Dominion Virginia Power starts operations at Virginia City Hybrid Energy Center

The $1.8-billion circulating fluidized bed project uses coal, waste coal and waste wood biomass to generate 585 MW

St. Paul, Va., July 11, 2012 — Dominion Virginia Power placed the Virginia City Hybrid Energy Center in Southwest Virginia into commercial operation, on budget and on schedule following four years of construction.

The $1.8-billion circulating fluidized bed project uses coal, waste coal and waste wood biomass to generate 585 MW.

The Virginia City Hybrid Energy Center project employed nearly 2,400 construction workers at its peak. An independent study done for Wise County by Virginia Tech estimated that VCHEC would generate $258.5 million in economic activity for Southwest Virginia annually once it began operations. The company will pay more than $6 million per year in local taxes to St. Paul and Wise County over the next decade.

The station will employ 84 people directly and a Dominion subcontractor will employ another 25. Virginia Tech estimated the total direct and indirect employment impact of VCHEC after construction would be 528 people, with most of them coming from the coal-mining and trucking sectors.

PJM Interconnection, the independent transmission operator that coordinates the electricity grid in all or parts of 13 states including Virginia and the District of Columbia, has projected that Dominion will need 4,000 MW of additional electricity by 2022 to meet the peak demand from its customers.

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