IMPERIAL COUNTY – CalEnergy, LLC, a subsidiary of MidAmerican Renewables, today announced the execution of an agreement with the Sacramento Municipal Utility District (SMUD) to provide Sacramento area residents and businesses with renewable geothermal energy until 2039.
Under the agreement, CalEnergy will provide SMUD with 30 megawatts of geothermal energy for 22 years, beginning in July of 2017.
“We are pleased to become a part of the Sacramento Municipal Utility District’s energy portfolio,” said Randy Keller, development director of CalEnergy.
“Geothermal generation is the most reliable renewable energy source available today, and this contract between SMUD and CalEnergy will help the district meet California’s ambitious current Renewable Portfolio Standards goals.”
CalEnergy contracts its geothermal generation under a portfolio structure whereby all the facilities are marketed together as a group, offering customers a more diversified, reliable supply and additional flexibility with volume and timing to meet their renewable energy supply needs.
Renewable geothermal power provides utility customers with the benefits of reliable baseload generation as an integral component of a portfolio that also includes energy derived from intermittent renewable energy sources.
“The Salton Sea Known Geothermal Resource Area, where our geothermal plants are located, is important to the future of our community and our environment,” Keller said. “We are committed to economic development in the region and will continue leading the efforts to facilitate growth of the renewable energy economy for many years to come.”