April 15, 2005
ROSEMEAD, Calif., April 15, 2005—Southern California Edison (SCE), the nation’s leading purchaser of electricity generated by renewable energy sources – solar, wind, biomass, geothermal, and small hydro – today announced its intention to conduct its third competitive solicitation in the last three years for additional renewable power contracts.
“We are on track to reach California’s renewable power standard of 20% for utilities well ahead of schedule,” said SCE Vice President of Power Procurement Pedro Pizarro. “We continue to look for cost-effective opportunities to help the state achieve its renewable energy goals.”
In a first step toward its 2005 renewable Request for Proposals (RFP), SCE today filed draft copies of proposed solicitation materials with the California Public Utilities Commission (CPUC). SCE seeks approval from the CPUC to commence the RFP this summer. Copies of the solicitation documents, including a pro-forma power purchase agreement, are available at www.sce.com/renewRFP. SCE invites interested parties to submit inquiries and provide general information about possible bids in advance of the solicitation to facilitate preliminary transmission cost analysis for the RFP.
SCE anticipates seeking 10-, 15-, and 20-year renewable contracts totaling approximately 730 million kilowatt-hours or 1% of the total annual electricity used by the utility’s “bundled”* customers. SCE reserves the right to procure more or less than 1%, depending on the merit of bids it receives.
SCE’s recently completed solicitation for renewable energy resulted in six power purchase agreements that will yield between approximately 140 and 425 megawatts of renewable capacity as early as 2007. SCE and project developers are currently awaiting CPUC approval of those agreements.
Separately, one week ago SCE announced it is considering issuing a Request for Offers (RFO) for contracts lasting up to 10 years for new power plants that could be online between June 1, 2006 and August 1, 2008. If released, that RFO would be open to both renewable and non-renewable power providers. Details are available at www.sce.com/newgenRFO. On Wednesday, April 20, 2005, SCE will host a bidders' conference call from 9:30 a.m. to 11:30 a.m. (Pacific) to respond to questions from potential bidders on this possible RFO. The phone number for the conference will be (866) 858-1283.
*SCE’s “bundled’”customers receive both their electricity and power delivery services from the utility. Unbundled or “Direct Access” (DA) customers purchase their electricity from other electric service providers and receive only delivery services from SCE. Approximately 13% of the electricity that flows across SCE lines is purchased by DA customers.
- SCE leads the nation in renewable power delivery, procuring more than 13,000 gigawatt-hours** of renewable energy in 2004, more than any U.S. utility or state except for California.
- SCE’s current renewable portfolio can deliver 2,588 MW of electricity, including
- 1,021 MW from wind
- 892 MW from geothermal
- 354 MW from solar
- 226 MW from biomass
- 95 MW from small hydro.
*A megawatt is enough power to serve 750 average homes during summer months.
**A gigawatt equals one billion watts.
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An Edison International (NYSE:EIX) company, Southern California Edison is one of the nation’s largest electric utilities, serving a population of more than 13 million via 4.6 million customer accounts in a 50,000-square-mile service area within central, coastal and Southern California.