Houston – Oct. 2, 2019 – CenterPoint Energy today announced the completion of the first propane-air peak shaving facility in Texas. The facility, known as the Bluebonnet Point Reserve, is located on the north side of Houston and will be used to supplement natural gas supply to CenterPoint Energy's natural gas distribution system, enhancing reliability for customers during periods of peak demand.
"CenterPoint Energy already provides reliable natural gas service, but we are always looking for the safest, most economical way to improve reliability even on the coldest winter days," said Bruce Coogler, vice president of Gas Supply for CenterPoint Energy. "This innovative project is a result of studies showing increased natural gas demand in Texas and our commitment to be Always There for our customers."
The peak shaving facility works by storing liquid propane in 60,000-gallon, underground steel tanks. When additional natural gas supply is needed to meet peak demand, liquid propane is vaporized, blended with compressed air and injected into CenterPoint Energy's natural gas distribution system at a ratio that is compatible with natural gas appliances, providing a seamless experience for CenterPoint Energy customers.
Propane-air peak shaving plants have been used by many utilities, including CenterPoint Energy, since the 1950s to supplement natural gas distribution systems during peak demand periods. CenterPoint Energy operates eight facilities in Minnesota and three propane-air plants in Indiana.
CenterPoint Energy's peak shaving facilities in Minnesota helped CenterPoint Energy customers stay warm during the January 2019 polar vortex, which caused a record-high demand for natural gas.
"The completion of this facility wouldn't have been possible without the support and commitment from state regulators, local government officials and our employees," said Trey Kuchar, vice president of Gas Engineering and System Integrity for CenterPoint Energy. "The facility reduces our dependency on third-party pipelines, while increasing our natural gas supply diversity. It is a win-win for our customers and company."