Calpine gets LA utility contract for up to 270 MW

Calpine Corporation (NYSE:CPN) today announcedthat it has entered into a new contract to provide the Los Angeles Department of Water and Power (LADWP) wind integration services. By combining the procurement of intermittent renewable wind power generation with the essential backstop of a reliable, flexible natural gas-fired portfolio, Calpine is able to offer an innovative solution to meet the needs of LADWP.

Under the terms of the new short-term contract, Calpine will provide up to 270 megawatts of firm power to LADWP. Calpine will leverage its quick-responding natural gas-fired facility, Hermiston Power Project located in Hermiston, Ore., as well as its contracted transmission resources in the Northwest to integrate the energy output it will purchase from the Windy Point Wind Farm in Klickitat County, Wash.

"We are pleased to have partnered with LADWP in creatively addressing the dilemma created by the intermittent nature of renewable generation," said Thad Hill, Calpine’s Chief Commercial Officer. "This contract demonstrates the critical role natural gas generation will play in integrating renewable generation into the marketplace and helping California’s load-serving entities meet their renewable energy goals."

Calpine Corporation is helping meet the needs of an economy that demands more and cleaner sources of electricity. Founded in 1984, Calpine is a major U.S. power company, currently capable of delivering nearly 25,000 megawatts of clean, cost-effective, reliable and fuel-efficient electricity to customers and communities in 16 states in the United States and Canada. Calpine owns, leases, and operates low-carbon, natural gas-fired, and renewable geothermal power plants. Using advanced technologies, Calpine generates electricity in a reliable and environmentally responsible manner for the customers and communities it serves. Calpine’s California portfolio includes 38 power plants capable of producing 5,800 megawatts of power – enough to meet the needs of almost six million California households.