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For Immediate Release: March 26, 2003

Contact: Chris Davis - (916) 654-4989

Energy Commission Reports on Progress of Pico Power Project Proposal

Sacramento - Part one of the Staff Assessment of the Pico Power Project is now available on the California Energy Commission website at:

www.energy.ca.gov/sitingcases/picopower/documents/

The report is a staff draft document. It is not a decision or proposed decision on the Pico Power Project. Part one of the Staff Assessment outlines the Energy Commission staff's progress in reviewing the City of Santa Clara, Silicon Valley Power proposal, with analysis and suggested conditions of certification in 19 technical areas. It also notes that some critical information is needed before the staff's complete analysis and recommendations can be released.

Among those critical items is the Preliminary Determination of Compliance, which is expected from the Bay Area Air Quality Management District in April and the Final Determination of Compliance, expected in late May. The Energy Commission staff and applicant are also negotiating to determine the proper mitigation to address the potential impact of the power plant on biological resources of the surrounding area.

The Pico Power Project is proposed by Santa Clara's electrical utility, Silicon Valley Power, for a 2.86-acre site west of Lafayette Street and Duane Avenue within city limits. As proposed, the natural gas-fired, combined-cycle facility would consist of two combustion-turbine generators and a steam-turbine generator that will produce 122 megawatts, with a peaking capacity of 147 megawatts. A 115-volt on-site switchyard will deliver the plant's power to the adjacent Kifer Receiving Station. Recycled wastewater from the San Jose/Santa Clara Water Pollution Control Plant will cool the plant.

If approved, electricity from the Pico Power Project will help the city of Santa Clara meet its increasing demand for energy and replace the power from a contract that expires in 2005. Silicon Valley Power hopes to begin construction as soon as the plant is licensed, and projects completion in late 2004.

The Energy Commission is accepting written comments on part one of the Pico Power Project Staff Assessment through April 25, 2003. Comments must be addressed to:

Pico Power Project
Attn: Matt Trask
California Energy Commission
1516 Ninth St. MS 15
Sacramento, CA 95814

A Pre-hearing Conference is next in the review process. The conference will be held:

WEDNESDAY, APRIL 16, 2003
Beginning at 2 p.m.
CALIFORNIA ENERGY COMMISSION
First Floor Hearing Room A
1516 Ninth Street
Sacramento, California
(Wheelchair Accessible)

At the Pre-hearing Conference, the Committee of two Energy Commissioners conducting the Pico Power Project proceedings will assess the readiness of all parties for the first Evidentiary Hearing scheduled for May 7, 2003.

Public input is an important part of the Energy Commission's power plant licensing process. To find out how to participate, contact the Energy Commission's Public Adviser, Roberta Mendonca, at (916) 654-4489, toll free at (800) 822-6228, or by e-mail at: Pao@energy.state.ca.us


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