ATLANTA — Georgia Power should delay building three new “dual-fuel” turbines at Plant Yates near Newnan to allow time to consider potentially less expensive alternatives, an independent energy consultant said Wednesday.
The Atlanta-based utility received bids late last week in an all-source procurement request for proposals (RFP) to expand its electrical generating capacity to meet Georgia’s rapidly increasing needs for power. Taking the time to evaluate those bids could help Georgia Power reduce its reliance on natural gas, Albert Lin testified during a hearing held by the state Public Service Commission (PSC).
“The amount of dependency on natural gas generation by Georgia Power is higher than the national average,” Lin said. “Further increasing the company’s dependence on natural gas will only expose the system and its users to greater incidence of price shocks. … It will show up in customers’ bills.
Georgia Power is seeking PSC certification to build the three turbines, which would run mostly on natural gas but switch to ultra low-sulfur diesel fuel when and if gas is unavailable, typically on cold winter mornings.
The project’s opponents are concerned not only about Georgia Power becoming more reliant on carbon emitting fossil fuels. They also argue natural gas prices are highly volatile.
“The monthly price swings for natural gas often exceed 50%,” said Lin, who testified Wednesday on behalf of the Sierra Club and the Southern Alliance for Clean Energy. “Moreover, the volatility is increasing over time.”
But Preston Thomas, a lawyer for the PSC’s Public Interest Advocacy Staff, said worries over price volatility with natural gas are exaggerated. The staff has recommended approval of the project.
“While there have been spikes, there have also have been sustained periods of low prices,” Thomas said.
Jeffrey Grubb, director of resource policy and planning for Georgia Power, testified that waiting until the company completes the all-source RFP process would delay its plans to add energy capacity that is sorely needed to service a growing number of power-hungry data centers cropping up in Georgia.
“Delaying the certification proceeding or decision is simply not an option,” Grubb said. “The RFP process, while generally beneficial, is time consuming and does not allow for the rapid deployment necessary to meet the company’s near-term capacity needs.”
Grubb also pointed out that the first of the new turbines Georgia Power plans to build would go into service during the winter of 2026/2027, while the RFP is geared toward the winter of 2029/2030 and beyond.
The PSC is scheduled to vote on the project on Aug. 20.
This story comes to GPB through a reporting partnership with Capitol Beat.
