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                                              )     
  APPLICATION FOR CERTIFICATION FOR THE       )	  DOCKET NO. 06-AFC-6
  EASTSHORE ENERGY CENTER IN HAYWARD          )   (AFC ACCEPTED 11/8/06)	
  BY TIERRA ENERGY                            )     
  ____________________________________________)

NOTICE OF PUBLIC INFORMATIONAL HEARING AND SITE VISIT

On September 15, 2006, Tierra Energy ("Applicant") filed an Application for Certification (AFC) with the California Energy Commission to construct and operate the Eastshore Energy Center (EEC). The proposed project is a nominal 115 (net) megawatt (MW) natural gas-fired power plant to be located on a six-acre parcel at 25101 Clawiter Road in the City of Hayward in Alameda County. The Energy Commission has exclusive jurisdiction to license this project and is considering the proposal under a twelve-month review process established by Public Resources Code section 25540.6. The twelve-month period began November 8, 2006, and may be extended if receipt of necessary information is delayed.

PLEASE TAKE NOTICE that the Energy Commission has designated a Committee of two Commissioners to conduct proceedings on the AFC. The Committee has scheduled a public Informational Hearing and Site Visit to discuss the proposed project as indicated below:

DATE MONDAY, JANUARY 29, 2007
LOCATION CHABOT COLLEGE CAMPUS
Business Lecture Hall, Building 600 (Park in Lot A)
25555 Hesperian Blvd.
Hayward, CA 94545
[Wheelchair Accessible]
TIME Site Visit begins at 3 p.m. (Meet at Parking Lot A)
Informational Hearing begins at 6 p.m.

Prior to the Informational Hearing, the parties and members of the public are invited to join the Committee on a tour of the proposed site. The Applicant will provide transportation from PARKING LOT A on the Chabot College Campus to the site and surrounding communities. Individual cars may remain parked at Parking Lot A. For reservations, please call the Energy Commission's Public Adviser at 916-654-4489 or 800-822-6228 or e-mail at: pao@energy.state.ca.us.

Background

The power plant licensing process, which incorporates requirements equivalent to the California Environmental Quality Act, reviews all relevant engineering and environmental aspects of the proposed project. During the twelve-month review period, the Energy Commission will determine whether the proposed power plant complies with applicable laws related to public health and safety, environmental impacts, and engineering requirements. The twelve-month review process also provides a public forum for governmental agencies, adjacent landowners, and members of the general public to consider the advantages and disadvantages of the project, and to propose changes, mitigation measures, and alternatives as necessary.

Purpose of the Informational Hearing

The Informational Hearing and Site Visit scheduled by this Notice are sponsored by the Energy Commission to inform the community about the project and to view the project site. Applicant's consultants will explain plans for developing the project and related facilities. Energy Commission Staff will explain the administrative licensing process and the Staff's role in reviewing the AFC.

Project Description

The EEC would be located in the City of Hayward on an existing 6-acre industrial site at 25101 Clawiter Road. The proposed project is a nominal 115.5 megawatt (MW) simple cycle power plant consisting of 14 Wartsila 20V34SG natural gas-fired reciprocating engine generators and associated equipment. The power plant is designed as a peaking facility to meet electric generation load during periods of high demand, which generally occur during daytime hours and more frequently during the summer than other portions of the year. The project is expected to have an annual capacity factor of approximately 45 percent, depending on weather-related customer demand, load growth, hydroelectric supplies, generating unit retirements and replacements, the level of generating unit and transmission outages, and other factors.

The power plant would be connected to Pacific Gas & Electric's (PG&E) electrical system at the existing Eastshore Substation located approximately 1.1 miles south of the project site. This connection would require a new single circuit overhead 115-kiloVolt (kV) line that would run contiguously in an existing PG&E 12kV distribution corridor. The connection may also require widening the existing right of way and replacing 10 to 12 transmission poles with structures designed to accommodate both the 12kV and 115kV transmission lines.

Natural gas would be supplied to the EEC via a 200-foot pipeline connection to PG&E's Pipeline 153 located on the opposite side of Clawiter Road from the EEC site.

Air emissions from the project would be controlled using best available control technology applied to each engine's exhaust stack. Each system would consist of a selective catalytic reduction (SCR) unit for oxides of nitrogen (NOx) control and an oxidation catalyst unit for carbon monoxide (CO) and precursor organic compounds (POC) control. Final permitting by the Energy Commission requires conformance with rules and regulations of the Bay Area Air Quality Management District (BAAQMD).

The EEC would use approximately 1.6 acre-feet of potable water per year for engine cooling and other power plant processes, site landscape irrigation, and potable and sanitary uses. A closed loop engine cooling system would reduce the requirement for water and result in consumption of approximately 1.0 gallons per minute during plant operation. The City of Hayward would supply potable water for the project through an existing connection immediately adjacent to the site under a contract with the City of San Francisco's Public Utilities Department.

The estimated capital cost of the project is $140 million (2006 dollars). If the Energy Commission certifies the EEC within twelve months, construction could begin in the second quarter of 2008 and continue for approximately 18 months. Full operational capability is anticipated in the third quarter of 2009

Relevant engineering and environmental details of the project are described in the AFC. Copies of the AFC are available at the following public libraries and at local public agencies in the City of Hayward involved in reviewing the project:

Hayward Public Library
Main Library
835 C Street
Hayward, CA 94541
California State University
Campus Library
25800 Carlos Bee Blvd.
Hayward, CA 94542
Alameda County Library
Fremont Main Library
2400 Stevenson Blvd.
Fremont, CA 94538

The AFC may also be viewed on the Energy Commission's internet website at: www.energy.ca.gov/sitingcases/eastshore.

Proposed Schedule and Issue Identification Report

On December 28, 2006, Energy Commission Staff filed a proposed Schedule for reviewing the project and an Issue Identification Report ("Report") summarizing the major issues. The Report indicates that several air quality and public health issues must be resolved before Staff can recommend approval of the project. Staff's Schedule and Report are posted on the Energy Commission's website. Updates to the Report will be discussed at the Informational Hearing scheduled by this Notice.

Public Adviser and Public Participation

The Energy Commission's Public Adviser is available to assist the public in participating in the project review process. For general information on how to participate, please call the Public Adviser's Office at 916-654-4489 or 800-822-6228 or e-mail: pao@energy.state.ca.us. If you have a disability and need assistance to participate at Commission-sponsored events, please contact Lourdes Quiroz at 916-654-5146 or e-mail at: lquiroz@energy.state.ca.us.

Energy Commission Information

Technical questions concerning the project should be addressed to Lorne Prescott, the Staff Project Manager, at 916-654-4640 or e-mail at: lprescot@energy.state.ca.us.

Questions of a legal or procedural nature should be directed to Susan Gefter, the Hearing Officer, at 916-654-3893 or e-mail at: sgefter@energy.state.ca.us.

Media inquiries should be directed to Claudia Chandler, Assistant Executive Director for Media and Public Communications at 916-654-4989 or e-mail at: mediaoffice@energy.state.ca.us.

Information concerning the status of the project, as well as notices and other relevant documents, may be viewed on the Energy Commission's website at: www.energy.ca.gov/sitingcases/eastshore.





Date Posted: January 3, 2007. ENERGY RESOURCES CONSERVATION AND
DEVELOPMENT COMMISSION

________/signed/_______
JEFFREY BYRON,
Commissioner and Presiding Member
Eastshore AFC Committee

________/signed/_______
JOHN GEESMAN,
Commissioner and Associate Member
Eastshore AFC Committee

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