P G and E to sell Potter Valley Project

[MikeH]

This is the hydroelectric project which diverts some Eel River water to the Russian River which the Water Agency is dependent upon for supply. It adds to the water stored at Lake Mendocino. The Potter Valley Project is also up for re-licensing by FERC, meaning to continue operating it must get approval. Here is some information on the matter:

https://sonoma-county.granicus.com/M...meta_id=248277

Historically water discharged from the Project provided about half of the flows into Lake Mendocino. However, since a 2004 amendment to PG&E’s Commission license, intended to benefit fishery resources in the Eel River, flows into Lake Mendocino have been reduced by approximately 40% - 70% annually compared to pre-2004 historical flows. In addition, drought conditions and emergency repairs over the last several years have further reduced Project’s inflows.


The current Project license will expire in 2022. On April 6, 2017, PG&E began the relicensing process for the Potter Valley Project by filing the Notice of Intent to File Application for New License and PreApplication Document. On May 10, 2018, PG&E sent a letter to the Eel-Russian River Commission to publicly announce its intention to auction the Project. However, the letter also stated that PG&E was still “open to exploring with local, county and/or state governmental entities that have an interest in the continued operation of the project the possibility of transferring it to a local or regional entity as an alternative to auction.” PG&E’s letter further stated it would continue the relicensing process while seeking a new owner for the Project. PG&E has stated it anticipates the auction process would begin this fall and would last approximately eighteen (18) months. PG&E’s application for a new license must be filed by April 2020.


The Water Agency has been working with regional stakeholders, including PG&E, in a process convened by Congressman Huffman to plan for the future of the Project that sustains fisheries and water supply in both the Eel and Russian River Watersheds. As a result of these meetings, the Water Agency and the Tribes have proposed to partner together to conduct joint studies that are intended to inform and support the Huffman ad hoc process, and to supplement the studies required of PG&E in the relicensing proceedings. These studies will focus on the goals shared by the Water Agency and the Tribes of restoring and maintaining the viability of salmonids and other fish species in both the Eel and Russian River Basins, and to ensure that water resources will continue to be managed to provide reliable water supplies in both basins.