Sacramento, California [RenewableEnergyAccess.com] The Sacramento Municipal Utility District (SMUD) Board of Directors approved the extension of an 18-month contract with Sierra Pacific Industries (SPI) for the purchase of renewable energy from a new wood biomass plant in Burlington, WA.
The agreement will allow SMUD to buy 15 to 23 megawatts (MW) of round-the-clock baseload power at a competitive cost relative to other renewable energy projects through July 31, 2017.
The SMUD Board also approved a 10-year extension of a related transmission and exchange agreement with Seattle City Light.
This agreement brings SMUD closer to its goal of getting 20 percent of its power supply from renewable energy sources by 2011. In 2006, SMUD’s power mix was made up of over 13 percent qualifying renewable sources.
In addition to renewable power purchases SMUD owns approximately 39 MW of wind generation (with an additional 63 MW on-line by year’s end) and 10.4 MW of solar power.