Santan expansion will benefit East Valley residents

By Richard M. Hayslip,
Manager, Environmental, Land and Risk Management,
Salt River Project

At no time is the value of electricity more apparent in the Valley than when temperatures climb above 100 degrees, as they have several times already this year. As temperatures rise, so does our need for more energy.

SRP is committed to assuring that our customers have the electricity they need to operate their air conditioners, computers, pool pumps and lights.

That commitment is all the more challenging since the number of SRP customers has increased more than 15 percent during the past five years -- a record 30,000 customers alone in 1999. Assuming at least two persons per customer account that means SRP must accommodate the equivalent of a new city with a population of 60,000 being added to its system in just one year. Most of that growth has been in the East Valley, where a majority of our customers live and where we anticipate the greatest demand for power during the next 10 years.

Looking further ahead, we project that in the next few years there could be a significant gap between our customers' peak usage and what SRP can provide from our own power plants and other sources. In other words, when demand exceeds supply, shortage occurs -- and that could cause your lights to dim or go out.

SRP has identified a number of alternative strategies to meet the challenge of unprecedented customer growth and we are working to implement them as quickly as possible.

Recently, SRP began construction on an important new transmission line in the East Valley that will help maintain reliability and accommodate growth in that region.

In addition, we are proposing to increase the generating capacity at both the Kyrene Generating Station in Tempe and the Santan Generating Station in Gilbert. SRP hasn't built a local generating facility since the 1970s, and it is critical that we expand our electricity supply at these two sites to ensure a reliable supply of energy for the East Valley.

SRP is and will continue to enlist the assistance of municipal leaders and the communities we serve to make certain that these expansion projects are accepted by their surrounding neighborhoods.

To that end, we have created a Community Working Group (CWG) in Gilbert that is advising us on how to mitigate the appearance, noise and air-quality impact a new generating station would have at the Santan site.

The Gilbert CWG's recommendations, which led to an Intergovernmental Agreement with the Town of Gilbert, will ensure a number of site improvement measures that will not only mitigate the visual impact of the proposed new facility but will enhance the appearance of the existing SRP property in Gilbert.

In addition, the public can weigh in on the decision-making process by visiting our website at www.santanfacts.org or by attending open house meetings. The next scheduled meeting is 5 to 8 p.m. on June 7 at the Finley Farms Elementary School in Gilbert.

Our proposed expansion plan at the Santan site would provide electricity for 150,000 to 200,000 homes and delays the immediate need for new transmission lines to bring power into Gilbert from elsewhere in the state. The new natural gas facility, using the most efficient fuel and state-of-the-art, combined-cycle technology, would be equipped with the best available emission-reduction technology and will be smaller, quieter and less intrusive than older power plants.

Before any new power facility is permitted to operate, it must demonstrate compliance with stringent air-quality requirements. Furthermore, when the new Santan plant is completed, it would be required to reduce specific emissions from other sources by as much as 120 percent --- a net result in permanently retired emissions in Maricopa County.

Expansion of SRP's existing facilities at the Santan Generating Facility will alleviate the shortage of electricity and strengthen the electric grid by injecting additional power directly into the East Valley where it is needed most.

The expansion also will provide a much-needed boost to Gilbert's tax base, and its schools will be the direct beneficiary. The proposed new Santan facility will pay the Gilbert Unified School District approximately $3 million in new tax dollars annually which will help improve the quality of our children's education while also lowering the property tax burden on Gilbert's residents.

As we head into another summer of triple-digit temperatures, it is vital that SRP acts now to meet the increasing demand for electricity in the East Valley. In California, utilities already are pleading with their customers to reduce their electricity use to help avoid energy shortages. U.S. Energy Secretary Bill Richardson has predicted summer energy shortfalls in many parts of the country as well.

SRP is committed to finding a solution to this very serious problem, one that affects the lives of our residential customers and the economic growth of East Valley businesses. We are just as committed to involving our customers in this process.

Please call SRP at (602) 236-2679 if you have any questions or thoughts on our need for local energy generation. As we work toward meeting increased electric system requirements, we will at the same time keep the best interests of our customers foremost in our minds.

Richard M. Hayslip is manager of SRP's Environmental, Land and Risk Management department.