FMPA Makes Final Debt Payment on Power Plant in Orlando
FMPA’s power costs declining; paying off generating unit reduces costs further
ORLANDO, Fla., Oct. 30, 2019 – Florida Municipal Power Agency (FMPA) made the final debt payments this month on its ownership interests in a coal-fired power plant in Orlando. FMPA’s wholesale power costs have been declining since 2009, and paying of this generating unit will help reduce power costs further.
FMPA has two ownership interests in Unit 1 at the Stanton Energy Center, which began operating in 1987. Paying off the loans on this unit will reduce FMPA’s power costs from its Stanton and Tri-City projects by an estimated 30% to 35%, assuming that Unit 1 continues to operate as it has historically.
“Stanton Unit 1 has been an outstanding generating unit for more than 30 years, and now that it is paid off, it will continue to be a valuable resource helping us provide low-cost power for our communities,” said Jacob Williams, general manager and CEO of the Orlando-based wholesale power supplier for municipal electric utilities. “FMPA has decreased its wholesale power costs 32% since 2009, and power costs from our members to their retail customers are lower today than they were in 2009.”
Two other FMPA power projects will be paid off within the next eight years. The final debt payment for FMPA’s St. Lucie Project is in 2026, and the Stanton II Project will be paid off in 2027. These projects will see cost reductions similar or greater to Stanton and Tri-City projects.