PUC Action Clears Way For Abengoa Power Plant Construction

November 15, 2011 - The California Public Utilities Commission recently removed the final obstacle to construction of the Abengoa 250-megawatt solar trough project in San Bernardino County, when it approved a power purchase agreement between Mojave Solar, an affiliate of Abengoa, and Pacific Gas and Electric Company.

The power purchase agreement was essential to ensuring the viability of the project, and the project could not have proceeded without it.  There was opposition to the agreement, so strong support from the Building Trades was a key factor in helping convince the PUC to approve the agreement and allow the project to go forward.

The agreement’s approval now allows the project to quickly ramp up to full construction.  The $1.6 billion project includes a construction payroll of $272 million, and will employ an average of 830 construction worker for 26 months.

In announcing approval of the agreement, the PUC cited the need to increase renewable energy generation capacity, to enhance PG&E’s resource diversity, the soundness of the technology, and Abengoa’s voluntary commitment to diversity in its hiring and procurement practices.

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