March 21 (Renewables Now) - A subsidiary of Ormat Technologies Inc (NYSE:ORA) has signed a deal to sell a portion of the electricity produced by the 30-MW Casa Diablo-IV (CD4) geothermal power plant in Mammoth Lakes, California.
More specifically, the Ormat unit has entered into a power purchase agreement (PPA) for a 16-MW portion of the plant with Southern California Public Power Authority (SCPPA). The latter will resell the output to the City of Colton, helping it meet close to 25% of its annual energy needs.
Power deliveries will be initiated no later than the end of 2021. The contract is for a term of 25 years and has a fixed price of USD 68 (EUR 59.85) per MWh.
The electricity from the remaining 14 MW will be sold to other offtakers or at the spot market.
Ormat noted that this will be the first geothermal power plant built within the California Independent System Operator (CAISO) balancing authority in the last 30 years.
(USD 1.0 = EUR 0.880)