California Edison Expands Renewable
Energy Partnership with Calpine
Apr 13, 2007 The Associated Press
ROSEMEAD, Calif: Southern California
Edison (SCE), the nation's leading purchaser of
renewable energy, has reached agreement with renewable
energy generator Calpine to purchase 225 megawatt
(MW) of geothermal energy, enough electricity to
power 130,000 average homes. The generation would
come from Calpine's Geysers facilities in California's
Sonoma and Lake counties.
If approved by the California Public
Utilities Commission, the agreement would replace
an existing contract and provide SCE customers with
renewable energy for 10 years. The contract also increases
Calpine's electricity deliveries by 25 MW. Additionally,
a new SCE-Calpine agreement provides 714 MW from the
Pastoria Energy Facility of "resource adequacy," a
California regulatory requirement that utilities ensure
adequate generating resources exist to meet customer
"These new Calpine agreements are significant
as we work toward meeting the goals of California's
landmark renewable portfolio standard," said Stuart
Hemphill, SCE director of renewable and alternative
power. "By 2010, we hope to have contracts which,
when fully operational, will represent 20 percent
or more of our customers' energy needs."
"Calpine is very pleased to have executed
a large transaction with SCE. This agreement resolves
a number of outstanding issues and significantly expands
our business relationship," said Thomas N. May, Calpine's
Executive Vice President of Commercial Operations.
"We look forward to pursuing further business opportunities
with this important customer."
Because Calpine is involved in a bankruptcy
reorganization proceeding, today's agreements are
subject to approval by the court overseeing that case.
While pursuing additional renewable
energy sources, SCE also is making progress on the
largest challenge California faces as it moves toward
its goal of 20% renewable energy - developing new
transmission lines linking untapped renewable resources.
An Edison International (NYSE:EIX) company,
Southern California Edison is one of the nation's
largest electric utilities, serving a population of
more than 13 million via 4.7 million customer accounts
in a 50,000-square-mile service area within central,
coastal and Southern California.