SDG&E signs contract to buy renewable geothermal energy

San Diego, CA, Mar. 27, 2006 — San Diego Gas & Electric (SDG&E) announced that it has purchased 20 megawatts (MW) of geothermal electricity from Esmeralda Truckhaven Geothermal LLC, to begin delivery in 2010.

“This contract is another step in our aggressive efforts to meet our goal of supplying 20 percent of our customers’ electricity needs by 2010 with renewable energy such as wind, solar and geothermal power,” said Terry Farrelly, vice president of electric and gas procurement for SDG&E. “We are negotiating to buy even more renewable energy and will be announcing other contracts later this year.”

Geothermal energy production involves using heat from beneath the earth’s surface to generate electricity and provide heat. The Esmeralda facility, at its Juan Bautista de Anza Geothermal Project, will be located in Imperial County west of the Salton Sea. Geothermal energy is considered a “green” technology because of its minimal environmental impacts and renewability from the heat of the earth. Geothermal is also the most prolific power generator of all renewable sources, producing energy 24 hours a day.

The 15 year contract will provide approximately 1 percent toward SDG&E’s 2010 renewables goal.

SDG&E has announced a series of renewables contracts for the last several years and has more than 12 percent of its customers’ energy needs under contract. The resources include wind, solar, geothermal, biomass and biogas contracts.

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