Central Nebraska Public Power and Irrigation District, Courtesy
HOLDREGE — The Central Nebraska Public Power and Irrigation District’s board of directors approved a new power purchase agreement with Municipal Energy Agency of Nebraska (MEAN) at their monthly meeting on Monday.
The 10-year purchase agreement between Central and MEAN is for power generated at the Johnson No. 1 and Johnson No. 2 hydroplants and includes multiple terms related to revenue including on-peak, off-peak pricing and capacity pricing.
Beginning Jan. 1, 2024 through Dec. 31, 2033 all power generated at the J1 and J2 plants will be delivered to MEAN for their customers in Nebraska, Iowa, Colorado and Wyoming. Together, the two plants have the accredited capacity of 42 megawatts of carbon free energy.
MEAN is one of four organizations that make up the Nebraska Municipal Power Pool (NMPP) energy coalition. MEAN is a not-for-profit organization that provides wholesale electricity supply and services to 69 participating communities in four states.
The Jeffrey Hydroplant near Brady, Neb., is not included in the agreement with MEAN. Central currently plans to sell over 20 MW of power generated by that plant in the Southwest Power Pool (SPP) market while the board actively investigates ways to improve realized value, including potential arrangements with Dawson Public Power District. Evergy has offered to assist with marketing the power for Central starting on Jan. 1, 2024 while that exploration continues.
Also at Monday’s board meeting:
- The board awarded the bid tab of $79,500 to Heritage Hydro Governor of Plover, Wisconsin for the refurbishment of four 10 horsepower Woodward governor pumps. The pumps are used at Jeffrey and J1 powerhouses and have been in service since the 1940s.
- Directors discussed upcoming water service rates and supply for 2024. Rate discussion centered around the funding possibilities for some historic upcoming large capital improvement projects like the Kingsley Dam resurfacing project which could bring a price tag of between $80 and $200 million. Directors took no action on the water service rate structure and will take up the topic at their meeting on Nov. 17. Staff has recommended a normal water delivery year for 2024.
- Irrigation and Water Services manager Scott Dicke provided an overview of the November water services committee meeting including an update on educating customers and other producers regarding the increased aquatic growth in the canals and laterals after a pivot fertigates/chemigates over them. He added a reminder will likely be sent out regarding section 1 of the pivot policy that requires an adequate amount of gravel in pivot tracks crossing canal roads.
- Natural Resources and Compliance Manager Mike Drain gave an update on the Maintaining and Enhancing Hydroelectricity and River Restoration Act that has been introduced in the Senate with bipartisan support. The legislation would provide a 30% investment tax credit for hydropower infrastructure investments related to dam safety with a direct-pay provision for tax-exempt organizations like Central.
- Drain explained how this legislation, if enacted, would save Central, its customers and other Lake McConaughy beneficiaries tens of millions of dollars on the upcoming project to reface Kingsley Dam. The board voted unanimously to endorse and seek support for the legislation.
- The board heard an update on the Kingsley Dam project. The next four months will be spent working with national experts to decide on the best solution for the project. The resurfacing project solutions include concrete-faced soil-cement or properly installed rip rap. An initial estimate for the cost of the repairs range from $80 million to $200 million and the start date is likely to be no earlier than 2025.
- Tyler Thulin reported that Lake McConaughy’s elevation currently is 3,234.6 feet, or 55.8% of maximum volume. Current inflows are around 1,300 cubic feet per second (cfs) and outflows are 775 cfs. 325 cfs of that outflow is being released in the North Platte river to meet FERC required diversions. An additional 450 cfs is being taken into NPPD’s Keystone canal to refill their system.
- Thulin added that the J1 outage began on Monday and Johnson Lake would be at its lowest point, about 13 feet below normal. A dike is being pushed across the outlet channel to allow for inspection of the J1 powerhouse inlet concrete structures. It is important that residents and the general public avoid the area for safety purposes due to heavy machinery and large trucks being used. Thulin said Johnson Lake should refill by the end of the month.
