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For immediate release: October 31, 2001
Contact: MaryAnn Costamagna - (916) 654-4989

Energy Commission Licenses
Valero Cogeneration Project

Sacramento - The California Energy Commission gave the go-ahead today to the Valero Cogeneration Project. Commissioners voted five to zero to license the 102-megawatt facility proposed for the grounds of the Valero refinery in Benecia.
The Valero Refining Company intends to construct the Valero Cogeneration Project in two phases on the grounds of its Benecia refinery. The $100 million, 102-megawatt plant will consist of two combustion turbine generators equipped with state-of-the-art control technology to minimize emissions. Power generated by the plant will run the refinery, in effect taking it off the state's electrical grid. Excess power will help support and stabilize the Bay Area electrical supply.
Steam produced by the power plant will be used in refinery processes, allowing the retirement of three older boilers. Refinery gas will fuel the facility, freeing natural gas for other users.
More information on the Valero Cogeneration Project is available on the California Energy Commission website at:

www.energy.ca.gov/sitingcases/valero/

The Valero Refining Company expects to begin construction immediately and must complete the 102-megawatt plant by the end of 2002.

The power plants permitted by the Energy Commission since 1999 will boost California's power supply by 11,084 megawatts by summer 2003. This year, the thirteen plants that will have come on-line by year's end will add 2,548 megawatts to the Golden State grid.

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