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14 March 2007 -- In another major change in tactics, TXU Corp. announced it will pursue integrated gasification combined cycle (IGCC) plants equipped with carbon capture technology.
Texas-based groups protesting TXU's now defunct generation building plan called for the utility giant to consider IGCC technology instead of conventional pulverized coal. Now two IGCC commercial demonstration plants will be located in Texas.
TXU recently scrapped plans for eight of its original 11 planned conventional coal plants after agreeing to a privatization bid from Kohlberg Kravis Roberts & Co. (KKR) and Texas Pacific Group (TPG) to acquire the Texas utility. Since then, TXU has pledged to increase its environmental stewardship, including specific pledges to combat global warming.
TXU will issue a request for proposal (RFP) from companies offering coal gasification technologies with carbon dioxide capture. TXU's new Sustainable Energy Advisory Board (SEAB) will review the proposals. The SEAB is comprised of individuals who represent the following interests: the environment, customers, Texas economic development and ERCOT reliability standards, including representatives from Environmental Defense and the Natural Resources Defense Council.
From the proposals received, TXU will select two or more competing IGCC technologies that can be developed and commercially deployed with carbon dioxide capture in power plants utilizing Powder River Basin (PRB) and lignite coals, respectively, as the primary fuel source. This project will focus on driving efficiency improvements, emissions reductions and technological breakthroughs that could enable IGCC to meet the growing energy needs of Texas. Linking the technological expertise of selected providers with TXU's operational expertise will create a combination capable of redefining research and development in the power sector.
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