Project Background
In recent years, there has been a dramatic increase in the demand for electric power from the homes, farms and businesses served by ODEC’s electric distribution cooperatives. Collectively, ODEC's member cooperatives have grown both in the number of consumer-members and in the overall consumption of electricity. This rate of growth has been consistently higher than the national average. Due to these trends, as well as projections, ODEC announced in early 2008 that it was investigating the feasibility of constructing a base load electric generation facility in Virginia’s Surry County or Sussex County.
As part of ODEC's mission to provide reliable, safe and economic wholesale electric power to its consumer-members, ODEC has meticulously reviewed all fuel source options – both traditional and renewable – for the Cypress Creek Power Station.
Although there are many benefits associated with uranium as a fuel source for base load generation facilities, it simply takes too long to bring such a station online in the current political and social landscape. Because of increased demand for electric power, ODEC ruled out a nuclear power station, as such a facility would not be able to meet its consumer-members’ energy needs for at least two decades. Natural gas, one of the two remaining fuel sources capable of powering a base load station, has a strained supply. With exponential price increases during the past quarter century – and especially recently – it is an unreliable and cost-prohibitive fuel source. After eliminating uranium and natural gas as viable fuel sources for this facility, ODEC carefully evaluated coal, the third remaining type of fuel capable of powering a base load power station. It was decided that coal would be a safe, reliable and cost-effective source for this facility because when combined with advanced-technology generation, coal has a relatively low environmental impact.
In addition, it is both abundant (the U.S. has more than three times the amount of known coal reserves than Saudi Arabia has oil) and inexpensive (the price of coal has remained significantly lower than the price of natural gas since the 1970s). In addition, ODEC will mix biomass, a form of renewable energy, with coal. Potentially, this facility will produce between 750 and 1,500 MW of energy, meaning biomass alone will power thousands of homes and businesses. (ODEC cannot use more biomass at this time due to transportation costs and other constraints.)
Although constructing additional generation infrastructure is a critical component of meeting Virginia’s energy needs, ODEC knows it is not the only piece of the puzzle. Demand response, energy efficiency and renewable energy are vital parts of the equation. Therefore, ODEC and its distribution cooperatives continue to encourage its consumer-members to participate in the various existing and new demand response and energy efficiency programs.
Additionally, ODEC continually is exploring renewable energy to further diversify its fuel source portfolio. In fact, ODEC's member systems have purchased approximately 75 MW of hydroelectric capacity and 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.
ODEC is firmly committed to the well-being of the communities it serves and in which it operates. And, ODEC strongly believes in openly communicating about its generation facilities, both during the construction phase and once they are in operation. To learn more about this facility, visit www.CypressCreekPowerStation.com or call 866.348.9976.
