PowerEx to pay California $750mn in power dispute

Market: Electricity
19/08/13

Portland, 19 August (Argus) — The California Public Utility Commission (PUC) has made the largest settlement yet in disputes over costs associated with the 2000-2001 California energy crisis.

Canadian provincial power marketer PowerEx will pay $750mn in fines to the state of California for its actions during a period of energy shortage and skyrocketing electricity prices in the state early in the century.

PowerEx was one of the parties the state accused of buying and exporting large amounts of energy into Canada, causing shortages in California, and then selling that energy back to California at extremely high prices.

“It is a major advance toward closing the books on the energy crisis of 2000-2001, when California was crippled by excessively high electricity prices,” PUC president Michael Peevey said.

Parties to the settlement are the Department of Water Resources' California Energy Resources Scheduling Division (CERS), the PUC and investor-owned utilities Pacific Gas & Electric, Southern California Edison, and San Diego Gas & Electric.

Harris' office said last week that the majority of the settlement proceeds will be directed to ratepayers of California's largest utilities. The state PUC will determine how those funds are distributed.

The Federal Energy Regulatory Commission announced large settlements with two western power marketing agencies and transmission providers, the Bonneville Power Administration and the Western Area Power Administration.

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London, 9 June (Argus) — Turkey has proposed a global goal for electricity to reach 35pc of global final energy consumption by 2035, up from around 20pc at present during the Bonn climate talks, a halfway conference between UN Cop climate summits. Turkey, which will host the upcoming Cop 31 climate summit in November, proposed the goal as part of its action agenda of voluntary initiatives aimed at accelerating the implementation of commitments taken at previous summits. Like during Cop 30 in Brazil, the action agenda will run alongside official UN negotiations. The Cop host is proposing to build a global coalition to carry forward this goal, which is based on analysis from watchdogs the International Energy Agency (IEA) and International Renewable Energy Agency (Irena). President-designate of the summit, Murat Kurum, called it "one of the defining priorities of our Cop 31 presidency." Reaching the goal would require a sharp increase in the rate of electrification from recent decades. Electricity would have to increase its share of final energy consumption by 1.2pc/yr, compared to 0.2pc/yr over 1990-23, according to IEA data (see graph). The electrification goal has the advantage of being applicable worldwide, being equally valid for decarbonising industry in Germany or contributing to clean cooking in Africa, according to Cop 31 president of negotiations Chris Bowen of Australia. The electrification pledge remains outside of negotiated Cop outcomes for now, but Australia has referred the action agenda to parties at the Cop, and it is something they could take momentum from, Bowen said. UN Framework Convention on Climate Change (UNFCCC) executive secretary Simon Stiell said today that it is "for parties to decide" if it is brought into the negotiation process. Achieving an electrification rate of 35pc by 2035, combined with energy efficiency improvements of around 3pc, calls for a global installed renewable power capacity of around 18,400 GW in the same period, according to Irena. The goal also needs to be complemented by grid enhancements, according to the organisation. Increasing electricity consumption can be met by fossil as well as non-fossil sources. The world consumed 2.4 times as much fossil-origin electricity in 2023 as in 1990, although electricity generation from other sources increased 2.7 times in the same timespan. By Rhys Talbot Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

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BP confirms shift to two‑segment structure

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London, 9 June (Argus) — Irish developer Net Zero Energy (NZE) plans to build a 600MW long-duration energy storage (LDES) facility that will convert surplus renewable power into hydrogen, store it underground, and dispatch electricity during periods of peak demand. The Rathrush Green Energy Park, in Carlow county, would cost around €2bn ($2.31bn) to develop. The plant is designed to generate up to 600MW for 70 hours — enough to cover 10pc of Ireland's peak electricity demand , NZE said. The LDES site will use surplus wind and solar electricity to power electrolysers to produce renewable hydrogen, which will be compressed and stored in lined rock caverns. Gas turbines will then burn the hydrogen to generate power for grid dispatch. The plant will connect to the grid through a 220kV substation, and draw process water from a nearby wastewater treatment facility. NZE is running a public consultation and plans to file a planning application by the end of 2026. NZE previously developed a 4.6MW battery energy storage system (BESS) and assisted in permitting and grid connection for the Kelwin 26MW BESS site . Separately, Ireland's department of climate, energy and environment has opened a call for evidence on geological hydrogen storage to inform future regulatory frameworks for underground storage. The consultation, which covers salt caverns, depleted gas fields, aquifers and lined rock caverns, closes on 17 July. By Chingis Idrissov Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

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PowerEx to pay California $750mn in power dispute

Related news posts

Turkey eyes 35pc by 2035 Cop 31 electrification goal

Turkey eyes 35pc by 2035 Cop 31 electrification goal

BP confirms shift to two‑segment structure

BP confirms shift to two‑segment structure

Irish firm plans 600MW green H2 energy storage project

Irish firm plans 600MW green H2 energy storage project

South Korea’s fundamental fuel economics and policy

South Korea’s fundamental fuel economics and policy

UK Rego auction sells 84pc on offer, reopening 8 Jun

UK Rego auction sells 84pc on offer, reopening 8 Jun

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