Synapse was retained by Arkansas Public Service Commission staff as a subcontractor to Larkin Associates to provide assistance for a variety of projects related to electric resource planning and power procurement during July 2006 through June 2007. The first project evaluated whether Entergy Arkansas Inc. (EAI)’s proposed acquisition of a combined cycle gas turbine (CCGT) capacity was in the public interest. Tasks included the preparation of a background report on fuel diversity policies and practices, and testimony supporting the findings. This work assisted the Commission in its determination of whether to recommend the adoption of a fuel diversity standard under the Energy Policy Act of 2005 (EPAct 2005).
Synapse also evaluated the economics of a proposed coal plant in southwestern Arkansas. Synapse found that the Southwestern Electric Power Company (SWEPCO) had not prudently considered the potential for further increases in the cost of building the plant or the costs of likely federal regulation of greenhouse gas emissions.
Additionally, Synapse reviewed changes to Entergy’s avoided cost methodology, and a proposed scrubber installation on an existing plant. All projects were completed August 2009.