Power users cope with PG&E warnings

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Published Thursday, December 7, 2000 Y-S faces energy crisis Power users cope with PG&E warnings

Appeal-Democrat and wire service reports

Skeptical inspectors examined California power plants Wednesday to verify an unusually high number of forced shutdowns that could lower supplies and potentially hike prices amid a statewide electricity emergency. At the same time, major Yuba-Sutter power users were coping with statewide warnings from PG&E to conserve electricity amid the threat of unusual winter brownouts.

Sunsweet Growers Inc. of Yuba City on Wednesday switched an arrangement with PG&E in which it had agreed to have its power shut off in such statewide emergencies.

"Up until yesterday (Tuesday), Sunsweet was on nonfirm power with PG&E," said Jerry Ramsey, engineering manager for the plant. "But that has been abandoned. The problem is the total number of shutdowns is effecting our ability to do business."

The so-called "nonfirm" status, in which companies agree to have interrupted power in exchange for rate considerations, was switched to "firm" at the local plant Wednesday, Ramsey said.

Ramsey said the plant has had three power shutdowns in the past month.

While PG&E makes the cuts, it is actually the Independent System Operator, a Folsom-based agency that manages the state's power grid, that makes the decisions for the need for cutbacks.

It said about a fourth of the system's capacity - some 11,000 megawatts of electricity - was down Wednesday. That figure included 7,000 megawatts from power plants that reported they were forced to halt operations because of broken equipment or other reasons.

That reflects an unusually high number of idled plants, the ISO said.

The Public Utilities Commission, which was conducting the inspections, said power plants at a dozen sites in Northern and Southern California were being checked. The inspections were expected to be completed by late today.

Paul Clanon, the PUC's energy director, said teams of electrical engineers accompanied by ISO experts were visiting the sites and collecting information. He did not discuss the results of the inspections, but said they would be reported to the PUC.

"We're making sure that state government understands why these generators aren't producing," Clanon said.

For ISO, the statewide round of inspections was unprecedented.

"This is the first time the ISO has done this," said ISO spokeswoman Stephanie McCorkle. "This is not an ongoing measure. It is something we are doing because of the dire situation. We are making no assumptions at this time, but we are certainly going to verify that their operating status is preventing them from producing power."

Residents throughout the state have been warned to take measures to cut back on the use of electricity, including cutting back on the usage of outdoor displays of Christmas lights.

Karen Tabler, manager of The Mall at Yuba City, said she was not aware of the shortage until the mall had already put up its holiday displays. She said the mall is conferring with consultants to determine if there are ways to save electricity that haven't already been done.

"I don't think the Christmas displays add that much," Tabler said. "We actually are not using other lighting because of that."

High utility costs are a growing problem - whether there is an emergency or not. Tabler said the mall has already spent $280,000 in power costs through October of 2000.

"Our PG&E bill is already astronomical and we are always looking for ways to cut costs," she said. "What is scary for us is looking at what some of the smaller tenants have to pay for their individual use."

Ramsey said Sunsweet already uses energy efficient motors and lighting.

"We have gone energy efficient on everything," he said. "We will continue to help out and minimize our energy usage."

Raley's spokeswoman Carolyn White said stores throughout the chain have voluntary cut power during Stage 1 and Stage 2 emergencies.

"We do a great deal to support our communities," White said. "Part of supporting communities is being responsive when there are problems like this."

Sutter County Deputy Public Works Director Russ Jarvis said the county has reduced lighting by half and kept computers and copy machines turned off when possible, to meet the emergency.

"We are trying to get everything offline that we can at night when we go home so we can alleviate the peak demand," Jarvis said. "We are doing what we can to reduce costs."

Marysville officials in recent years have embarked on programs to replacement traffic signals, street lights and wastewater lift stations with energy efficient equipment.

"We have done our conservation things quite a bit," City Administrator/Police Chief Mark Siemens said. "Right now we are working with PG&E to see where we can curb costs.

In response to the current shortage, there is nothing we can currently do that is going to be more efficient than any programs we currently have," he said.

Publicly, there was no indication from the ISO or PUC that officials were concerned about deliberate shutdowns in order to pinch supplies and drive up electricity costs to utilities.

Privately, however, officials at two state energy agencies said they were concerned that the shutdowns could result in cost spikes ultimately benefiing the power plants.

http://www.appeal-democrat.com/120700/1207_PGE.shtml



-- Martin Thompson (mthom1927@aol.com), December 07, 2000


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