Construction of the Russell city energy center in Hayward, Alameda county, is expected to begin later this year.
The Russell city facility will be designed to operate in a way that produces 50% fewer greenhouse gas emissions than the advanced coal-fired plants and 25% fewer greenhouse gas emissions than the standard set by the California Public Utilities Commission, the company said.
The recent action by the Bay Area Air Quality Management District (BAAQMD) to grant a Prevention of Significant Deterioration (PSD) permit is the final federal regulatory approval needed for the project to move forward.
Jack Fusco, president and CEO of Calpine, said: “Since our inception in 1984, Calpine has been an environmental leader investing in power plants that use modern emissions control technology and consistently outperform conventional fossil-fueled plants in curbing emissions that contribute to global warming.
“By utilizing these environmentally responsible technologies, at plants such as Russell City, Calpine will help meet California’s growing demand for electricity while dramatically decreasing emissions.”
The facility will use 100% reclaimed water from the city of Hayward’s water pollution control facility for cooling and boiler makeup.
The California Energy Commission granted a license for the plant in September 2007, and the California Public Utilities Commission approved a 10-year power purchase agreement in April 2009 under which PG&E will purchase the electricity generated by the plant.
The Russell city project is jointly owned by Calpine, which holds a 65% equity interest and serves as development manager, and an affiliate of GE Energy Financial Services, which holds a 35% equity interest.
