Electric System On-Island Capacity Alternatives for Prince Edward Island
Read the Full Synapse Energy Economics review of Maritime Electric’s proposal for a 100 MW combustion turbine power generator.
Synapse is an independent third-party reviewer commissioned by IRAC.
Key Takeaways
This review, commissioned by IRAC’s own experts, recommends that IRAC reject Maritime Electric’s proposal for two 50 MW combustion turbines.
The review finds that BESS would be a more cost-effective option, as reliable as, if not more reliable than, combustion turbines, and would reduce the environmental impact of our energy production.
The review notes that there have been significant advances in BESS technology and significant increases in the operating cost of combustion turbine options. The estimated cost to install 100 MW of BESS technology would be $271 million, while 100 MW of combustion turbines would cost an estimated $411 million.
The timeline for installing a Battery Energy Storage System is the same as the timeline for installing combustion turbines.
BESS technology is successful in jurisdictions with similar climates to PEI.
Maritime Electric admits that the combustion turbine will steadily increase fossil fuel consumption, and the capacity factor of the proposed CT resource will increase over time. This puts the project at odds with the Province’s carbon reduction goals.
In short, IRAC has been presented with evidence by their go-to energy economists that Maritime Electric’s proposal is more expensive and environmentally harmful while performing no better on reliability, functionality, load capacity, or any other meaningful metric than available alternatives.