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  APPLICATION FOR A SMALL POWER PLANT )     
  EXEMPTION FOR THE RIVERSIDE ENERGY  )	  DOCKET NO. 08-SPPE-01
  RESOURCES CENTER UNITS 3 & 4        )   	
                                      )     
  ____________________________________)

Notice of Public Informational Hearing and Site Visit

The California Energy Commission has exclusive jurisdiction to license new power plants that generate 50 megawatts (MW) or more. Under state law, thermal power plants that generate up to 100 MW, or additions of less than 100 MW to existing power plants, may be exempted from the Energy Commission's licensing process if the Energy Commission determines a project proposal qualifies for such an exemption. Power plants with a capacity exceeding 100 MW are not eligible for exemption. The Small Power Plant Exemption (SPPE) review process provides the public forum for the Energy Commission's evaluation of the project's eligibility for an exemption under Public Resources Code section 25541.

On March 19, 2008, the City of Riverside (Applicant) submitted an Application for an SPPE to the California Energy Commission in connection with its proposal to construct and operate the Riverside Energy Resources Center Units 3 & 4 (RERC 3 & 4). This proposed gas-fired peaking project has a capacity of approximately 95 MW and is an expansion of the existing Riverside Energy Center Units 1 & 2, a 96 MW peaking facility, which was granted a small power plant exemption by the Commission in 2004 (Docket No. 04-SPPE-1) and began operation in June 2006. With the addition of proposed Units 3 & 4, the power plant would have a nominal generating capacity of approximately 190 MW. Commercial operation is planned to begin by the summer of 2009.

PLEASE TAKE NOTICE that the Energy Commission has designated a Committee of two Commissioners to conduct proceedings on the SPPE. The Committee has scheduled a public Informational Hearing and Site Visit to discuss the proposed project with the Riverside community on the following date:

Monday, May 12, 2008
Site Visit begins at 2:00 p.m.
Public Informational Hearing begins at 3:30 p.m.

Riverside Water Quality Control Plant
Multipurpose Room
5950 Acorn Street
Riverside, CA 92504
[Wheelchair Accessible]
(Map to Location)

Prior to the Informational Hearing, members of the public are invited to join the Committee on a tour of the proposed site. For further details, please contact the Energy Commission's Public Adviser's Office at 916-654-4489 or 800-822-6228 or email: pao@energy.state.ca.us. In order to assure adequate transportation is available, please make a reservation with the Public Adviser's Office no later than May 7, 2008.

BACKGROUND

On April 16, 2008, the Energy Commission began an expedited review of the application for exemption for RERC 3 & 4 under the provisions of Public Resources Code section 25541. During the review period, the Energy Commission will determine whether construction or operation of the proposed project will create a substantial adverse impact upon the environment or energy resources. The Informational Hearing scheduled by this Notice is sponsored by the Energy Commission to inform the public about the project and to invite public participation in the review process.

PROJECT DESCRIPTION

The project involves a nominal 95 MW net addition to electric generating capacity at the existing Riverside Energy Resource Center Units 1 & 2 (RERC 1 & 2) in Riverside, California. The additional units would be placed on 2.2 acres of the existing 16-acre RERC site.

The proposed RERC 3 & 4 would add two General Electric LM6000 PC SPRINT NxGen natural-gas fired combustion turbine generators to the two LM6000s which are currently in operation at RERC 1 & 2. The new units would have additional catalysts to achieve further reductions in NOx emissions. Existing facilities already serving Units 1 & 2 would be utilized as much as possible; major new equipment would include two 80 foot stacks, chillers, a cooling tower, pumps and auxiliary equipment, and the addition of two bays to the existing switchyard. RERC currently uses reclaimed water for its plant processes. The water is supplied by the City of Riverside from the Riverside Regional Water Quality Control Plant, which is adjacent to the RERC site. Proposed Units 3 & 4 would make use of the same water supply.

The engineering and environmental details of the proposed project are contained in the application for exemption. Copies of the application were provided to local public agencies that are involved in the review process. Copies of the application are also available at the following libraries: California State Library Government Publication Section in Sacramento; San Francisco Public Library Government Information Center; UCLA University Research Library; San Diego Public Library; Fresno County Library Central Headquarters; Riverside Main Library located at 3581 Mission Inn Ave. Riverside, CA 92501 and at Arlington Branch Library located at 9556 Magnolia Ave., Riverside, CA 92503.

PURPOSE OF THE INFORMATIONAL HEARING

The Small Power Plant Exemption process, which incorporates requirements similar to the Initial Study process under the California Environmental Quality Act, will examine whether the proposed project will create a substantial adverse impact upon the environment or energy resources. The review process provides a public forum allowing the Applicant, Commission staff, governmental agencies, adjacent landowners, and members of the general public to discuss whether the proposal qualifies for an exemption from the Commission's licensing process.

The Informational Hearing scheduled by this Notice is the first in a series of Energy Commission events where members of the community and governmental agencies will have an opportunity to obtain information and offer comments on the proposal. The Applicant will explain plans for constructing and operating the proposed project. Energy Commission staff will explain the exemption process and its role in reviewing the application for exemption. Applicant and Staff will also discuss the schedule and possible issues that may be significant during this proceeding.

PROPOSED SCHEDULES AND ISSUES IDENTIFICATION REPORT

To assist participants in understanding the project, Applicant and Staff shall each file a proposed schedule for conducting the exemption process, and Staff shall file an Issues Identification Report ("Report") summarizing any potential issues including, but not limited to, whether or not staff believes the proposed addition of 95 MW of generating capacity to the existing 96 MW within 3 1/2 years of the Commission Decision exempting Units 1 & 2 is also eligible for exemption or, alternatively, is a single 191 MW project built in two stages. The proposed schedules and Staff's Report shall be filed no later than 3 p.m., May 7, 2008. At the Informational Hearing, the parties shall indicate whether anticipated data responses would resolve any issues of concern which may be raised in Staff's Report. Copies of these documents will be posted on the Commission's Internet web page: www.energy.ca.gov/sitingcases/riverside_expansion/.

PUBLIC ADVISER AND PUBLIC PARTICIPATION

Members of the public may participate in all aspects of the review process in a variety of ways. The Commission's Public Adviser's Office is available to assist the public in participating in the exemption process. This office may be reached at 916-654-4489 or 800-822-6228 or email: pao@energy.state.ca.us.

INFORMATION

Questions of a legal or procedural nature should be directed to Raoul Renaud, the Hearing Officer, at (916) 651-2020, or e-mail: rrenaud@energy.state.ca.us.

Technical questions concerning the project should be addressed to Felicia Miller, Staff Project Manager, at (916) 654-4640, or e-mail: fmiller@energy.state.ca.us.

Media inquiries should be directed to the Office of Media and Public Communications at (916) 654-4989 or e-mail: mediaoffice@energy.state.ca.us. If you have a disability and need assistance to participate in this event, call 916-654-5146 or e-mail: lquiroz@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 Internet web page at: www.energy.ca.gov/sitingcases/riverside_expansion/.

Dated April 24, 2008, at Sacramento, California.



Date Posted: April 24, 2008 ENERGY RESOURCES CONSERVATION AND
DEVELOPMENT COMMISSION

________Signed________
KAREN DOUGLAS,
Commissioner and Presiding Member
Riverside 3 & 4 SPPE Committee

________Signed________
JAMES D. BOYD,
Commissioner and Associate Member
Riverside 3 & 4 SPPE Committee

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