Ormat signs 20-year agreement with S. California Edison

Ormat Technologies, Inc. (NYSE: ORA) has announced that its subsidiary has signed a 20-year power purchase agreement with Southern California Edison (SCE). The agreement is for the sale of geothermal energy to be produced by a new plant that will be built in Imperial Valley, California. The plant is expected to come on line by mid 2012 and is expected to have a total output of 30 megawatts. The agreement includes an option to increase capacity to 100 megawatts.

"The agreement for the new Imperial Valley Power Plant is the eighth such agreement between Ormat and SCE, and the second executed since the enactment of California's aggressive renewable portfolio standard legislation," said Ormat Technologies CEO Dita Bronicki. "We are very happy to bring more baseload through clean geothermal energy to California. We are already supplying approximately 160 megawatts of geothermal energy to SCE from the existing power plants that we operate and we have an additional 50 megawatts under construction. This new contract will further increase our share in SCE's impressive portfolio of clean energy generation."

In May, Ormat signed a 20-year agreement with Nevada Power Company, for the sale of energy produced from the Grass Valley Geothermal Power Plant. That contract has recently received the approval the Public Utilities Commission of Nevada.

(Sourced here)