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Regulators Approve Contract for 150-MW Sempra Generation Solar Power Plant

Construction on Mesquite Solar 1 to Begin in June


News provided by

Sempra Generation

Apr 14, 2011, 01:34 ET

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SAN DIEGO, April 14, 2011 /PRNewswire/ -- Sempra Generation today announced that the California Public Utilities Commission (CPUC) has unanimously approved Pacific Gas & Electric's 20-year contract to purchase 150 megawatts (MW) of solar power from Sempra Generation's Mesquite Solar 1 facility in Arizona.

(Logo:  http://photos.prnewswire.com/prnh/20110125/MM36244LOGO)

With approval of the contract secured, the company plans to begin construction on the photovoltaic solar power plant in June.  The project is expected to create about 300 construction jobs at peak.  Mesquite Solar 1 will produce enough electricity to power approximately 56,000 average homes when completed in early 2013.

"Approval of this contract is a major step forward for Sempra Generation and it reflects the vision and leadership by PG&E and state policy makers who have put California on the path to a clean energy future," said Jeffrey W. Martin, president and chief executive officer of Sempra Generation.  "We look forward to starting construction on this world-class solar power complex that will deliver a new supply of sustainable energy and create hundreds of jobs."  

Mesquite Solar 1 is the first phase of Sempra Generation's planned 700-MW Mesquite Solar complex located 40 miles west of Phoenix.  

Sempra Generation operates and maintains a fleet of clean, efficient natural gas-fueled power plants and is a leading developer of solar and wind facilities that serve U.S. markets.  Sempra Energy, based in San Diego, is a Fortune 500 energy services holding company with 2010 revenues of $9 billion.  The Sempra Energy companies' nearly 16,000 employees serve about 25 million consumers worldwide.

This press release contains statements that are not historical fact and constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements can be identified by words like "believes," "expects," "anticipates," "intends," "plans," "estimates," "may," "will," "would," "could," "should," "potential," "target," "depends," or similar expressions, or discussions of strategies, plans or intentions. Forward-looking statements are not guarantees of performance. They involve risks, uncertainties and assumptions. Future results may differ materially from those expressed in the forward-looking statements. Forward-looking statements are necessarily based upon various assumptions involving judgments with respect to the future and other risks, including, among others: local, regional, national and international economic, competitive, political, legislative and regulatory conditions and developments; actions by the California Public Utilities Commission, California State Legislature, California Department of Water Resources, Federal Energy Regulatory Commission, Federal Reserve Board, and other regulatory and governmental bodies in the United States and other countries where the company does business; capital market conditions and inflation, interest and exchange rates; energy markets, including the timing and extent of changes and volatility in commodity prices; the availability of electric power, natural gas and liquefied natural gas; weather conditions and conservation efforts; war and terrorist attacks; business, regulatory, environmental and legal decisions and requirements; the status of deregulation of retail natural gas and electricity delivery; the timing and success of business development efforts; the resolution of litigation; and other uncertainties, all of which are difficult to predict and many of which are beyond the control of the company. These risks and uncertainties are further discussed in the reports that Sempra Energy has filed with the Securities and Exchange Commission. These reports are available through the EDGAR system free-of-charge on the SEC's website, www.sec.gov, and on the company's website at www.sempra.com.

Sempra Generation is not the same company as the utility, San Diego Gas & Electric (SDG&E) or Southern California Gas Company (SoCalGas), and Sempra Generation is not regulated by the California Public Utilities Commission.

SOURCE Sempra Generation

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