The PG&E National Energy Group developed the project, which was licensed by the California Energy Commission in April. Construction of the 500-megawatt energy center is expected to begin later this summer, with completion targeted for mid-2003.
It will be the first major new power plant built in San Diego County in 30 years.
Under the terms of the sale, Calpine will build, own and operate the facility, and PG&E will contract for up to 250 megawatts of output.
"This project will directly address the electricity supply imbalance that currently exists in San Diego County," said Ron Walter, senior vice president of business development for Calpine. "Otay Mesa is an important component needed to ensure price stability and power reliability for San Diego and all of California."
The Otay Mesa project will be located within a 46-acre property on the eastern portion of Otay Mesa, near the base of the San Ysidro Mountains, approximately 1.5 miles from the United States-Mexico border. Power from the plant will be sold into the California wholesale market.
Want to continue reading?
Become a Free ALM Digital Reader.
Once you are an ALM Digital Member, you’ll receive:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
*May exclude premium content© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
