December 21, 2007
RICHMOND, Va. – A unit of Dominion (NYSE: D) has agreed to invest approximately $500 million to reduce dramatically the amount of cooling water its Brayton Point Power Station uses from Mt. Hope Bay, thereby minimizing the station's thermal impact on the bay.
This investment by Dominion New England, combined with previously announced air emissions equipment being installed at the station, will bring the company's investments in environmental improvements at Brayton Point to approximately $1.1 billion since the station was acquired in 2005.
"As one of the largest electricity generators in New England, Brayton Point plays a vital role in ensuring reliable electric service for the region," said Thomas F. Farrell II, chairman, president and chief executive officer. "Dominion's investments to improve air and water quality also will help ensure that it is one of the most environmentally advanced facilities of its kind. We now have established a clear path for operating these generating units well into the future and supplying much-needed electricity to New England."
Working in cooperation with the U.S. Environmental Protection Agency, the states of Massachusetts and Rhode Island and several environmental groups, Dominion has agreed to install a closed-loop system that will reduce the amount of cooling water Brayton Point requires by more than 90 percent. Dominion also dropped its appeal of the EPA permit filed in federal court.
Brayton Point now uses about 1 billion gallons of water each day from Mt. Hope Bay.
Dominion will construct two natural draft cooling towers for all four electricity generating units to comply with the National Pollution Discharge Elimination System (NPDES) permit. Dominion is committed to completing the construction in an expeditious fashion to achieve the necessary reduction outlined in the permit.
Brayton Point, one of New England's largest fossil-fueled power stations, has two coal-fired units and one oil-fired unit generating a total net summer capability of 1,568 megawatts. It is located about 30 miles south of Boston and 13 miles east of Providence, R.I. and is capable of burning coal, natural gas and oil. Brayton Point supplies 16 percent of the electricity used in Massachusetts and 8 percent of New England's needs.
Dominion is one of the nation's largest producers and transporters of energy, with a portfolio of approximately 26,500 megawatts of generation, 7,800 miles of natural gas transmission pipeline and 1 trillion cubic feet equivalent (Tcfe) of proved natural gas and oil reserves. Dominion also owns and operates the nation's largest underground natural gas storage system with about 960 billion cubic feet of storage capacity and serves retail energy customers in 11 states. For more information about Dominion, visit the company's Web site at http://www.dom.com.
# # #