SB 152 – AS INTRODUCED

2009 SESSION

09-0395

06/10

SENATE BILL 152

AN ACT relative to an investigation by the public utilities commission to determine whether the scrubber installation at the Merrimack station is in the public interest of retail customers.

SPONSORS: Sen. Janeway, Dist 7; Rep. Cushing, Rock 15; Rep. R. Read, Rock 16; Rep. Borden, Rock 18

COMMITTEE: Energy, Environment and Economic Development

ANALYSIS

This bill requires the public utilities commission to investigate whether installation of mercury scrubber technology at Merrimack Station is in the interest of retail customers of Public Service Company of New Hampshire.

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

09-0395

06/10

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Nine

AN ACT relative to an investigation by the public utilities commission to determine whether the scrubber installation at the Merrimack station is in the public interest of retail customers.

Be it Enacted by the Senate and House of Representatives in General Court convened:

1 Public Utilities Commission Investigation; Purpose. The purpose of this legislation is to require the New Hampshire public utilities commission to investigate, in light of substantial cost increases now projected by Public Service Company of New Hampshire (PSNH), whether installation of the wet flue gas desulphurization system (“scrubber”) at the Merrimack Station electric generating facility in Bow, as mandated by RSA 125-O:11 et seq., is in the public interest of retail customers of PSNH.

2 Commission Investigation. The New Hampshire public utilities commission shall investigate whether the installation of mercury scrubber technology at Merrimack Station as required by RSA 125-O:11 et seq. and any associated modifications, including but not limited to those modifications necessary to satisfy scrubber power consumption requirements, are:

I. In the interest of retail customers of PSNH.

II. The least cost means of meeting PSNH’s customer requirements in a manner that reduces mercury emissions by at least 80 percent.

III. Consistent with the state’s energy policy under RSA 378:37.

3 Scope of Investigation. The New Hampshire public utilities commission shall investigate the following:

I. The projected future operating and capital costs of Merrimack Station, including but not limited to, costs associated with the scrubber project, future projected carbon prices, and other actual or reasonably anticipated environmental compliance costs and coal prices.

II. The projected costs of alternative supply options to serve PSNH’s customers, including but not limited to, other utility-owned generation, renewable sources of energy, energy efficiency measures, demand side management, and any combinations of such sources that could reliably replace supply currently generated by Merrimack Station, taking into account the requirements of integrated resource planning under RSA 378:38.

III. Whether it is in the interest of retail customers of PSNH, and consistent with state energy and environmental policy, to complete the scrubber project, or whether alternatives should be considered to meet the energy needs of PSNH customers.

4 Report. This investigation shall be completed as expeditiously as possible, with an opportunity for public participation. The public utilities commission shall submit a report to the senate president, speaker of the house of representatives, and the state librarian no later than 90 days after the effective date.

5 Effective Date. This act shall take effect upon its passage.