SDG&E increases renewable portfolio with wind energy agreement

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Jennifer Briscoe


Sempra Energy


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        SAN DIEGO, June 5, 2008 – San Diego Gas & Electric (SDG&E) today announced that it has signed two power-purchase agreements with Naturener for the output from Naturener’s soon-to-be constructed Glacier Wind Energy facilities in Montana.

        Under a long-term renewable energy agreement, the wind farms will add 210 megawatts (MW) or 635,000 megawatt-hours annually to SDG&E’s total renewable energy portfolio and help to secure the utility’s plans for a “greener” electric future for its customers.

        “The Naturener Glacier Wind Energy agreements bring us closer to our goal of acquiring 20-percent of our energy portfolio from clean, green sources of energy,” said Debra L. Reed, president and chief executive officer of SDG&E.  “Adding renewable energy is a critical part of our long-term energy plan for the region and for our customers.” 

        Every year since 2002, SDG&E has issued market solicitations in pursuit of renewable energy for the region’s power supply.

        In response to the utility’s 10th renewable Request for Offers (RFO), SDG&E also reported that it has received more than 60 offers for renewable-energy-supply from the most recent solicitation that closed April 30, 2008.  The 6,000 MW proposed represent a mixture of renewable energy technologies, with solar bidders forming the largest segment.  Projects originate from a wide geographical area, including within SDG&E’s own service territory, elsewhere in California, and from other states, such as Arizona, Nevada and Baja California.  By far, the greatest number of proposed renewable projects originates in inland areas east of San Diego—where renewable energy delivery will be enhanced by the addition of the Sunrise Powerlink. 

        Today, 6 percent of SDG&E’s energy-resource mix comes from renewable resources such as wind, solar, biomass and geothermal.  In addition to the utility’s existing renewable portfolio, SDG&E has contracted for significant renewable energy supplies that will come online in the next few years and help meet the state’s clean energy goals.  The NaturEner wind contract alone will increase SDG&E’s renewable energy supply by nearly 4 percent in 2010 and beyond.

        SDG&E will work with bidders over the following months to execute contracts.

        Naturener is a wholly owned subsidiary of Grupo Naturener S.A., a renewable energy company based in Madrid, Spain.  The company entered the U. S. market in 2006 and has approximately 1,500 MW of wind energy projects in operation or development in Alberta, Canada and the United States.

        SDG&E is a regulated public utility that provides safe and reliable energy service to 3.4 million consumers through 1.4 million electric meters and more than 840,000 natural gas meters in San Diego and southern Orange counties.  The utility’s area spans 4,100 square miles.  Exceptional customer service is a priority of SDG&E as it seeks to enhance the region’s quality of life.  SDG&E is a subsidiary of Sempra Energy (NYSE: SRE), a Fortune 500 energy services holding company based in San Diego.