Renewables, Storage, Energy Efficiency to Replace Diablo Canyon Nuke Plant

Diablo Canyon nuclear power plant

A joint proposal was filed in California that lays a roadmap for increasing energy efficiency, renewables and storage while phasing out production at Diablo Canyon nuclear power plant by 2025.

Pacific Gas & Electric (PG&E, NYSE: PCG), along with labor and environmental groups, filed with the California Public Utilities Commission (CPUC) a joint proposal to increase investment in energy efficiency, renewables and energy storage beyond current state mandates. The plan also includes steps to phase out PG&E’s production at Diablo Canyon, which is set to shut down when the operating licenses expire on November 2, 2024 for Unit 1, and August 26, 2025 for Unit 2. PG&E ended any efforts to renew the operating licenses, and asked the NRC to suspend consideration of the pending renewal application. PG&E will withdraw the application upon CPUC approval of the joint proposal. During the transition period, PG&E will give the time to begin planning and replacing Diablo Canyon’s generating capacity with GHG-free replacement resources.

PG&E does not believe long-term customer rates will increase because it is likely that implementing the proposal will have a lower overall cost than relicensing Diablo Canyon and operating it through 2044. The proposal is contingent upon regulatory actions, including approval of the CPUC of the proposed plan, confirmation that PG&E’s investment in Diablo Canyon will be recovered by the time it closes in 2025, and approval of cost recovery for appropriate employee and community transition benefits.

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