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Power Sent to California by BPA by Hal Bernton, staff reporter Seattle Times, January 12, 2001

Bonneville Power Administration is once again helping California out of a power jam, sending 1,000 megawatts of hydroelectric power south during a five-hour peak-use period that ended at 9 p.m. yesterday.

More Northwest power is expected to be sent to California in days ahead, but last night it was unclear how much. Yesterday's shipment represents about 80 percent of the power necessary to support a Seattle-size city.

BPA's action came as California - hard hit by storms that hampered operation of a nuclear power plant - was forced to declare a Stage 3 power alert and warn of rolling blackouts.

"This is a heightened situation - no doubt about it," said Mike Hansen, a BPA spokesman. "Everything that can go wrong, seems to go wrong down there. It's just extraordinary."

BPA, which markets power from the region's Columbia River dams, is in the midst of delicate balancing act. A low-water year has diminished the system's ability to generate hydropower and makes it tougher to release water to aid young salmon that later this year will be traveling downstream en route to ocean feeding grounds.

BPA officials said yesterday's power shipment was a swap that will work to the Northwest's benefit, with California promising to send back double that amount. Half of that power must flow north within 24 hours and the rest within the next seven to 21 days.

BPA officials say the double payback will help conserve water needed later this year for energy, irrigation and fish. In addition to the swaps, the BPA and other Northwest power producers will be subject to a federal Energy Department order requiring the sale of surplus power to California. That order briefly expired yesterday but was extended by late afternoon.

In December, under this order, BPA sold power to California in a cash transaction that resulted in a net loss of hydropower generation to the Northwest. But BPA officials say the system now is balanced on a "razor's edge" and there's no surplus power. The agency doesn't plan to make any cash sales to California.

"We're not turning the system hard for California," said Dulcy Mahar, a BPA spokeswoman. "We're not going to put the Northwest at risk."

In a news conference yesterday, California officials said they expected the order to help them buy some Northwest power. But they were uncertain which Northwest power producers would be sending electricity south. Seattle City Light has no surplus generation from its network of dams, and has been buying large amounts of power. That's led to a 10 percent rate increase this month and a proposal now pending for another 18 percent rate increase.

"We're a buyer and have no energy," said Bob Royer, spokesman for City Light.

In December, California's power crunch helped send prices for spot-market electricity above $1,000 per megawatt hour. The price yesterday was $250 per megawatt hour.