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Los Angeles Board of Water and Power Commissioners Advances LADWP Solar Power Sales Agreement

The Los Angeles Board of Water and Power Commissioners on May 13 voted to adopt a resolution to recommend the Los Angeles City Council authorize a power sales agreement between the Los Angeles Department of Water and Power and the Southern California Public Power Authority for the 300-megawatt Milford Solar Phase II project. 

Through this power sales agreement, LADWP will receive an average of 585,000 megawatt-hours of renewable energy per year over the course of the agreement’s 30-year term.  

“This year, more than 60 percent of L.A.’s power will come from clean energy sources, a significant milestone,” said Los Angeles Mayor Karen Bass on May 14. “Yesterday’s action is an important step forward in Los Angeles’ continued work to combat climate change and transition to 100 percent clean energy, and it serves as a testament to our commitment to building a greener, more sustainable city for generations to come.” 

“Milford Solar Phase II will provide enough energy to serve more than 97,000 Los Angeles households per year, make up an estimated 2.8 percent of LADWP’s renewable energy portfolio and help us exceed 62 percent clean energy to date. It marks another significant accomplishment for L.A.’s clean energy transition, underscoring LADWP’s commitment to create a greener, more sustainable Los Angeles for future generations,” said Janisse Quiñones, LADWP CEO and Chief Engineer  

Located in Beaver County, Utah, Milford Solar Phase II (MS2) connects with the Intermountain Power Project (IPP) switchyard in Delta, Utah, which in turn connects to LADWP’s grid through existing transmission line infrastructure. 

This enables the energy generated at MS2 to be used either to serve LADWP’s customers in the Los Angeles Basin or to produce green hydrogen at IPP, thereby allowing the energy to be stored and utilized for IPP’s hydrogen-ready gas turbines to meet future demand. 

“Using existing LADWP owned transmission lines to bring Milford Solar Phase II’s renewable energy to the city makes this project even more cost-effective and efficient for our customers. LADWP is making major progress toward its 2035 clean energy goals and this project underscores our commitment to keeping costs for our customers low,” said Richard Katz, Board of Water and Power Commission President. 

LADWP is one of three participants in MS2, receiving 235 megawatts, or 78.34 percent, of the solar energy generated. The City of Burbank will receive 40 MW, or 13.33 percent, and the City of Glendale will receive 25 MW, or 8.33 percent. 

In addition to the power sales agreement’s 30-year term, LADWP will also have the option to purchase MS2 at fair market value in years 10, 15, 20, and 25 from the project’s commercial operation date, as well as at the end of the agreement’s term. 

The project’s current estimated commercial operation date is December 2026. 

Now that this resolution has been adopted by the Los Angeles Board of Water and Power Commissioners, the power sales agreement will next go before the Los Angeles City Council for approval. 

The 585,000 MWh of average annual generation that LADWP will receive from MS2 represents 203,474 metric tons of carbon dioxide avoided annually, which is equivalent to removing 43,774 cars from the road per year. 

As of 2023, 39.5 percent of LADWP’s energy comes from renewable sources. In 2024, LADWP reached 58.1 percent clean energy and is projected to reach 62.6 percent in 2025.