SAN DIEGO, Aug. 31, 2005 (PRIMEZONE) -- San Diego Gas & Electric (SDG&E) today unveiled a proposal to build a new electric transmission line between San Diego and Imperial Counties that could import enough power for about 650,000 SDG&E customers in Southern California.
The new transmission project, called the Sunrise Powerlink, will serve as a new energy superhighway to dramatically improve the reliability of the region's electric transmission grid. The line will also provide access to available and proposed electricity from environmentally friendly resources such as solar, geothermal and wind power for the region.
"Last week's electric transmission emergency was a sharp reminder of just how fragile California's transmission grid is," said Edwin A. Guiles, SDG&E's chairman and chief executive officer. "The Sunrise Powerlink will improve the reliability of our system, provide access to renewable energy resources, and help reduce costs for our customers in the future."
On Aug. 25, the California Independent System Operator (CAISO) declared a transmission emergency, causing forced power outages for more than 450,000 customers in Southern California, including 51,000 residential and business customers of SDG&E. The outage lasted for approximately 45 minutes.
SDG&E has been studying options for a major new electric transmission line since the California Public Utilities Commission (CPUC) approved the utility's long-term energy strategy in 2004. That plan calls for an expanded transmission system, in addition to energy conservation programs, improving demand-response and building more power plants. Detailed technical studies for a major line have been in the works over the past year as part of the Southwest Transmission Expansion Plan (STEP).
"If the Sunrise Powerlink had been in service, it likely would have helped avoid last week's transmission emergency," said Guiles.
Industry forecasts show that, by the year 2010, SDG&E customers will require more energy than can be produced locally or imported on existing electric transmission lines. Currently, SDG&E's electric transmission system has only two power links to the statewide energy grid. As the demand for electricity has grown, these two connections have nearly reached "energy gridlock" -- like a freeway at rush hour. The Sunrise Powerlink will dramatically increase SDG&E's electricity import capability and provide more options to handle the power needs of the region -- especially when electricity is in high demand, Guiles said.
Much of the electricity imported on the Sunrise Powerlink will come from clean, renewable energy sources such as solar, geothermal and wind power produced in the Imperial Valley and eastern San Diego County. The transmission project will help SDG&E meet its renewable energy goals to have 20 percent of its electricity come from renewable sources by 2010.
"By tapping into the developing renewable energy market in the Imperial Valley, we can improve our overall system reliability and the environment at the same time," said Guiles.
SDG&E officials also announced plans for an aggressive public outreach program to give community groups and customers the chance to get actively involved in the route selection process for the Sunrise Powerlink.
"We recognize that a project of this size will affect some customers," said Guiles. "We want to work with community groups, elected officials, local, state and federal agencies and members of the public in an open and collaborative process so the route selection for the Sunrise Powerlink is truly a regional effort."
While no route for the line has been selected, recently completed technical studies identified a connection at SDG&E's Imperial Valley substation as the starting point for the Sunrise Powerlink. A route and final interconnection point into SDG&E's existing transmission system will be determined after the public process is completed. Technical studies also called for continued evaluation of a northern alternative to interconnect SDG&E's transmission system to the California transmission grid.
SDG&E has long advocated a balanced approach in its long-term energy strategy, Guiles said. A mix of new local power plants and more transmission is vital in building a stable energy future for the region. Three new power plants in San Diego County are either in service or under construction. The first, the Miramar Energy power plant, went into service in June 2005. Palomar Energy power plant in Escondido is expected to be online in June 2006, and a third power plant is planned in Otay Mesa in 2008. More electric transmission, however, still is needed to increase SDG&E's electricity import capability to meet the growing power needs of the region.
Joining SDG&E officials at the announcement was Chris Van Gorder, president and chief executive officer of Scripps Health, who called on the CPUC to take action quickly to ensure the region will have the transmission infrastructure in place to meet future energy demands.
"Our dedicated doctors and nurses need a reliable supply of energy to provide world-class health care," said Van Gorder. "Their patients' lives depend on it."
Also at the news conference was a former member of the California Energy Commission, Dr. David Rohy of Rohy Consulting, who commented on the need for additional transmission infrastructure and the potential for renewable energy development in the San Diego and Imperial Valley regions. Rohy recently co-authored a major study on the future of renewable energy in the area.
Later this year, SDG&E plans to file with the CPUC its case for the need to build the Sunrise Powerlink, and will file its formal application and environmental report on the project by mid-2006. If approved, the project is expected to be in service by the year 2010.
SDG&E is a regulated public utility that provides safe and reliable energy service to 3.2 million consumers through 1.3 million electric meters and more than 800,000 natural gas meters. The company's service territory encompasses 4,100 square miles in San Diego and southern Orange counties. Exceptional customer service is a priority of SDG&E as it seeks to enhance the region's quality of life. SDG&E is a regulated subsidiary of Sempra Energy (NYSE:SRE). Sempra Energy, based in San Diego, is a Fortune 500 energy services holding company. To learn more, go to www.sdge.com.