Commercial Development Company Inc. (CDC), by affiliate Brayton Point LLC, announced the purchase of the retired Brayton Point Power Station from Dynegy Inc. As part of the transaction, Brayton Point LLC purchased real estate assets and assumed responsibility for legacy environmental liabilities associated with the site and its former operators. Environmental Liability Transfer, Inc. (ELT) facilitated the assumption of environmental liabilities and will oversee environmental remediation and decommissioning obligations going forward.
CDC plans to invest significant resources to reposition the 307-acre retired power plant and develop a market-ready plan to transform the former energy asset for post-coal utilization. CDC has received tremendous support for this ownership transfer and for the future redevelopment of the site from local and state leadership.
Potential for offshore wind energy port development
The 307-acre site at Brayton Point could represent a unique opportunity to advance the offshore wind energy sector due to its pre-existing access to the regional transmission grid. Additionally, the site boasts close proximity to proposed offshore wind tracts, deep water port potential, and access to a highly skilled workforce in the New England area.
The Massachusetts Clean Energy Center recently identified Brayton Point as a potential site for the development of an industrial wind port to support the new wind energy diversification legislation. The development of offshore wind will require sites capable of component manufacturing, staging, operations, and maintenance.
“Multiple factors attracted us to this site, of greatest interest was the potential for renewable energy development. Today the site is non-operational, however, we are confident that once the site is repositioned, the unique attributes will attract investors from multiple sectors,” said Mr. Jostes.
Throughout the remediation process, CDC will be engaged in a global marketing campaign to find appropriate end users for this location.
Experience in coal power-plant retirement
As market factors in the energy sector have shifted away from fossil fuel generation, CDC has purchased multiple retired energy assets for the purposes of environmental reclamation and redevelopment. Other notable coal projects include power plants previously owned by American Electric Power (AEP), DTE Energy, Indiana Michigan Power, and others.
“CDC actively seeks to purchase brownfield real estate assets in all energy and industrial sectors – and has acquired an accumulative portfolio of over 300 environmentally-impacted sites throughout North America. Our acquisition strategy provides win-win solutions for sellers and communities: fair market value for distressed real estate and a fully-funded plan to return the brownfield site to productive reuse,” said Steve Collins, Executive Vice President at CDC.
Built in 1957 and commissioned in 1963, the Brayton Point Power Station was the largest coal-fired generating station in New England, and the last coal-fired power station in Massachusetts to provide power to the regional grid. At its peak, Brayton Point had a capacity of 1,600 MW and employed over 250 full-time staff. The plant boasted four generation units providing electricity to 1.5 million homes using coal, natural gas, and oil over the course of its operations.
After over five decades of use, the Brayton Point Power Station was decommissioned in May 2017.