Dixon Diversion, if built, could increase power generated by the Bradley Lake hydro project by 50%, said the Alaska Energy Authority, which is planning the project. This could further reduce the use of gas by 1.7 billion cubic feet per year. Homer Electric Association and Golden Valley Electric in Fair- banks get a share of Bradley Lake hydo power in addition to MEA and Chugach. The combined gas savings could exceed 5 billion cubic feet per year but this just dents the gas volume now used by Chugach and MEA, which combined is about 18.6 bil- lion cubic feet for power generation, the utilities have said. Enstar separately uses about 38 billion cubic feet a year for its cus- tomers, for space heating.
The savings in natural gas could range from 2.8 billion to 3.5 billion cubic feet of gas yearly depending on the ultimate size of the wind project. MEA and Chugach could reduce their needs for gas depend- ing on how much wind power they agree to buy. The new solar project in the Mat-Su is “Hawk Lane Phase 2,” being planned by Renewable IPP, also an Alaskan firm. The project involves a major expansion of Re - newable Resources’ current smaller project operating near Houston, in the Mat-Su. The current solar project has a capacity of 8.5 megawatts. Hawk Lane Phase 2 hasn’t been sized yet but it is reported to be similar to a 45 Megawatt Kenai Peninsula solar project, Puppy Dog Lake, planned by the same company. The savings in natural gas for the solar project is roughly estimated at 0.4 billion cubic feet per year. If both Little Susitna wind and Hawk Lane 2 are built larger scale, the annual gas savings could ap- proach 4 billion cubic feet per year.
Matanuska Electric and Chugach, there are few alternatives for Enstar other than gas. “The MEA board is focused on diversifying our energy mix to sta- bilize prices, increase energy se - curity and ensure reliability,” MEA spokesperson Julie Estey said. “MEA is leaving no stone unturned to di- versify and ensure stable fuel sup- ply with current natural gas uncer- tainty. All options are on the table.” Many projects are being investi- gated in coordination with Chugach Electric based on the current gen- eration sharing power-pool agree- ment between the two utilities. Two significant near-term re- newable energy projects MEA and Chugach are working on are both in the Matanuska-Susitna Borough and include a wind project near Mount Susitna that could have a 100 Megawatt to 150 Megawatt capaci- ty depending on decisions made by customers for the power, mainly MEA and Chugach most likely. Little Susitna is being planned by Alaska Renewables, a Fairbanks company.
— Tim Bradner
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