand can be met. While implementing demand response efforts is an important component to curbing demand, creating additional generation infrastructure is equally important. This is why ODEC is planning now to build its newest base load power station.
ODEC continues to encourage its consumer-members to engage in energy-saving practices to keep their own usage and associated costs down.
How can a stable, sufficient energy supply impact the economy?
In order for existing businesses to maintain and grow operations, a steady, reliable and affordable source of electricity must be available to them. This is also needed to attract new businesses, and is one of the fundamental selling points for government and economic development leaders who work to bring new businesses – like Rolls Royce – to this area.
Further, a socioeconomic impact study has been conducted by Dr. Roy Pearson, a veteran member of Virginia’s Governor’s Advisory Board of Economists and chancellor professor of business emeritus at the College of William and Mary. Results of Dr. Pearson’s study will be posted on www.cypresscreekpowerstation.com.
Why did ODEC decide to explore building a new advanced technology base load power station?
Despite ODEC’s consumer-members’ demand response and energy efficiency efforts, which reduced peak demand by an estimated 200 MW in 2007, demand continues to increase due to population and economic growth. Collectively, ODEC’s distribution cooperatives have grown both in the number of consumer-members and in overall consumption of electricity. ODEC’s system continues to grow faster than the national average. To meet such significant increases, ODEC needs additional base load generation.
What would the new power station be named?
ODEC’s new electric generation facility would be named Cypress Creek Power Station.
When would the power from the Cypress Creek Power Station be available?
Power from the new facility should be available by 2018.
What are the three most common fuel sources for base load generation facilities? Which was selected for the Cypress Creek Power Station?
Coal, natural gas and uranium/nuclear energy are the three most common fuel sources for base load power stations. A mixture of coal and biomass (wood waste) was identified as the optimal fuel source for this power station.
Why was coal selected as the primary fuel source?
Coal is the most cost-effective fuel source option for ODEC’s consumer-members. In addition, the latest generation technology will allow ODEC to utilize both coal and biomass in an environmentally responsible way.
Cypress Creek Power Station will be one of the most efficient units in Virginia, and a high level of efficiency is critical to lowering the state’s overall carbon dioxide emissions without a dangerous over-reliance on natural gas or oil. It will produce the same amount of electricity as older coal units in Virginia, but will only use as little as 70 percent of the coal it takes to fuel older units. Therefore, it will provide the same amount of electricity while producing 30 percent less CO2 emissions.
I’ve heard that coal is very abundant. Is this true, and how abundant is it?
Yes. According to the U.S. Department of Energy, coal is the most abundant fossil fuel in the U.S. – and the world. It is estimated that America has more than 200 years of available coal reserves. In fact, America has more than 250 billion tons of recoverable coal reserves, the equivalent of 800 billion barrels of oil, and more than three times Saudi Arabia’s proven oil reserves www.americaspower.org.
Were renewable fuel sources considered for the Cypress Creek Power Station?
Yes. ODEC is continually identifying new ways to incorporate renewable energy into its generation portfolio. For this generation facility, biomass, a renewable fuel source, will supplement coal as an energy source. However, as a base load station that will generate a significant amount of the region’s required energy, solely using renewable fuel sources simply isn’t feasible, as renewable energy constraints – particularly in Virginia – prohibit the exclusive use of renewable energy as a base load fuel source.
Why was biomass selected?
As part of its efforts to diversify its fuel source portfolio, ODEC sought the use of renewable energy to supplement coal for this advanced-technology Cypress Creek Power Station. With a steady supply of wood waste (biomass) near both of the proposed site locations, using biomass allows ODEC to repurpose waste generated by logging operations to reduce the amount of coal needed.
How much biomass will be used?
Depending on the ultimate size of this facility, biomass could produce enough power to provide electricity to 3,000-7,500 homes and businesses.
Why not use natural gas as the fuel source for the Cypress Creek Power Station?
Natural gas is cost-prohibitive and would not allow ODEC to fulfill its obligations to consumer-members. According to the Energy Information Administration, in October, 2008, electric utilities paid $2.19 per million BTU for coal, as opposed to $6.94 for natural gas and $16.68 for petroleum. Although the cost of generating electricity from coal has increased, it is still significantly less expensive than generating electricity from either natural gas or petroleum.
Why not use uranium as the fuel source for the Cypress Creek Power Station?
Uranium is highly efficient and has a minimal environmental impact, but it currently takes 15 to 20 years to build a nuclear generation facility. ODEC’s consumer-members’ increasing energy needs must be met much sooner.
Can Virginia fully rely on wind, solar or geothermal energy for power?
No. As evidenced by research conducted and maps created by the National Renewable Energy Laboratory (NREL), Virginia is very limited in renewable energy opportunities, and the few that exist cannot meet the around-the-clock base load energy demands of ODEC’s consumer-members.
How long has ODEC explored the idea of building a new power source?
ODEC announced in early 2008 that it was investigating the feasibility of constructing a base load generation facility.
Why did ODEC select the two sites for consideration?
ODEC decided to explore new base load generation facility site locations in Virginia after an extensive study of potential locations throughout the Mid-Atlantic. Candidate site locations were evaluated based on stringent criteria that included the presence or lack of existing infrastructure, land availability and the environment.
How much energy will the Cypress Creek Power Station be capable of producing?
The power station is anticipated to produce between 750 and 1,500 megawatts (MW) of electricity (one MW of electricity is enough to power more than 200 homes and businesses). It would serve more than 280,000 consumer-members in Virginia, including more than 9,000 Community Electric Cooperative consumer-members in and around the Surry County location and nearly 10,000 Prince George Electric Cooperative consumer-members in the vicinity of the Sussex County site.
How will ODEC minimize the environmental impact of this facility?
Cypress Creek Power Station will incorporate the most advanced pollution control technologies, yielding relatively lower emissions. These technologies will control sulfur dioxide (SO2), reduce oxides of nitrogen (NOx), control sulfuric acid (SO3) mist, and will remove more than 90 percent of any mercury produced. ODEC will obtain a permit issued by the Department of Environmental Quality (DEQ), and all such permits have conditions that ensure the protection of the environment.
In addition, several federal, state and local regulatory agencies and entities will have reviewed ODEC applications before particular components of the project move forward.
When will construction of Cypress Creek Power Station begin and how long will it last?
Throughout the project, ODEC will apply for several permits, authorizations, clearances and certifications, all of which must be approved by various combinations of federal, state, county and town agencies/entities. Before ODEC can break ground in either location, a series of permits must be granted by various authorities, including federal, state and local regulatory agencies and entities. Once ground is broken, construction of the facility and surrounding infrastructure will take approximately four years.
When will the decision be made about the location?
ODEC announced in December, 2008 that the preferred site for this facility is located in the town of Dendron in Surry County, Va.