[California Energy Commission Letterhead]


In the Matter of:

Application for Certification
for the La Paloma Generating Project

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Docket No. 98-AFC-2

NOTICE TO LANDOWNERS
FOR INFORMATIONAL
HEARING -and- SITE VISIT



I. INFORMATIONAL HEARING



The Energy Commission is sending you this Notice because you have been identified as an owner of land adjacent to, or in the near vicinity of, the proposed La Paloma Generating Project (LPGP). As a landowner, you may be interested in learning more about this project. This Notice is to inform you that the Committee conducting proceedings in the above-captioned matter will hold an INFORMATIONAL HEARING to discuss the La Paloma Project as follows:


WEDNESDAY, SEPTEMBER 16, 1998
Beginning at 3 p.m.
McKittrick School
Auditorium
23250 2nd Street
McKittrick, CA 93251
[Wheelchair Accessible]

Site Visit Following Hearing





Landowners, members of the general public, and interested agencies are invited to attend this event and may question the Applicant and Energy Commission staff concerning the project. The Commission's Public Adviser, Roberta Mendonca, will also be present to assist interested individuals or groups and to provide information on participating in the Commission's certification process. She may be reached at (916) 654-4489 or, toll free, at (800) 822-6228.


Project Description

La Paloma Generating Company, LLC proposes to construct and operate the La Paloma Generating Project (LPGP), a 1,048 megawatt (MW) natural gas-fired, combined cycle power generating facility. The facility is to be located approximately two miles east of the town of McKittrick near the intersection of Reserve and Skyline Roads, in Kern County, approximately 40 miles west of Bakersfield. (See attached map). The project site is about 23 acres and is presently a vacant field in an oil well production area.

This powerplant will use four natural gas turbine generators, four heat recovery steam generators (HRSGs) and exhaust stacks, and from two to four steam turbines. Air pollutants in the gas turbine exhaust will be controlled using selective catalytic reduction (SCR) technology. The project must meet Best Available Control Technology (BACT) and Lowest Achievable Emission Rate (LAER) requirements.

The project also includes a new 15 mile long bundled 230 kilovolt (kV) double circuit electric transmission line. This line will interconnect with Pacific Gas and Electric Company's (PG&E) Midway Substation located east of the site and east of the town of Buttonwillow. The new transmission line is planned to parallel the existing PG&E Diablo-Midway 500 kV line.

Natural gas fuel will be provided from the jointly owned facilities of the Kern River and Mojave Pipeline Company. A proposed new supply pipeline would be built to tap into a lateral of the Kern River/Mojave Pipeline, located approximately 370 feet to the west of the plant site.

California Aqueduct water will be supplied from the West Kern Valley Water District (WKVWD) via a proposed new eight mile long pipeline. Both a turnout from the aqueduct and a pump station would be constructed as part of the project. The pipeline would follow one of two possible routes: either the right-of-way of the proposed transmission line, or the corridor of state Highway 58. Average monthly water requirements would range from about 610 acre-feet (a.f.) in the month of February, to about 680 a.f. in August. Total annual water use will be about 5,500 acre-feet. Water supplies will be guaranteed by WKVWD. Potable water will be provided by a proposed new pipeline from McKittrick.

Wastewater would primarily consist of blowdown water from the cooling tower system. The discharge is proposed to be injected into a suitable well system, or to be treated in a zero discharge system. Storm water runoff would be collected by storm drains and routed to a retention basin.

The project Applicant plans to begin construction in mid-1999 and commence commercial operation by late 2001. There will be a peak work force of approximately 727 construction workers and about 35 permanent facility operations personnel.

Electrical energy produced by this proposed "merchant" powerplant will be sold in California's newly created electricity market. (A merchant plant is built with private funding, and without creating any financial liability for ratepayers.)


Purpose of the Informational Hearing


Licensing of the electric generating plant and related facilities, such as the transmission line and natural gas pipeline, is under the Energy Commission's jurisdiction. The powerplant certification process, which contains requirements equivalent to those under the California Environmental Quality Act, will examine all relevant engineering and environmental aspects of the proposed project. This process provides a public forum allowing the Applicant, Commission staff, interested parties, governmental agencies, landowners, and members of the general public to consider the relative advantages and disadvantages of the project and to propose changes or alternatives to the project necessary to avoid or mitigate significant environmental impacts.

At the Informational Hearing, landowners, members of the general public, and representatives of governmental agencies will have an opportunity to obtain information and to offer comments on the application. The Applicant will explain its plans for developing the proposed site and related facilities. Energy Commission staff will explain the administrative licensing process and their role in reviewing the application. Applicant and Staff will also discuss proposed schedules, including the expected timeframes for review by the local Air District, the California Independent System Operator, and any appropriate federal agencies, as well as possible issues which may be significant during this proceeding.

In order to assist participants in understanding the project, Staff shall prepare and serve upon those listed on the Proof of Service List a written statement summarizing the potential major issues in this case no later than September 11, 1998. All others desiring a copy of the Staff statement may obtain one by calling Luz Manriquez-Uresti, Project Secretary, at (916) 654-3928.

Those interested may participate in all phases of the licensing process in a variety of ways. If you want information concerning public participation, please contact Roberta Mendonca, the Commission's Public Adviser, at (916) 654-4489 or, toll free in California, at (800) 822-6228.


II. SITE VISIT



Following the Informational Hearing, there will be an opportunity to visit the proposed project site. Landowners, members of the general public, and governmental agencies are invited to participate. For further information, please call Roberta Mendonca, at (916) 654-4489 or, toll free, at (800) 822-6228 no later than September 11, 1998.

Technical questions concerning the project should be addressed to Marc Pryor, the Commission's Project Manager, at (916) 653-0159. Questions of a legal or procedural nature should be directed to Stanley Valkosky, the Hearing Officer, at (916) 654-3893. Information concerning the status of the project, as well as notices and other relevant documents, is also available on the Energy Commission's Internet home page at: www.energy.ca.gov/sitingcases/lapaloma.


Dated:August 28, 1998

ENERGY RESOURCES CONSERVATION
AND DEVELOPMENT COMMISSION





_____//signed//_____
ROBERT A. LAURIE, Commissioner
Presiding Committee Member



_____//signed//_____
DAVID A. ROHY, Ph.D, Vice Chair
Associate Committee Member




Date Mailed: August 28, 1998
Mailed to List: Proof of Service and Agency List's




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