San Diego, California
The Naval Station Project is a 47 MW combined cycle, cogeneration facility located at the San Diego Naval Station on the eastern edge of San Diego Bay. The Project achieved commercial operation in 1989. Atlantic Power indirectly owns 100% of the Project, and also manages and operates the Project.
Historically, steam produced by the project was sold to the Navy under an agreement that allowed use of the site. This agreement expired in February 2018 and operations of the plant ceased on February 7, 2018. As a result, the PPA with San Diego Gas & Electric Company (SDG&E) was terminated in February 2018, ahead of its December 2019 scheduled expiration. Although the Company executed a new seven-year Power Purchase Tolling Agreement (PPTA) with SDG&E, it has been unsuccessful in its discussions with the Navy regarding site control, which is a condition precedent of the PPTA. Accordingly, the Company is proceeding with preparations to decommission the site, as required by its agreement with the Navy.