Gas Under Threat? California Regulators Target PG&E Natural Gas Plants With Energy Storage

FERC granted three natural gas-fired power plants in Northern California must-run status, reversing an earlier decision from the California Public Utilities Commission, according to reports.

RTO Insider reported the affected power plants are the Metcalf Energy Center (564 MW), the Feather River Energy Center (47 MW) and the Yuba City Energy Center (47 MW). The power plants are each owned and operated by Calpine. The pair of 47 MW power plants operate as peaker plants for high demand times.

The CPUC previously voted for Pacific Gas and Electric to shut the power plants down and replace the capacity with energy storage.

The settlement lowers annual revenue for Metcalf from $72 million to $43 million through 2020, with Feather River and Yuba City receiving $3.5 million each, down from $4.4 million.