Dominion Cove Point LNG Receives Approval for Electric Generation Station; Environmental Groups to Appeal

The Maryland Public Service Commission (PSC) has conditionally approved Dominion Resources’ application to construct a 130 megawatt generating station to produce LNG for export at Dominion Cove Point LNG’s (DCP) terminal in Lusby, Md.  According to the press release, “the station will consist of two 65-megawatt steam turbine generators that produce electricity. The waste heat from two combustion turbines, which are used to drive compressors to produce LNG, will be recycled to produce steam to drive the steam turbines.”  In its order, the PSC found that the generating station and LNG export facilities will not provide net economic benefit to Maryland citizens, and therefore, approval was conditioned on Dominion Resources contributing (1) $8 million per year for five years to the State’s Strategic Energy Investment Fund for clean energy and demand response programs and (2) $400,000 per year for 20 years to the Maryland Energy Assistance Program.

In response to the PSC’s order, Chesapeake Climate Action Network announced that it would appeal the decision to Maryland Governor Martin O’Malley and the Maryland Department of Natural Resources and request that a study on human safety for those living near the facility be conducted.