Doesn the District currently provide power to PG&E?
Yes, in 1964 the District entered into a 50-year contract with PG&E to deliver total power generation from the hydroelectric plants at New Exchequer and McSwain Dams. In return, PG&E reimburses the District for operating costs and maintenance, and construction bond interest and principal payments. For 1995, this represented about 1 cent/kwh of cost to PG&E compared to their average customer rate of 10.5 cents/kwh. Since the current economic benefits of this agreement significantly favor PG&E, the District has unsuccessfully attempted to negotiate a more favorable position. As a result, the District concluded that the best way to protect its investment in the generating facilities, build for the future and improve return for its constituents was to develop its own electric delivery system.
