Dominion Power 2007 Annual Report Download - page 12

Download and view the complete annual report

Please find page 12 of the 2007 Dominion Power annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 120

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120

10 Dominion 2007 Annual Report
We expect the completed project to
generate 264 megawatts of electricity.
In January 2008 we acquired a
50 percent interest in 650 megawatts
from the Fowler Ridge Wind Farm
in Indiana under development by
Dominion and a subsidiary of
BP Alternative Energy North America
Inc. The first phase is expected to
be completed in 2008.
And our proposed station in
Southwest Virginia will be able to use
clean-coal, carbon capture-compati-
ble technology to burn waste coal
that now contributes to acid run-off
in local waterways. The station also
will be able to use renewable fuels
such as wood waste. It is an excellent
candidate for Virginia Tech’s carbon
sequestration technology, once that
technology becomes commercially
available.
The generating capacity additions
that we are considering for the next
10 years, including our possible
additional nuclear capacity, would
further reduce our carbon dioxide
emissions as a percentage of total
electric output. We already rank in
the nation’s best third, as the graphic
pictured above illustrates.
In the past we have worked cooper-
atively with federal regulators to find
ways to reduce other air emissions—
nitrogen oxides, sulfur dioxide,
mercury and particulates—to meet
environmental goals. We have spent
$2.2 billion to reduce these emissions
at both our regulated and merchant
coal-powered units—and are planning
to spend another $1.3 billion by 2015.
Water use at our Brayton Point
Power Station on Mt. Hope Bay in
Massachusetts is also important to us.
Late last year we forged an agreement
with the U.S. Environmental
Protection Agency (EPA) to add
cooling towers at Brayton. The
$500 million investment will reduce
the amount of water the coal
facility uses by 90 percent and reduce
the thermal impact on the bay.
Maintaining Low Rates,
Earning
Competitive Returns
Clean air and clean water are essen-
tial to our quality of life. Equally
important is providing affordable
energy that runs the necessities
of modern life while earning a com-
petitive return on investment.
REREGULATION IN VIRGINIA
PROVIDES NECESSARY FRAMEWORK
FOR GROWTH
As of the beginning of 2008
Dominion’s residential electric rates
in Virginia were about 15 percent
below the national average. Our
industrial rates were the lowest
on the East Coast. Key reasons: great
work by dedicated employees who
maintain efficient, economic produc-
tion, and price caps that were in
place during a decade-long electric
deregulation experiment in Virginia.
In 2007 the General Assembly
adopted new rules governing electric
utilities as it became apparent that all
IN EARLY 2008 PRODUCTION
BEGAN AT A WIND FARM
PROJECT IN WEST VIRGINIA.
Low
Carbon
Intensity
Pounds CO2 per
megawatt hour
produced
100 largest U.S.
power producers
Dominion
1,171.5
Source: Natural
Resources Defense
Council 2006 Study
0 100
500
1,000
1,500
2,000
2,500