SOLAR ARRAY COMPLEMENTSGEOTHERMAL PLANT

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ALAMEDA, Calif., December 31, 2007 — Alameda Power & Telecom has announced its participation in an innovative project that blends two clean, renewable technologies, solar and geothermal energy.

The construction of one of the largest solar arrays on the West Coast will augment operations at a major Geothermal Energy Plant in the Geysers area near Middletown, California.  For over 2 decades, this geothermal resource has provided approximately half of the power consumed in Alameda.

“It’s a great example of both ingenuity in operations and true environmental commitment,” said Alameda Power & Telecom General Manager Girish Balachandran.

The 1-megawatt solar system will provide energy to an existing pump station at the plant that feeds area wastewater to the Geysers plant, boosting its output and generating clean, renewable geothermal power.

The Northern California Power Agency (NCPA), a joint powers agency consisting of 17 public power entities, including Alameda, operates the plant.  Alameda has an approximate 18% interest in the project.  Most of Alameda Power & Telecom’s resources are acquired through its participation in NCPA.

Geothermal resources have been a major component of the Alameda Power & Telecom’s power resource portfolio, one that is already over 80% renewable.

Balachandran noted that the solar installation also promises lower-cost power operations.  “This inventive approach is another way we reduce our carbon footprint and keep costs and electric rates down.”

City of Alameda Public Utilities Board President Ann McCormick added, “We’re proud that Alameda’s environmental commitments and those of our partner utilities have been reflected in this way.  Once again, this is a demonstration of public power’s leadership role in the industry.”

The solar array will start generating power beginning in the third quarter of 2008.  The $8.2 million installation will produce 2.2 million kilowatt-hours of electricity annually, enough to power 300 homes and offset nearly 800,000 lbs of carbon dioxide per year.

The NCPA Geysers Geothermal Plant uses wastewater from Lake County and injects it into the geothermal reservoir.  The reservoir converts the wastewater into steam, which geothermal power plants use to produce electricity.  Currently, about 70% of steam produced from the reservoir is due to water injection.  This process also provides an extremely effective wastewater disposal solution for Clearlake.

About Alameda Power & Telecom

At over 120 years of service, Alameda Power & Telecom is the oldest municipal electric power utility west of the Mississippi River. Its service territory includes the City of Alameda and its 79,000 residents, as well as its thriving business sector. Its power portfolio, that is typically over 80% clean and renewable, is a major reason that the City of Alameda is the lowest greenhouse-gas-emitting community in Alameda County and one of the lowest in the State. Rates for electric power are also 13.5% lower that those in surrounding areas. The agency is the dominant provider of cable television and Internet services to its community, as well.

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