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HomeMy WebLinkAbout12 Carbon Free Power Projectenda Item # 12 To: Board of Directors From: Stephen Hollabaugh Date. February 07, 2018 Subject: Discussion of Carbon Free Power Project (CFPP) Regarding Small Modular Reactor (SMR) Project 1. WHY THIS MATTER IS BEFORE THE BOARD UAMPS has been investigating a new generation resource called the Carbon Free Power Project (CFPP). This item is to discuss the Small Modular Nuclear Reactor (SMR), why it works, project structure, technology, alternatives, integration, team, contract and permits, and power sales contract. 2. HISTORY The Board has held several workshop and action last two years. The three phases of the CFPP ai Phase and Construction Phase. Below is a list of these meetings: items concerning the CFPP over the Study and Siting Phase, Licensing • April 15, 2015; Introduced the project to the Board; • August 193 2015; Board approved to enter into an agreement with UAMPS for the study phase of the project and a 4 MW site share of the CFPP; • September 12-13, 2016; Staff and two Board members attended UAMPS Informational Session concerning the project; and • January 19, 2017; Workshop to discuss carbon -free hedge,outreach plan, and the start of the Licensing Phase of the project and the three sub -phases of the Licensing Phase. • February 1, 2017; Workshop to discuss Small Modular Reactor (SMR) technologyCFPP licensing phase and financial and environmental , performance Truckee Donner Public Utility District staff has been attending monthly UAMPS project management committee (PMC) meetings regarding the CFPP. The CFPP has completed the study phase and is considering participation in the licensing phase. As stated before, there remains numerous off ramps for this project going forward. 3. NEW INFORMATION This workshop will discuss all aspects of the CFPP prior to bringing a power sales contract to the Board for consideration in March 2018. The power sales contract leads the project into the licensing phase including the discussion of future off ramps. UAMPS speakers will be in attendance at this workshop to present all aspects of the CFPP project. The workshop will include (not a complete list): • What is CFPP • Why it Works • Structure • Technology • Alternatives • Integration • Team • Contracts and Permits • Power Sales Contract • What are we asking you to do next? (March Board meeting) There will be additional informational slides available, at the Boards descretion and pleasure. 4. FISCAL IMPACT There is no fiscal impact associated with this workshop item. The CFPP is a hedge against a base load generation cost and a hedge against carbon dioxide regulation that may impose cost burdens on existing fossil fuel resources and/or to provide greater diversification in our resource portfolio. The next step will be consideration of the power sales contract and will involve participation in the licensing phase of the project that still has many off ramps. 5. RECOMMENDATION Receive and provide input on this report Stephen Hollabaugh Assistant General Manager Michael D. Holley General Manager