The California Public Utilities Commission (Commission) has issued a procurement request under Assembly Bill 1373 to the Department of Water Resources (DWR) for up to 10.6 GW of long lead-time (LLT) resources. The proposal calls for up to 7.6 GW of offshore wind, 1 GW of upgraded geothermal systems, and 2 GW of long-duration energy storage (LDES).
A formal request for DWR to begin procurement is likely within six months. DWR will evaluate bids to determine actual procurement within maximum restrictions, with the goal of controlling costs and reducing ratepayer risks. This move helps California's 2045 greenhouse gas reduction targets by focussing on developing technologies that require economies of scale to minimise prices.
A formal request for DWR to begin procurement is likely within six months. DWR will evaluate bids to determine actual procurement within maximum restrictions, with the goal of controlling costs and reducing ratepayer risks.
Costs and benefits will be distributed to all load-serving entities (LSEs), with allocations depending on energy and peak load. Opting in is possible for publicly owned utilities. The decision includes a solicitation timeline that begins in 2026 for LDES and 2027 for offshore wind.
