SDG&E Adds 25-MW of Geothermal Energy

San Diego Gas & Electric (SDG&E) has signed a four-year power-purchase agreement with Calpine Energy Services L.P., a subsidiary of Calpine Corporation, to procure 25 megawatts (MW) of geothermal energy from the Calpine Geysers facility in Northern California. The Geysers facility is a complex of 15 geothermal power plants, drawing steam from more than 330 wells, located in the Mayacamas Mountains, approximately 70 miles north of San Francisco.

Under the agreement, which runs through 2014, the geothermal facility will contribute more than 200 gigawatt-hours per year of renewable energy toward SDG&E’s Renewable Portfolio Standard procurement goal. SDG&E’s renewable electric supply has grown to more than 14 percent in 2010 from less than 1 percent in 2001 and will reach the 20-percent state mandate by the end of this year with flexible compliance.

“SDG&E is committed to developing new sources of green energy for our customers and to meeting the state’s aggressive renewable goals,” said Matt Burkhart, vice president of electric & fuel procurement for SDG&E. “This geothermal agreement will increase SDG&E’s portfolio of clean power resources to approximately 14 percent in 2010.”

The Geysers is one of the largest geothermal power producing site in the world, with Calpine owning 725 MW of active installed capacity.

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