Nevada’s dominant electric utility said it plans to buy a gas-fired power plant in Arizona. NV Energy hopes to acquire and improve the plant to meet energy needs in the coming years.
NV Energy disclosed the planned $75 million purchase price and $21 million investment budget for Calpine’s South Point Energy Center in a filing to the Nevada Public Utilities Commission.
The Las Vegas Sun reportsthe deal will also require approval from the Federal Energy Regulatory Commission. The utility said buying the Mohave Valley, Arizona plant would help provide NV Energy with new electricity, as a natural gas contract ends and a coal plant goes offline. The utility has argued that purchasing an existing facility would be more reliable than constructing its own fossil fuel plant.
