California, United States [RenewableEnergyWorld.com] The Sacramento Municipal Utility District (SMUD) has signed a 15-year power purchase agreement (PPA) with Gas Recovery Systems LLC, a subsidiary of the Fortistar Methane Group, for the purchase of approximately 1.5 megawatts (MW) of renewable energy from a plant that generates electricity from landfill methane gas.
Under the agreement, SMUD will receive all the energy and marketable environmental attributes from the project. The plant, located near Santa Cruz, California, is expected to begin deliveries to SMUD October 1, 2009. Expected output is 12 gigawatt-hours (GWh) of baseload energy per year.
This PPA moves SMUD closer to meeting its renewable procurement goal of having renewable energy account for 33 percent of its power supply by 2020. Last year, renewable energy accounted for approximately 19 percent of SMUD’s power supply.
“As a member of the local community, Fortistar is pleased to enter into a long-term partnership with SMUD to deliver baseload renewable power to the people of Sacramento,” said Tom Gesicki, president of Fortistar Methane Group.