PG&E Adds 85 Megawatts of Renewable Wind Energy to its Power Mix

Signs Long-Term Power Purchase Agreement with PPM Energy

Jul 23, 2007, 01:00 ET from Pacific Gas and Electric Company

    SAN FRANCISCO, July 23 /PRNewswire-FirstCall/ -- Pacific Gas and
 Electric Company announced today it has entered into a 15-year agreement
 with PPM Energy, a developer of utility-scale wind power projects, to
 purchase renewable wind energy from the company's Klondike III Wind Project
 in Sherman County, Oregon. The project will deliver up to 85 megawatts (MW)
 of renewable energy to PG&E's customers throughout Northern and Central
     "Clean, renewable wind power is central to PG&E's commitment to
 increase the amount of reliable, environmentally-responsible energy in
 California," said Fong Wan, vice president of Energy Procurement, PG&E.
 "Today's agreement further advances PG&E in meeting our renewable energy
     This is the second major wind project that PG&E has signed with PPM
 Energy. In 2006, PG&E began delivering 75 MW of clean, renewable wind
 energy as part of a 15-year agreement to purchase wind power from the
 Shiloh Wind Power Project in Solano County, California. The Klondike
 project is currently under construction and is expected to begin delivering
 electricity later this year.
     "It is gratifying to have outstanding repeat customers from Washington
 to California select PPM's newest West Coast project for their clean,
 renewable energy requirements," said Terry Hudgens, CEO of PPM Energy.
     PG&E has a long history of developing, generating, and purchasing
 renewable power. PG&E currently supplies 12 percent of its energy from
 qualifying renewable sources under California's Renewable Portfolio
 Standard (RPS) program. Of this amount, approximately 11 percent of the
 renewable energy is derived from wind. With more than 50 percent of the
 energy PG&E delivers to its customers coming from generating sources that
 emit no carbon dioxide, PG&E provides among the cleanest energy in the
     PG&E continues to aggressively add renewable electric power resources
 to its supply. In addition to Klondike, PG&E recently announced solar
 contracts with Cleantech America and GreenVolts, and a 25.5 MW contract
 with Western GeoPower, Inc. for a new geothermal energy facility in Sonoma
 County, California. PG&E is seeking regulatory approval of these renewable
 energy contracts resulting from PG&E's 2006 RPS solicitation. PG&E is
 continuing discussions with additional bidders that made offers and were
 short listed in the 2006 RPS solicitation, and just received bids for
 additional renewable energy in its 2007 solicitation.
     California's RPS Program requires each utility to increase its
 procurement of eligible renewable generating resources by one percent of
 load per year to achieve a 20 percent renewables goal by 2010. The RPS
 Program was passed by the Legislature and is managed by California's Public
 Commission and Energy Commission.
     For more information about Pacific Gas and Electric Company, please
                  the company's web site at

SOURCE Pacific Gas and Electric Company