Pacific Gas and Electric Company (PG&E) has contracted with Iberdrola Renewables, Inc., to purchase and operate a major wind farm that is set to be built in Southern California. The proposed Manzana Wind Project, with a power capacity of up to 246 megawatts (MW), would be the first wind project owned by PG&E.

The Manzana project would be located on about 7,000 acres in the Tehachapi region of Eastern Kern County. If approved by the California Public Utilities Commission, the project could begin producing power by December 2011.

With a projected annual output of up to 670 gigawatt-hours per year the Manzana project would contribute significantly to PG&E's efforts to meet California's Renewable Portfolio Standard.

"This agreement supports PG&E's comprehensive strategy to meet our customers' future power needs with clean energy solutions," said Fong Wan, PG&E's senior vice president for energy procurement.

The total capital cost of the Manzana project will be just over US $900 million, which includes payments to Iberdrola Renewables to develop and build the facility.