LOS ANGELES, CA - Mayor Jim Hahn today unveiled a proposal for the Los Angeles Department of Water and Power (LADWP) to create a wind generating facility that will represent the most significant step yet toward reaching the Mayor's goal of dramatically increasing the amount of renewable energy generated by the city's electrical utility.

The Pine Tree Wind project, which will be the largest municipally owned wind plant in the U.S., will reduce LADWP's dependence on fossil fuels, saving approximately $14 million a year in gas costs, and reducing the utility's carbon dioxide emissions by more than 210,000 tons each year. When completed, it will produce up to 120 megawatts of electricity, enough power for more than 100,000 households.

"For decades, the Department of Water and Power has been a leader in the fight against air pollution in Los Angeles. But an important strategy for cleaning the air needs more attention from this Department-and that is the use of renewable energy," said Mayor Hahn. "To be sure, we have much to show for our renewable energy programs, but we have a good deal further to go. As the country's largest municipally owned utility, LADWP has an obligation to continue to set the standard for excellence in public power, and to help reduce our nation's dependence upon fossil fuels."

"The time has come for LADWP to invest in its own renewable resource generating facility," Mayor Hahn said. "I am proud of the Department's quick response to my call last November for a stepped-up investment in renewable resources. This project represents the next evolution of LADWP's Green Power program from buying renewable power on the marketplace to generating its own clean energy."

The facility, consisting of 80 wind turbines, will be constructed on approximately 22,000 acres of land located 12 miles north of Mojave, Calif. The project is scheduled to begin operation in July 2004.

LADWP has been working with Mayor Hahn and the Los Angeles City Council to explore options to add renewable power to its generation system.

"Renewable energy is the wave of the future and it is time for LADWP to invest," said City Councilmember Ruth Galanter. "This is what Green Power is really all about."

The Department is committed to strengthening its generation portfolio by investing in a combination of renewable energy and other emission reducing programs. The Mayor and Department officials were joined by environmental leaders at the news conference.

"Wind power is clean power, and it is renewable. The South Coast Air Quality Management District recognizes Mayor Jim Hahn and the Los Angeles Department of Water and Power for making such an ambitious move toward cleaning up the air we all breathe," said Dr. Barry Wallerstein, Executive Officer for the South Coast Air Quality Management District.

The LADWP Board of Commissioners will consider the $162 million proposal at its board meeting Feb. 4. City Council approval is needed. The project will be constructed by Wind Turbine Prometheus LLC, a Delaware company.

"The Coalition for Clean Air is very excited to join the Los Angeles Department of Water and Power as it embarks on this highly significant renewable energy project. Coming from the nation's largest municipal utility, the Department's move is a sign to other utilities across the country that wind power can play an important role in meeting the energy needs of consumers, and we commend the Department for its strong leadership. We look forward to working with the Department as it brings on additional renewable projects," said Martin Schlageter, the Coalition's Energy and Climate Change Program Director.

LADWP invests in new technologies to support the development of renewable and alternative sources of power, including solar, distributed generation, demand side management, hydro, landfill gas, fuel cells and biomass.

"Wind power is a low-cost, reliable source of renewable energy, and this project will improve the air quality in Los Angeles by significantly reducing the emission of carbon dioxide into the environment," said David Wiggs, LADWP general manager. "Residents and businesses will benefit greatly from a wind generating facility."

Adding more renewable energy to LADWP's power grid is only one part of the Department's long-term goal, which also includes a commitment to lowering power plant emissions and the impact of the city's energy usage on the Los Angeles Basin and other areas, said Mayor Hahn.

"This agreement represents the first step toward diversifying the Department's portfolio and decreasing emissions," said Mayor Hahn. "As the country's largest municipal utility, LADWP has an obligation to continue to set the standard for excellence in public power. Certainly, this project has significance beyond Los Angeles," said Mayor Hahn.

"The American Wind Energy Association (AWEA) congratulates Mayor Hahn and the Los Angeles Department of Water and Power on what will be the largest municipally owned wind plant in the U.S.," said AWEA Deputy Executive Director Tom Gray. "The Pine Tree Wind Project is another sign that wind energy is becoming a mainstream utility generating option, and we salute the Mayor and Department for a progressive, forward-looking decision."

ABOUT LADWP

LADWP, the largest municipally owned utility, was established 100 years ago to provide water and electric needs to the city's residents and businesses. LADWP currently serves more than 3.8 million people in Los Angeles. For more information about LADWP, log on to www.ladwp.com.

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