Boston (Platts)--1Dec2008

The Florida Public Service Commission on Monday released a draft of a
Navigant Consulting study that indicates that, under the scenario most
favorable to renewables, up to 15,467 MW of renewable generation capacity
could be installed in the state between 2010 and 2020.

The draft study, which was commissioned by the PSC to help it develop a
recommendation for the state's planned renewable portfolio standard, will be
the focus of a planned Wednesday workshop.

According to the draft, a combination of rising fuel prices, a $50/ton
"tax" on carbon-dioxide emissions and other factors would make it cost
effective to add 10,584 MW of new solar capacity by 2020 beyond the 673 MW of
solar capacity already in place or expected to be online by the end of 2009.

Navigant also said that, under those same favorable conditions, as much
as 2,614 MW of wind capacity could be added, as could 2,062 MW of
biomass-fired capacity and 200 MW of waste-heat-based capacity.

Navigant said that under "mid-favorable" conditions such as moderate fuel
prices and a $30/ton CO2 tax, up to 6,295 MW of new renewable capacity could
be cost-effectively added, and that under "unfavorable" conditions such as low
fuel prices and no CO2 tax, it would only be cost effective to add up to 1,211
MW of new renewable capacity.

PSC spokesman Todd Brown said stakeholders will have an opportunity to
comment on the draft at the workshop. The PSC staff is expected to make an
updated recommendation to the commission by December 29, he added, and the PSC
will present its RPS recommendation to state legislators by February 1.