LADWP extends power sales agreement to produce green energy

The Los Angeles Department of Water and Power on Monday announced it extended a power sales agreement with the Southern California Public Power Authority for approximately 262 megawatts of renewable energy from a major wind farm — taking a “significant step” toward achieving 100% clean energy for the city.

The agreement is expected to save about $72.3 million over four years in upgrades to wind turbines, according to DWP. The energy will come from the Windy Point Project, also known as Windy Flats, located in Goldendale, Washington, which has been part of the department’s renewable energy portfolio.

Under the agreement, DWP will receive about 700,000 megawatt-hours per year of wind power for four more years, from 2030 through 2034. The department estimates that amount of green power will serve more than 116,000 LA homes and offset nearly 230,000 metric tons of CO2 emissions annually, which is equivalent to removing more than 52,300 gas-fueled cars from the road each year.

“This agreement is an important part of achieving our accelerated goal of 80% renewable energy by 2030 and to ultimately become 100% carbon free,” Martin Adams, DWP general manager and chief engineer, said in a statement.

“L.A. will continue receiving high-quality wind power at a significantly reduced price while optimizing a key transmission line connecting the Pacific Northwest to Los Angeles,” he added.

DWP is the only recipient of energy from the Windy Point Project and the department will receive that wind-powered energy at $56.46 per megawatt-hours. The agreement was approved by the DWP’s Board of Water and Power Commissioners in November 2022 and the SCPPA Board of Directors in March.

SCPPA is a joint powers authority providing member utilities with joint planning, financing, construction, and operation of transmission and generation projects. SCPPA includes 11 municipal utilities, including LADWP, and one irrigation district.