HomeMy WebLinkAbout20110531Quarterly Progress Report.pdfMay 31,2011
esIDA~POR~
An IDACORP Company
LISA D. NORDSTROM
Lead Counsel
Inordstrom(âidahopower.com
VIA HAND DELIVERY
Jean D. Jewell, Secretary
Idaho Public Utilties Commission
472 West Washington Street
P.O. Box 83720
Boise, Idaho 83720-0074
Re: IPC-E-09-03
Langley Gulch - Quarterly Progress Report
Dear Ms. Jewell:
In Order No. 30892, the Idaho Public Utilties Commission ("Commission") directed
Idaho Power Company to submit quarterly progress reports to the Commission describing
the status of the Langley Gulch Power Plant construction. Enclosed with this letter is the
seventh quarterly progress report.
Very truly yours,~J.ll~
Lisa D. Nordstrom
LDN:csb
Enclosures
1221 W. Idaho St. (83702)
P.O. Box 70
Boise, 10 83707
Langley Gulch Power Plant
Quarterly PUC Update
June 1,2011
"RECEIVED
20" HAY 3/ PM 3: 09
PROGRESS UPDATE:
This quarterly update summarzes project costs though April 2011 and tasks associated with the
Langley Gulch Power Plant through the end of May 2011. As of the date of this report, the
overall project remains on schedule and Idaho Power Company ("Idaho Power") expects total
project costs to be at or below the Commitment Estimate.
Langley Gulch Power Island:
The Engineerng, Procurement, and Constrction ("EPC") contract is a joint ventue between
Kiewit Power Engineers ("KPE") and The Industral Company ("TIC"). KPE, the engineering
an of the EPC contract, has completed all of the design drawings and continues to support the
project by reviewing vendor submittals and constrction drawing modifications. All major
equipment, including piping, valves, pumps, strctures, and equipment, has been procured.
TIC continues in full constrction mode. It has completed a majority of the earwork with the
exception of peranent storm water facilities and final site grading. In addition, TIC has
completed all of the underground work, including the electrcal duct-bans and process piping.
Curent constrction activities include placing miscellaneous concrete pads, installation of
combustion turbine ancilar equipment, fabrication of the heat recovery steam generator steam
piping, and erection of the pipe rack. Other activities by TIC's subcontractors include
constrction of the administration building, erection of the water storage tans, and erection of
the cooling tower. In the last quarer, TIC received and set equipment, including the ammonia
storage tan, water treatment skids, and the major pumps (boiler feed, circulating water, and
condensate). TIC has approximately 150 people on site, which includes its employees and
subcontractors. TIC is utilzing a mix oflocallabor, vendors, supplier, and subcontractors.
Idaho Power and the EPC contractor continue to work closely with Siemens on the owner-
fushed equipment. The Orlando-based Siemens group, supplying the combustion tubine and
generator equipment, has shipped nearly all of the equipment to the site. Siemens' constrction
staff is on site providing technical experise for the installation of its equipment. The Sweden-
based Siemens group, supplying the steam tubine and generator, has completed manufacturing
of the equipment in its factory. Delivery of the steam turbine and generator is on schedule,
slated to leave the factory in early June 2011 and arve on site by the end of July 2011.
Water Supply Pipelie and Gas Pipelie:
Constrction is nearly complete on the water pipeline and pump station. All underground piping
has been installed and final pressure testing is ongoing. The pump station constrction is in the
Page 1 of3
final stages of completion. All electrical and mechancal equipment has been installed and wil
be commissioned this sumer.
Design of the gas lateral pipeline from the Wiliams Northwest main to the site is complete
(constrction started in May 2011). The contractor has completed the bore and installation of the
lateral below the A-line canal and is in the process of boring the lateral beneath Interstate 84.
Wiliams Northwest, designing and constrcting the tap and metering station, has secured the
land and anticipates staring constrction this summer.
The water supply pipeline and both gas supply projects remain on schedule.
Transmission Lines and Substation:
Two transmission lines and a new substation are required to connect the Langley Gulch Power
Plant to Idaho Power's transmission system. One of the lines wil be energized at 230 kilovolts
("kV") and the other at 138 kV. Constrction of the 2.8 mile 230 kV line to the west of the
power plant was completed in March 2011. The 16 mile 138 kV line is curently being designed
and constrction is planed to star in the fall of 2011. The 138 kV line is planed to be
completed by May 2012.
The substation is being constrcted in two phases. Phase 1, which includes the ring buss,
substation building, and control wiring, is scheduled to be complete by September 15, 2011, in
order to provide backfeed power to the site. Constrction of the substation and installation of the
equipment is complete. Idaho Power control wiring crews continue working on the protection
and integration of this equipment. Phase 2, which includes the integration of the 138 kV line, is
scheduled to be complete by May 2012.
Each of these projects is on schedule and within budget.
PERMITTING UPDATE:
The peritting process is in the constrction compliance phase. Idaho Power continues to
monitor the permit requirements and is coordinating with the regulatory agencies as needed.
PROJECT COSTS:
The Commitment Estimate is attached, which also identifies project costs expended through
April 2011. All major components of the project have been contracted, and Idaho Power expects
total project costs at or below the Commitment Estimate.
Page 2 of3
SCHEDULE:
The project remains on schedule with the following major milestones:
. Constrction Full Notice to Proceed: Issued to contractor on July 1, 2010
. Gas Turbine Deliver: Arrved in New Plymouth, Idaho, on December 4,2010
. Steam Turbine Deliver: July 2011
. First Fire: February 2012
. Targeted Commercial Operation Date: June 2012
Page 3 of3
Gas Turbine
Steam Turbine
EPC Contract
Idaho Power Company
Status Update Spending Report for Langley Gulch Power Plant
Through April 2011
April
Dollars spent to date
54,203,748
Component Summary
56,281,662
23,360,858
Commitment Estimate Contingency
145,317,917
Site Procurement
Water Rights
NEPA Permitting
Air Permitting
Water Line Construction
Gas Line Construction
1,957,322
2,083,419
214,431
350,547
3,944,849
2,016,758
877,839Miscellaneous Equipment (Idaho Power supplied)
Capitalized Property Taxes 399,785
1,712,222Idaho Power Engineering and Oversight
Transmission
RFP Pricing Components (indudes start-up fuels)
AFUDC
Totals
399,303
8,573,659
15,267,637
35,710,905
221,421,431
6,800,686
2,000,000
2,200,000
150,000
320,000
8,850,000
3,100,000
662,300
2,881,277
3,800,000
2,250,000
31,679,100
49,259,378
260,68,294 *
* Reported on accrual based accounting
** Commitment Estimate
427,366,739 **
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