CUC says Greco temporary power bid released; long lead times, protests slowed new‑engine purchases

At an informational hearing Feb. 20, Commonwealth Utilities Corporation officials told the Senate Public Utilities, Transportation and Communications Committee that the corporation plans a new solicitation for temporary power and described long lead times and procurement hurdles for replacing aging generation engines.

CUC executive staff said CUC’s current contract with a private provider that supplies temporary generation (referred to at the hearing as Greco) expires in May 2025. The utility released a solicitation the day of the hearing for a 12‑megawatt temporary power contract; a pre‑bid meeting was scheduled for March 6 and bids were expected by March 31, officials said.

CUC officials and plant staff detailed maintenance and supply problems at the island power plants. They said Power Plant 1 has nominal capacity of about 18–19 megawatts but several engines are offline for maintenance or foundation repairs, leaving available output closer to 9–10 megawatts at times. Plant staff said some engines date from the 1970s and that Mitsubishi — which had provided parts — told CUC in 2022 it could no longer supply many components. CUC engineers said the utility now reuses, rebuilds and custom‑fabricates critical parts; the staff noted long fabrication lead times and high unit costs (the hearing cited a single piston cost example of roughly $100,000).

CUC told senators the utility previously ran a procurement to buy new engines but that the process was stalled by a formal protest centered on EPA Tier 4 emissions certification language in the RFP. The protest process, appeals and administrative review stretched for more than a year, CUC staff said, and the procurement was ultimately canceled to avoid indefinite delay. CUC said it will revise procurement regulations (the utility board was scheduled to consider updated procurement rules), reissue the solicitation once regulatory changes are propagated, and expects a typical supplier timeline of about 350 days from order to commissioning. Taking public‑notice periods and lead times into account, officials estimated replacing engines would likely take about two years after a successful award without further protests; officials warned protests can add years.

CUC staff described a short‑term financial plan for temporary power: the budget for a short extension or interim lease from a private provider was noted at about $4.5 million. Staff said leasing temporary capacity while engines are refurbished or replaced preserves service and allows outages for maintenance but increases near‑term operating costs.

Senators asked about foundation failures and specific engine outages. CUC staff said engine number 6 was offline about five months at the time of the hearing because of cracked foundation boards; the utility has repaired several other engine foundations using higher‑strength materials and plans sole‑source repairs for some units that have proven methods of successful remediation.

On renewable energy, CUC told the committee the utility is pursuing requests for proposals for solar and battery storage projects, applying for federal grants and exploring public‑private partnerships. Officials emphasized a two‑track approach: pursue renewables while addressing near‑term generation shortfalls with leases and engine rebuilds.

The hearing was informational and produced no committee votes. Senators asked CUC to return with procurement timelines and to invite legislators to inspect plant facilities on a scheduled tour so members could see the condition and maintenance work described in testimony.