Using a Power Purchase Agreement to Meet Renewable Energy Goals

Public wastewater agencies are always looking to reduce costs and increase the reliability of their services supplied to the public, while minimizing environmental impacts. For the past several years, Inland Empire Utilities Agency has made a concerted effort to control costs, while increasing reliability and reducing the environmental impact of their operations. One method that Inland Empire Utilities Agency has used to great effect is the Power Purchase Agreement. Power Purchase Agreements are becoming more attractive to public agencies since they shift risk, provide stable power costs, and can increase reliability. Inland Empire Utilities Agency is in the process of commissioning a 2.8 MW fuel cell at their Regional Plant 1 waste water facility. This project in conjunction with pas PPA projects including two solar power purchase agreements allows the Inland Empire Utilities Agency to generate renewable energy onsite while reducing dependency on the electrical grid and controlling cost. The decision process for implementing the fuel cell project including design concept development, construction, startup and operations are reviewed and discussed.