New Orleans City Council approves construction of new power station
The New Orleans City Council gave the go-ahead to Entergy New Orleans to construct the New Orleans Power Station, a 128-megawatt unit power facility.
This electric generating facility is composed of seven natural gas-fired reciprocating engines. It will support reliable service and essential grid stability and support the inclusion of renewables. Reciprocating engines are the same engines used in cars and trucks. Further, they will include self-start capability, which gives the ability to start the unit even when there is no power on the electric grid.
“Two years ago, the council charged us with finding a solution to provide reliable, safe and affordable power generation following the deactivation of the former Michoud units,” Charles Rice, president and CEO of Entergy New Orleans, said. “We appreciate the council members and advisors looking at all of the facts before making a decision and are glad they came to a reasonable conclusion regarding the need for this unit.”
The plant – which will cost approximately $210 million to build — is scheduled to open by January 2020. This month, Entergy New Orleans expects to issue a full notice to proceed with the engineering, procurement and construction contractor.
“The city needs local, reliable power generation that is affordable for all of our customers, and this facility will provide just that,” Rice said. “There has been quite a bit of misinformation circulated over the last 18 months by opponents to the plant. However, as demonstrated by independent, third-party experts who testified during the council’s December evidentiary hearing, the unit is sound from economic, safety and environmental perspectives.”
The construction is expected to generate nearly $206 million in new business sales in Orleans Parish, more than $28 million in new household earnings for parish residents, an average of 92 jobs per year, and pump nearly $983,000 in new sales taxes into the Orleans Parish treasury. Once complete, it will employ about 20 people.
Entergy New Orleans provides electricity to more than 200,000 customers and natural gas to more than 106,000 customers in New Orleans.
