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DOE will not extend Calif. deadline

Feb. 6, 2001–In a brief phone statement to EL&P Associate Editor Kathleen Davis, Joe Davis, spokesman for the Department of Energy, stated that the emergency order requiring generators to sell to California, “will not be extended.”

Energy Secretary Spencer Abraham issued a two-week extension of emergency orders requiring certain energy suppliers to provide natural gas and electricity supplies to California utility companies in late January, but the extension expired at 3 a.m. on February 7.

The extension was granted at the request of California Governor Gray Davis in order to provide sufficient time for California to complete actions on steps designed to, among other things, restore the financial health of the utility companies and develop other sufficient sources of energy to meet their needs.

Governor Davis agreed with Secretary Abraham that, having granted this request, no further extensions would be necessary.

“While we do not intend to write legislation for the State, a real solution must address the need for the construction of more electric power generation in California, reform of the flawed state market rules, restoration of the financial health of California utilities and encouragement of greater conservation. If California takes these steps, it is my belief that the current situation will be resolved,” Abraham said.

The natural gas emergency order (GasEO1-23.pdf), issued pursuant to provisions of the Natural Gas Policy Act of 1978 (NGPA) and the Defense Production Act of 1950 (DPA), expired at 3:00 a.m. Eastern Time on February 7, 2001. The electricity order (ElectricEO1-23.pdf), extended pursuant to Section 202 (c) of the Federal Power Act, expired at the same time.