San Diego Gas & Electric (NYSE: SDO) signed two 25-year power purchase agreements for up to 237 MW of solar energy. Both contracts require approval by the California Public Utilities Commission.
EnXco's Catalina Solar project will have the capacity to generate up to 110 MW, starting with delivery of 50 MW by the end of 2012 and the remaining 60 MW by June 2013. The contract with Catalina calls for a ground-mounted photovoltaic (PV) that will connect to the grid via Southern California Edison's Tehachapi Renewable Transmission Project.
The contract with Arlington Valley, a unit of LS Power Development LLC, calls for up to 127 MW to be generated by ground-mounted PV panels at a solar farm in Arizona. The facility will deliver at least 25 MW by first quarter 2013 and another 25 MW every two months until the project is built out. Energy produced will be scheduled into the California Independent System Operator's statewide grid.