FERC Approves Power Plant Deals for Gas-Fired Generation in New York and Colorado

## FERC Approves Power Plant Deals for Gas-Fired Generation The Federal Energy Regulatory Commission (FERC) has approved two significant power plant deals for gas-fired generation in New York and Colorado. PowerTransitions, an independent power producer, has agreed to buy the 1,242-MW Roseton power plant in Newburgh, New York, from a Castleton Commodities International subsidiary. This deal is part of PowerTransitions' business strategy to develop an "energy campus" that will serve data centers and other energy-intensive industries. The Roseton power plant, which started operating in 1974, is located in the New York Independent System Operator's Zone G, covering the Hudson Valley near New York City. PowerTransitions aims to use the plant as part of its energy campus, which will include new energy storage systems. The company plans to close its deal with Castleton by the end of the year, after receiving approval from the New York Public Service Commission. In a separate deal, TransAlta Holding has been approved by FERC to buy two gas-fired power plants totaling 319 MW from subsidiaries of Kindle Energy. The 163-MW Mountain Peak and the 157-MW Canyon Peak power plants are located near Denver and are under long-term tolling agreements to United Power and CORE Electric Cooperative, respectively. TransAlta's president and CEO, Joel Hunter, stated that the acquisition adds new, high-quality, low-risk assets in a core market for the company. The power plants are expected to generate about $33 million a year in cash flow, which can be redeployed to growth prospects, such as data centers in Centralia, Washington, and Alberta, Canada. TransAlta owns a coal-fired power plant in Centralia, which it plans to convert to run on gas under a deal with Puget Sound Energy. The Mountain Peak power plant has been operating since September, and Canyon Peak is expected to come online before October. These deals demonstrate the growing interest in gas-fired generation and the development of energy campuses to serve data centers and other energy-intensive industries. As the energy landscape continues to evolve, it will be interesting to see how these deals impact the market and the industry as a whole.