US power company Dynegy now has the green light to retire its Morro Bay power plant according to a statement from the California Independent System Operator (CAISO) who manage the state’s grid.
“The ISO did not see any issues with the retirement of the Morro Bay units with the planned upgrades in the area” says spokesman Steven Greenlee.
There has been some speculation that lack of rain this winter would require the plant stay on line to produce power on a backup basis.
But Greenlee indicates other power sources can fill the bill. Massive solar power resources have been added across the state in the past year.
Regarding lack of hydro power Greenlee says “Hydroelectricity accounts for about 14% of the ISO balancing area resource mix and less reservoir storage and reduced stream flows to run-of-river units will impact those units and plant operators will have to run their plants less during the day. If less hydro plants operate, then other resources will be used, including wind, solar and natural gas units.”
The news means Dynegy will likely move forward on the layoff of some 40 staffers at the 50 year old plant this month.
Also the Tribune reported Feb 6 that Dynegy and a New Hampshire firm GWave are working on a plan to establish a wave energy farm off the Morro Bay coast and will visit the area Feb 17 to talk to stakeholders. The wave farm could be operational by 2017 and utilize the power plant facility. Another company Archon has announced interest in doing the same (reported here Jan 25).