For Immediate Release: July 29, 1998
Media Contact: Claudia Chandler -- 916 654-4989



State Energy Commission Votes to Review
Contra Costa County Power Plant Application


SACRAMENTO -- The five-member state Energy Commission today voted to accept an Application of Certification (AFC) for the proposed construction and operation of a 500 megawatt natural gas-fired combined cycle cogeneration project in Pittsburg, California.

The power plant and ancillary facilities have been proposed for Energy Commission licensing by the Pittsburg District Energy Facility, Limited Liability corporation, a subsidiary of Enron Capital and Trade Resources Corporation.

The Energy Commission's acceptance of the proposed Pittsburg power plant's AFC activates a comprehensive year-long review process which ensures the project complies with provisions of the Warren-Alquist Act and the California Environmental Quality Act.

The proposed 12-acre Contra Costa power plant site, currently owned by USS-POSCO Industries, is approximately one mile east of the center of the City of Pittsburg. The project would also include a 20-acre construction area to the south of the power plant site.

If approved by the Energy Commission, the Pittsburg District Energy Facility would provide 500 megawatts of electricity for sale through the California Power Exchange and the California Independent System Operator. The project would also provide as much as 50 megawatts of electricity to USS-Posco and approximately 75,000 pounds per hour of steam for use in the firm's industrial processes.

In a related action, the Energy Commission today also designated Energy Commission Vice Chair David A. Rohy as Presiding member of the proposed Pittsburg Power Plant Siting Committee. Energy Commissioner Michal C. Moore will serve as Associate Member of the Committee.

During the certification process, this committee is responsible for overseeing all hearings and related proceedings on the proposed facility. Upon conclusion of the review process, Commissioners Rohy and Moore will formulate formal recommendations for consideration by other Commissioners before a final action is taken on the power plant license application at a full hearing of the Energy Commission.

The Pittsburg power plant is the latest of three "merchant" plants that have applied for Energy Commission licensing since December 1997. From all indications, these plants mark the beginning of a generation of high-technology power plants, paid for by private investors, not utility ratepayers, that promise cleaner, more cost-effective and higher efficiency power production as compared to aging predecessor plants.

Other power plant applications now in the Energy Commission's review process include Inland Energy /Constellation Energy's proposal for a 680 to 830 megawatt plant at the Southern California International Airport in San Bernardino County and Calpine's proposal for a 500 megawatt plant in Sutter County. The Commission is also in the process of determining whether plans for the 1,050 megawatt La Paloma Generating project are adequate to begin the licensing process.

The Commission's Web Site contains current information on the proposed Pittsburg District Energy Facility at:

http://www.energy.ca.gov/sitingcases/pittsburg



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