Avista’s Commitment to Renewable Natural Gas
Avista is initiating a request for proposal (RFP) to secure renewable natural gas (RNG) resources for its customers in the long term. This initiative reflects Avista's dedication to building a sustainable future by utilizing RNG, which is produced from organic waste streams that would otherwise contribute to greenhouse gas emissions. These waste sources can include landfills, dairy farms, and food processing facilities. The primary objective is to capture and purify methane emissions, transforming them into a renewable energy source that is comparable to traditional natural gas.
The Importance of Renewable Natural Gas
Jason Thackston, Avista's Chief Strategy and Clean Energy Officer, highlighted the significance of RNG in the context of evolving legislative frameworks and corporate sustainability objectives. He noted that Avista's initiatives aim for carbon neutrality in natural gas operations by 2045, aligning with regional efforts such as Washington's Climate Commitment Act and Oregon's carbon reduction goals. Thackston pointed out that recent legislation empowers utilities like Avista to actively engage in the RNG market, facilitating both development and procurement.
Regulatory Framework for RNG
The acquisition process for RNG was strengthened by Senate Bill 98, which was passed by the Oregon legislature in 2019. This legislation allows natural gas utilities to obtain RNG for their customers. The Public Utility Commission of Oregon oversees this law, ensuring that there are limits on how much utilities can spend on RNG while managing its impact on customer pricing. Likewise, Washington State enacted House Bill 1257, which supports RNG procurement initiatives.
Overview of the RFP Process
The current RFP is open to a diverse range of stakeholders, including those who own, plan to develop, or have rights to RNG resources. Interested parties are encouraged to submit multiple proposals that may include various configurations, contracting strategies, or pricing structures tailored to meet Avista’s requirements. The company anticipates that RNG deliveries could commence as early as January 1, 2025.
Types of RNG Resources Sought
Avista is looking for proposals for several types of RNG resources, which may include:
- Landfill RNG
- Biomass Fast Pyrolysis Synthetic RNG
- Dairy RNG
- Food Waste RNG
- Municipal Wastewater Treatment Plant RNG
- RNG commodity portfolios (either bundled or unbundled)
- Carbon Capture with synthetic RNG byproducts
- Hydrogen
- Other RNG offerings that meet Avista’s criteria
All responses to the RFP are due by October 29, 2024. Although the details regarding the submission process were initially posted on Avista’s website, interested parties should continue to check for updates as more information becomes available.
About Avista Utilities
As part of Avista Corp. (NYSE: AVA), Avista Utilities is involved in the production, transmission, and distribution of energy. The utility serves approximately 418,000 electricity customers and 382,000 natural gas customers across a vast service area of 30,000 square miles. This area includes regions in eastern Washington, northern Idaho, and parts of southern and eastern Oregon, catering to a total population of about 1.7 million residents. Avista is committed to providing reliable energy solutions while striving for sustainability.
Contact Information
If you have any questions about Avista's initiatives or the RFP, please reach out to:
Media Contact: Jared Webley
Email: jared.webley@avistacorp.com
Phone: (509) 495-4174
Frequently Asked Questions
What is Avista's goal with the RNG initiative?
Avista aims to secure renewable natural gas resources to help achieve carbon neutrality in its natural gas operations by 2045.
What types of resources is Avista looking for in the RFP?
Avista is seeking various RNG resources, including landfill RNG, dairy RNG, food waste RNG, and hydrogen.
When are RFP responses due?
The responses for the RFP are due by October 29, 2024.
What legislation supports RNG procurement?
Oregon’s Senate Bill 98 and Washington’s House Bill 1257 support the procurement and development of RNG by utilities.
How can interested parties submit proposals?
Interested parties can submit multiple proposals with different configurations via the RFP process outlined by Avista.
