Open Mountain Energy secures 15 MW PPA for two geothermal projects under construction
Local community utility in California signs PPA with SCPPA for 15.5 MW geothermal power generation capacity from two geothermal plants of Open Mountain Energy currently under construction in Nevada.
The Glendale City Council adopted a resolution earlier this week to enter into a set of long-term Power Sales Agreements (PSA’s) with the Southern California Public Power Authority (SCPPA) to purchase geothermal energy. The projects, Whitegrass No.1 Geothermal and Star Peak Geothermal, under the management of Open Mountain Energy, LLC located in Nevada, will commence on April 2020 and April 2021 respectively. The two projects combined will bring 15.5 MW of 100% renewable energy to Glendale and GWP customers, and will move Glendale significantly further towards meeting the State of California’s mandates of Senate Bill (SB) 100.
The geothermal projects will equate to an estimated 11% increase in Glendale Water & Power’s (GWP) Renewable Portfolio Standard. The zero-carbon energy provided to our customers will reduce carbon emissions by 52,600 metric tons per year. Glendale Mayor Ara Najarian stated, “This agreement marks another successful milestone in Glendale’s path towards its clean energy goals while maintaining a reliable power supply for Glendale. Instead of only generating power when the sun is shining or when the wind is blowing, a geothermal project produces energy continuously, so we can rely on it for power around the clock; a partnership and achievement we are very proud of.” Geothermal energy is consistent and has high capacity factor at approximately 90%, as compared to the lower capacity factors of intermittent resources like solar and wind, which are at 25% and 34% respectively.
Glendale is definitely on a path to transition to a low carbon future and to establish Glendale as a clean energy leader. “We are reducing our use of fossil fuels and bringing environmentally sustainable, reliable, and affordable energy alternatives to our customers,” stated Steve Zurn, General Manager of GWP. In December, GWP also announced that it entered into a 25-year PSA with SCPPA for a 12.5% share of renewable solar energy, battery storage, and environmental attributes from the Eland 1 Solar and Storage Center in Kern County, California.
Glendale Water & Power (GWP) is the City of Glendale’s water and electric utility. GWP provides water to 34,181 customers and generates, transmits, and distributes electricity to 88,849 residential, commercial, and industrial customers in Glendale, California.
Source: city release