PG&E adds to Sempra deal with 48 MW

San Francisco-based utility Pacific Gas & Electric (NYSE:PCG) said today it entered into a contract with San Diego-based Sempra Generation’s subsidiary El Dorado Energy.

Under the contract, PG&E plans to purchase 48 MW of photovoltaic power produced at El Dorado Energy's Copper Mountain Solar facility in Nevada. Still pending approval from the California Public Utilities Commission, the contract is expected to mark PG&E’s second contract for renewable energy from Sempra Generation. Financial details were not disclosed.

In late 2008, PG&E signed an agreement to purchase the entire 10 MW output of Sempra Generation’s El Dorado Energy Solar thin-film power plant. The 2008 deal combined with today’s announcement is expected to boost PG&E to a total of 58 MW generated from the solar projects, located outside of Las Vegas.

Sempra Generation operates natural gas fueled and solar power plants serving the U.S., and is developing renewable power projects in the Pacific southwest. Sempra Generation is a subsidiary of Sempra Energy (NYSE:SRE).

The new Copper Mountain Solar facility is planned to produce 100 gigawatt hours of electricity every year, or the annual electricity consumption of more than 14,000 homes. The project’s construction is expected to start later this year and be completed in 2011, creating about 200 local construction jobs.

Last year, Sempra Energy added more geothermal energy to its portfolio when its subsidiary San Diego Gas & Electric signed a power purchase agreement for 40 MW with California's EsmeraldaTruckhaven Geothermal (see Sempra unit adds geothermal power).

Since 2002, PG&E has signed contracts for more than 20 percent of its future electric power to come from renewables (see PG&E opens bidding for 500 MW solar program in California and PG&E upgrades BrightSource deal to 1.3GW).

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