Progress Energy Carolinas Seeks Renewable Energy Proposals

To support Progress Energy Carolinas’ balanced solution to meeting the future energy needs of a growing region—and to meet increasing renewable energy targets that take effect in the near future—the company is seeking information from potential suppliers about the availability of renewable and alternative electricity generation.

Progress Energy Carolinas issued a request for proposals on renewable energy sources that have the potential to be included in the company’s portfolio of energy resources used to meet the needs of 1.4 million homes and businesses. The company’s Carolinas service area is growing by 25,000 to 30,000 new households and businesses every year.

In addition to investing in renewable energy technologies, the company’s strategy also includes increased energy efficiency (with numerous programs and initiatives already under way) and state-of-the-art power plants.

Progress Energy worked with policy makers, environmental organizations, and industry and consumer groups to develop a comprehensive energy policy for North Carolina. The legislation, adopted this year, requires Progress Energy Carolinas and other investor-owned utilities in the state to provide 12.5 percent of energy sales in the state through renewable energy sources and energy efficiency by 2021. Progress Energy Carolinas is developing and implementing a number of energy-efficiency programs and initiatives as part of the company’s goal of doubling system-wide energy efficiency to 2,000 megawatts (MW) in the next 10 years.

Progress Energy Carolinas seeks proposals for energy and capacity from renewable resources placed in service Jan. 1, 2007, or later to ensure compliance with state law. The company expects to purchase up to 1 million megawatt-hours of renewable energy when the initial phase of the state renewable standard takes effect in 2012.

Specifically, the company is requesting bids for capacity and energy from solar photovoltaic (PV) or solar thermal projects of greater than 50 kilowatts and from non-solar generators of more than 5 MW. The latter category includes such technologies as wind, hydropower, geothermal, ocean current/wave energy, biomass (agricultural waste, spent pulping liquors, energy crops, etc.), landfill methane or hydrogen derived from a renewable resource.

Reflecting specific provisions of the state’s energy law, priority will be given to proposals involving solar resources that will be in service by Jan. 1, 2010, and to projects fueled by swine or poultry litter.

The request for renewable proposals is open-ended, but the company will announce certain deadlines to meet resource-planning needs in the future. The first deadline for renewable proposals to be considered in the next round of resource planning is Jan. 1, 2008. Bidders responding by that date will be notified by April 30, 2008, of Progress Energy Carolinas’ intent to enter further discussions.

The request for proposals, including information on the process for submission, can be viewed in its entirety at EC



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