Plans for a 100MW solar power plant, along with a natural gas facility, are being drawn up to replace a coal power project in Toquop, near Mesquite in Nevada.

Sithe Global Power, part of the Blackstone Group, had planned a 750MW coal-fired power station, but has now abandoned the idea.

Instead, a 700MW natural gas plant will be developed along with the 100MW solar photovoltaic facility in a $1.4 billion project.

Tony James, President and Chief Operating Officer of the Blackstone Group, said: “The Toquop project will combine natural gas and solar power generation to bring clean and renewable electricity to the people of Nevada.”

US Senator Harry Reid, who has been lobbying against the Toquop project for a number of years, said: This announcement means jobs for Nevada. I thank Sithe Global for embracing our state’s role as a leader in developing clean energy and making an investment in our state that will help out Nevadans to work and lead us toward energy independence.”

U-turn

Senate Majority Leader Harry Reid has been lobbying against the coal project

Monday’s announcement marks a U-turn by Sithe Global Power, which had told Senator Reid back in 2007 that natural gas was too expensive and that Nevada had an undue reliance on it, adding that a solar plant would require too much land compared to a coal facility.

In correspondence to Sen Reid dated August 14, 2007, the company warned that an equivalent solar project would require 20,000 acres of land, threatening wildlife like the Desert Tortoise.

The company had originally proposed a gas-fired power station back in 2002, but called that project off because of higher gas prices.

Coal abandoned

Sithe Global’s decision means the last of three coal-fired power projects destined for Nevada has been scrapped. Both NV Energy and LS Power have also shelved coal power proposals for the state this year, fearing financial uncertainty attached to coal power.

Those firms abandoned respectively 2,500MW and 1,600MW proposals to concentrate on cleaner forms of power.

Residents of Mesquite and Southeastern Nevada have campaigned for years against the Toquop proposals, and applauded the decision to switch to less polluting options.

“We can all breathe a little easier now,” said Michele Burkett of the group Defend Our Desert.

“Now we hope that this can pave the way for Nevada to become our nation’s leader in developing home-grown clean, renewable energy. That will enable us to become an energy exporter while growing our own economy with good long-term jobs.”

Former Public Utilities Commissioner and Nevada Consumer Advocate Tim Hay said 125 proposals for coal-burning plants have been halted nationwide, as developers or regulators find other options.

“More and more power providers and investors are realizing the high risks associated with coal, while at the same time looking for ways that new and existing demand can be met with a combination of cleaner energy sources and also a full menu of energy efficiency measures,” said Mr Hay. “Ultimately, that’s good for both shareholders and rate-paying customers.

Buck