October 12, 2011
Calpine, GE Celebrate Construction of Russell City Energy Center, Honor On-Site Construction Workers
Executives of BCSE member Calpine Corporation and GE unit GE Energy Financial Services today joined state and local officials, construction trade representatives, contractors, community leaders and business partners in celebrating the continuing construction of the 619-megawatt, combined-cycle Russell City Energy Center in Hayward, California. The event honored hundreds of on-site construction workers.
"We are very proud that the Russell City Energy Center will use the most advanced emissions control technology available today for a natural gas-fired power plant and that its construction is providing jobs at a time when they are greatly needed in California," said Jack Fusco, Calpine's President and Chief Executive Officer. "Calpine was founded in California and has always been committed to helping meet the state's power needs in an environmentally responsible manner. This project will provide reliable and cost-effective electricity to citizens of Hayward and the Bay Area and, importantly, support the integration of increased renewable power."
Calpine began developing the Russell City Energy Center in 2001 and owns 75% of the project, while a GE Energy Financial Services affiliate owns the balance. In June, an $844.5 million credit facility was secured to finance construction of the plant, the nation's first to receive a federal air permit that includes a voluntary limit on greenhouse gas emissions. BCSE member Pacific Gas and Electric has agreed to purchase the full output of electricity from Russell City upon completion and will supply natural gas under a 10-year power purchase agreement approved by the California Public Utilities Commission in September 2010. The facility will play a critical role in meeting the Bay Area's power needs as older, emissions-intensive plants are retired and in supporting the growing renewable integration projects in California.
The facility will use the most advanced emissions control technology available today for a natural gas-fired power plant. In addition to minimizing air emissions, the plant will conserve water by using reclaimed wastewater from the City of Hayward's Water Pollution Control Facility for all cooling and boiler makeup. This environmentally responsible process will prevent up to four million gallons of wastewater from being discharged into San Francisco Bay each day. In addition, the plant will generate approximately $30 million initially in one-time tax revenue, followed by recurring property tax revenues.
For more information, please see the full release