By Jay Powell
Last week state Public Utilities Commissioners at a March 21 hearing threw down the gauntlet. Declaring that the sun don’t always shine and we have to guarantee reliable power for SDGE customers, they said San Diego had two, maybe three years to convince them not to let SDGE charge its customers for two new proposed gas-fired “peaker” power plants.
Peaking power is needed usually on the hottest days when air conditioners and other appliances and equipment are cranked up full. This is, of course when solar photovoltaic panels are at their optimum output. But there is a purported catch. SDGE and conventional power plant developers claim that there is a lag time in the late afternoon when solar generators output is waning, but peak loads continue to require more electricity. That is one of their key arguments for a new kind of peaker plant that best runs in an “intermittent mode”. They even claim that these plants are essential to promote more renewable energy.
So what is it going to take to meet this challenge? First, we are going to have to recognize that the deck is heavily stacked in favor of SDGE and conventional power plant developers. In spite of the promise and demonstrated potential of solar energy and energy efficiency, the current energy supply paradigm favors building more power plants and more transmission lines. The regulatory framework is set to reward that kind of system. Since the PUC is required to provide the investor owned utilities (IOUs) like SDGE a guaranteed rate of return on their asset base, the more they build and own, the more they make.
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