Florida cities have adequate electric generating capacity to serve customer needs

ORLANDO, Fla., April 26, 2011 – No new power plants are projected to be needed until 2020 for a group of 14 Florida cities, according to a report submitted to the Florida Public Service Commission this month.

The 14 cities served by the Florida Municipal Power Agency’s (FMPA) All-Requirements Project are estimated to have adequate electric generating capacity until summer 2020, according to a long-term power supply report, known as the Ten-Year Site Plan.

“Our customers want power that is reliable, affordable and environmentally responsible. Long-term planning helps us achieve that balance,” said FMPA General Manager and CEO Nicholas P. Guarriello.

FMPA’s All-Requirements Project supplies all the wholesale power needs of 14 Florida cities, including Bushnell, Clewiston, Fort Meade, Fort Pierce, Green Cove Springs, Town of Havana, Jacksonville Beach, Key West, Kissimmee, Lake Worth, Leesburg, Newberry, Ocala and Starke.

FMPA forecasts that customers’ demand for power will reach a peak of approximately 1,270 megawatts in summer 2011 and increase to approximately 1,420 megawatts in 2020. At this time, FMPA plans to meet the need for additional generating capacity in 2020 through a power purchase from a supplier to be determined.

Other key elements of FMPA’s Ten-Year Site Plan include:

• Cane Island Unit 4: This 300 megawatt natural gas-fueled generator is under construction in Osceola County, Fla. When it begins operation later this year, it will be one of the cleanest and most efficient plants in Florida.

• Renewables and Energy Conservation: FMPA continually evaluates renewable power and energy conservation as part of its long-term planning process. FMPA uses renewable energy resources, including solar photovoltaic power, landfill gas and biomass. In addition, the All-Requirements Project operates a highly successful energy conservation program and encourages the development of customer-owned renewable generation through a net metering program.

• Power Sale to Quincy, Fla.: FMPA is optimizing the use of its generation capacity resources as part of a strategic plan to lower wholesale electric costs. As part of this effort, FMPA has become the city of Quincy’s new wholesale electric provider. The city chose FMPA’s bid to provide full-requirements service of approximately 23 megawatts for a five-year term that began in January 2011.

FMPA continues to monitor trends in electrical demand and update its power supply forecasts. When a need for additional electrical generating capacity is projected, FMPA evaluates the cost effectiveness of alternatives through its integrated resource planning process.

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Florida Municipal Power Agency (FMPA) is a wholesale power company owned by 30 municipal electric utilities. FMPA provides economies of scale in power generation and related services to support community-owned electric utilities. The members of FMPA serve approximately two million Floridians.