Regulators approve FPL’s Dania Beach power plant idea

The Florida Public Service Commission on Thursday approved a new $888 million power plant to be built in Dania Beach by Florida Power & Light Co.

Regulators said the new natural gas plant, proposed by FPL last year, is a more efficient, clean energy alternative to the existing Dania Beach plant.

“The Dania Beach Clean Energy Center will save FPL customers from $299 million to $364 million, as well as generate additional tax revenues for local governments and new jobs during the plant’s construction,” said Public Service Commission Chairman Art Graham. “The new plant will also reduce harmful air emissions, helping environmental quality.”

FPL spokesman Dave McDermitt said the commission’s determination that the plant is needed is a “big milestone” for the Juno Beach-based electric utility. If other state and environmental approvals are secured, FPL could dismantle the existing plant by year’s end and begin construction on the new plant, with operation planned by June 2022, he said.

Florida’s Office of Public Counsel, which represents electric ratepayers, last year told the commission that FPL hadn’t met the “burden of proof ” for the need of a new plant in 2022. FPL’s own 10-year site plan didn’t project a need for new energy resources until 2024, the Public Counsel pointed out to the commission.

However, commissioners agreed that retiring FPL’s existing power plant this year and reusing its infrastructure for the new plant is the most cost-effective way to meet customers’ increasing power needs.

In July, the commission voted unanimously to allow FPL to dispense with a requirement to solicit competing bids before rebuilding its Dania Beach natural gas plant.

FPL projects its customer accounts to grow to more than 5.2 million by 2022. Currently, the utility has nearly 5 million customer accounts, which reflects about 10 million people.

The modernized 1,163-megawatt plant would be built on the site of the existing plant, using the same transmission lines, substation and gas infrastructure, according to FPL’s proposal. Emission rates from the new plant would be lower by 95 percent for nitrogen oxide and by 22 percent for carbon dioxide, and its water allocation for power generation would be lower by 1.0 million to 1.69 million gallons per day, the commission said.

While the construction project would provide as many as 600 jobs, the plant itself would only take about 30 people to operate, McDermitt said.

The next step is for FPL to seek approval for the new plant from the Florida Cabinet.