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Public Utilities Commission Must Reject NV Energy’s $573 Million Methane Gas Plant

Organizations Oppose the Utility’s Shortsighted Plans in Regulatory Hearings

NEVADA — The Nevada Conservation League, along with intervenors such as Advanced Energy UnitedWestern Resource Advocates, and Sierra Club, urge the Public Utilities Commission of Nevada (PUCN) to reject NV Energy’s plan to build a new 400-megawatt methane (natural) gas-burning power plant. The $573 million project would raise costs for Nevadans, increase pollution, and lock the state into substantial fossil fuel dependence for decades.

Hearings on the gas plant begin today as the PUCN enters the third and final phase of evaluating NV Energy’s 2024 Integrated Resource Plan (IRP) (docket 24-05041). Organizations are criticizing the utility’s plans for failing to consider the full scope and value of clean energy solutions for Nevada. The company could create more good-paying jobs, stabilize energy prices, and keep energy dollars in-state by investing in local clean energy resources like solar, geothermal, and battery storage. Gas plants increase the risk of drastic swings in electricity prices, leave Nevadans dependent on fuels from other states, and increase harmful air pollution.

If approved, this would be NV Energy’s third major gas plant pushed onto customers in less than two years. Since 2023, the $514.9 million Silverhawk Peaker Plant and the $50.4 million gas conversion at North Valmy were approved. Together, the three new gas projects will total over $1.1 billion in fossil fuel spending that Nevada families and small businesses will ultimately bear. This new and disturbing pattern of prioritizing gas plants over local clean energy initiatives jeopardizes Nevada’s energy future and undermines the state’s clean energy goals. 

NV Energy’s IRP also does not pay enough attention to high-value investments like energy efficiency, demand-side management, and weatherization programs, which lower bills and improve grid reliability while reducing the need to build new power plants. Instead, NV Energy prioritizes the projects that boost shareholder profits while disregarding calls from Nevada’s families, businesses, and community leaders for a more affordable, healthy, and clean energy future.

“NV Energy must stop playing games with ratepayers and regulators,” said Kristee Watson, Executive Director of the Nevada Conservation League. “The conversion of Valmy to gas was approved just months before this IRP was filed, and new gas plant expansion was never mentioned at that time. Relying on out-of-state methane gas makes bills unpredictable and disregards Nevada’s abundant clean energy resources. The utility must stop hiding the ball in its planning and put forward the solutions Nevadans are demanding—more clean electricity and more stable and affordable bills.”

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About Utility Watch Nevada

Utility Watch Nevada is a project of community and conservation organizations in Nevada. https://utilitywatchnv.org/

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