
California approves Mojave CSP project
despite higher cost
Nov. 11, 2011 - Kari Williamson - renewableenergyfocus.com
The California Public Utilities Commission (CPUC) has approved the power purchase agreement between Pacific Gas & Electric (PG&E) and Abengoa Solar affiliate Mojave Solar LLC, for the 250 MW Mojave concentrating solar power (CSP) facility, despite higher costs.
The 250 MW CSP project in San Bernardino County,
CA, is expected to come online in July 2014, producing
617 GWh annually.
However, due to the need for transmission network
upgrades to accommodate the 25-year PPA, the agreement
became more costly than first expected – this
could have been the end of the PPA as the CPUC requires
utilities to go for the most cost-effective options.
Despite the higher cost, the CPUC decided to approve
the CSP agreement, saying that the added renewable
energy capacity for PG&E warranted approval.
CPUC President Michael R. Peevey comments: “Mojave
Solar is the furthest developed utility-scale solar
thermal project that the CPUC has encountered in
our capacity of reviewing the utilities' RPS power
purchase agreements. The Mojave Solar project is
highly viable and the solar thermal facility will
enhance the resource diversity of PG&E's energy
portfolio.”
|