Southern California utility San Diego Gas & Electric (SDG&E) has been on a renewable energy power purchase agreement (PPA) spree of sorts over the last year or so. As with all utilities in the state of California, SDG&E has to ramp up its renewable energy portfolio such that it represents 33% of its total energy distribution by the year 2020. Recent news of more renewable PPAs indicate the utility is well on its way to that goal.
According to SDG&E, it has just signed two contracts that will net it a combined total capacity of up to 237 megawatts of solar energy. The PPA contracts will allow SDG&E to buy solar generated electricity from The Catalina Solar project and Arlington Valley Solar Energy II.
The Catalina Solar project, located in Kern County, CA, is the third and latest solar power project for San Diego-based enXco and will be the third such PPA for SDG&E in the area. As planned, the facility will have the capacity to generate up to 110 megawatts. Delivery of the first 50 megawatts is expected by the end of next year, with the remaining 60 megawatts due by June 2013. SDG&E currently purchases electricity from the nearby 60 megawatt Oasis Wind Project and has signed a PPA for energy from the 140 megawatt Pacific Wind project, which is still under construction.
The ArlingtonValley Solar Energy II facility, located in Maricopa County, Arizona, is expected to deliver up to 127 megawatts of electricity. Like the Catalina Solar Project, Arlington Valley will use ground mounted photovoltaic (PV) panels to generate its electricity. It is expected the Arlington Valley facility will deliver at least 25 megawatts by the end of the first quarter of 2013, with another 25 megwatts delivered every two months as the project is built to completion.
This year alone, we have reported on four large SDG&E PPAs, including a 140 megawatt deal with Centinela Solar Energy, a 315 megawatt agreement with Ocotillo Wind Energy, a 156 megawatt deal for power from the Energia Sierra Juarez wind farm and 155 megawatts of solar energy from projects developed by Soitec.