Brewery Blocks' Chilled Water AC Plant in Funding Limbo

PORTLAND-Portland General Electric is seeking approval from the Oregon Public Utility Commission to loan affiliate Portland Energy Solutions $2 million so it may finish installing the first phase of a massive chilled water air conditioning plant atop Block 1 of the Brewery Blocks redevelopment project. The loan would be secured by the plant’s equipment and service contracts.

Portland Energy’s goal is to replace individual air conditioning units in office buildings at the north end of the Downtown core. At build out, those involved say it would be a $15 million plant capable of cooling six million sf of commercial space. Right now, the firm is 90% done with the first phase, but it needs another $2 million soon to complete the $6.4 million first phase before users begin occupying the new building next month.

The need for the money coincides with the collapse of Enron, the parent company to both Portland Energy and PGE. PGE says it needs to lend the money because there’s not enough time for Portland Energy to arrange outside financing. PGE first broached the subject with the PUC in late January, according to the agency’s Web site. A source at the PUC tells GlobeSt.com the commission may consider PGE’s request at its regularly-scheduled public meeting on March 21.