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\n Why does Idaho Power want to build two new natural gas plants? Growth is outpacing its resources
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“With growth comes more demand across all of our service territory,” Hackett said. “That growth is across multiple sectors, anything from residential and irrigation \u2013 we’re seeing a lot in the manufacturing and industrial.”<\/p>\n<\/p><\/div>\n
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The South Hills facility is expected to open in 2029, while the Peregrine project is planned for 2030. Together, the plants would add about 800 megawatts of natural gas-fired generation to Idaho Power’s system.<\/p>\n<\/p><\/div>\n
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“To put that in perspective, our system peak, as it sits today, is about 4000 megawatts,” Hackett said. “We were expecting that to be up above 5,000 megawatts in the foreseeable future.”<\/p>\n<\/p><\/div>\n
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The new facilities would become the fourth and fifth natural gas plants in Idaho Power’s fleet and are expected to be the most efficient gas-fired resources on the company’s system.<\/p>\n<\/p><\/div>\n
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The proposal comes as Idaho Power continues to invest in renewable energy. Since 2021, the company has added roughly 500 megawatts of renewable resources and expects another 500 megawatts of renewable energy and battery storage to come online within the next few years.<\/p>\n<\/p><\/div>\n
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Still, Hackett said population and economic growth are exceeding those additions.<\/p>\n<\/p><\/div>\n
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“We’ve added about 500 megawatts renewables onto our system, and we have another 500 or so megawatts of renewables and storage coming on over the next couple of years,” Hackett said. “Even with all that addition, growth is simply outpacing those new resources.”<\/p>\n<\/p><\/div>\n
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Currently, hydroelectric dams provide about 40% of Idaho Power’s energy supply. Natural gas accounts for roughly 20%, while another 20% comes from wind, solar and battery storage resources.<\/p>\n<\/p><\/div>\n
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Hackett said customers have not seen any rate increases related to the proposed projects.<\/p>\n<\/p><\/div>\n
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“There’s been no rate impact to date,” Hackett said.<\/p>\n<\/p><\/div>\n
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However, any future costs associated with the facilities could eventually be reflected in customer rates. Before that can happen, the projects would undergo a regulatory prudency review after they begin operating.<\/p>\n<\/p><\/div>\n
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According to Idaho Power, planning and permitting efforts for the projects began in 2021. Construction could start as early as 2027 and would take about two years for each facility.<\/p>\n<\/p><\/div>\n
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If construction stays on schedule, South Hills would be completed by the summer of 2029, followed by Peregrine in the summer of 2030.<\/p>\n<\/p><\/div>\n
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