A little less than a year after its groundbreaking ceremony, West Deptford Energy agreed to a 15-year contract with South Jersey Resources Group (SJRG) in order to supply fuel management services to the future power plant.
Under the 15-year contract, SJGR will provide natural gas supplies and management services for those supplies to the West Deptford Energy Station. The contract also grants SJGR exclusive rights to extend those services to the additional 400-megawatt expansion, if it is constructed as planned.
“We are extremely pleased to be part of this project as it will add a clean and cost-efficient power generation source in New Jersey and will support the local economy with jobs,” said South Jersey Industries Chairman Edward Graham. South Jersey Industries is the holding company for South Jersey Gas and South Jersey Energy Solutions.
Currently under construction, the West Deptford Energy Station will be a 738-megawatt natural gas-fired, combined-cycle electric generating facility. Prior to breaking ground on Feb. 8 of last year, West Deptford Energy and LS Power had been working on plans for the plant since 2006.
Set to enter commercial operations in 2014, the plant is expected to generate electricity to more than 700,000 homes.
The plant is estimated to bring in 650 construction jobs and $107 million in payment in lieu of taxes. Of that money, West Deptford can expect to receive $96 million over a 30-year span.