JEA Board Approves Plan to Build Natural Gas Plant to Meet Future Energy Needs

The JEA Board of Directors voted unanimously today to approve a plan for the utility to build a combined cycle natural gas facility at the former St. Johns River Power Park site. The plan delegates authority to CEO and Managing Director Vickie Cavey to negotiate and sign an agreement with GE Vernova by the end of August to reserve JEA’s position in the manufacturer’s production schedule.

This infrastructure investment will allow JEA to strengthen system reliability and meet future energy demands as Northeast Florida’s population grows and energy load growth continues. The board’s approval sets the project cost at $1.57 billion.

“We have to be able to deliver reliable energy to everyone, all JEA customers. The risk is unacceptable if we punt combined cycle down the road. My personal view is that the risk isn’t worth it,” JEA Board Chair Joseph DiSalvo said.

A combined cycle power plant uses both gas and steam turbines to produce up to 50 percent more electricity from the same fuel than a traditional simple-cycle plant. A new combined cycle plant will allow JEA to replace, and increase, electricity currently being produced by the 48-year-old Northside Generation Station Unit 3, a natural gas unit. The utility plans to retire Unit 3 by 2031 due to its age, costly repairs and the potential need for more investment due to environmental regulations.

A new combined cycle plant will have the capacity to generate up to 675 megawatts, enough to power up to 300,000 homes in Northeast Florida.

JEA has recommended a combined cycle plant as a replacement for Northside Unit 3 several times in the past decade, including in its Integrated Resource Plan in 2023. The benefits of JEA developing a combined cycle plant rather than purchasing the power through another utility include:

• Full control over dispatch and operations
• Lowest long-term cost per MWh
• Local jobs and economic benefits
• Debt-free facility after 30 years
• 30 percent better gas efficiency vs. NGS Unit 3

Video: JEA’s Brandy Branch Generating Station, currently JEA’s only combined cycle plant.