California power order extended to Thursday

SACRAMENTO, California (CNN) -- A federal judge extended a restraining order against a power supplier Wednesday, ordering it to continue selling California power until he rules Thursday on whether to extend the order again -- or dismiss the case.

U.S. District Judge Frank Damrell extended the order he imposed Tuesday against Reliant Energy, Inc. of Texas until 5 p.m. Thursday, although his decision in the case could come before that time.

Three other out-of-state power suppliers voluntarily agreed to keep selling power to the state until the judge's ruling.

California's Independent System Operator had asked for the temporary restraining order before Tuesday's midnight expiration of a federally-mandated order requiring out-of-state companies to continue to sell power to the state.

ALSO    VIDEO With companies in California suffering, CNN's Rusty Dornin shows states with abundant power trying to woo away business Play video (QuickTime, Real or Windows Media)     IN-DEPTH SPECIAL Online coverage of the energy crunch in California  RESOURCES Status of state power deregulation     ALSO Calpine signs $4.6B deal   MESSAGE BOARD Power crisis

Bush extended emergency order

On January 23, President Bush gave California a two-week extension of an emergency order that required out-of-state companies to supply electricity and other energy to the state's power industry, but vowed there would be no further extension.

Last week, California's assembly passed a bill effectively putting the state in the power-buying business.

It allows the state to negotiate long-term contracts and enter into agreements with power producers who submitted bids in an Internet auction process. The state will then sell the power to its two largest utilities, Pacific Gas and Electric and Southern California Edison, which are facing bankruptcy, at lower rates than the utilities currently pay.

Wednesday, Calpine Corp. said it had signed a 10-year contract with the state estimated to be worth $4.6 billion.

Meanwhile, California is under its 23rd straight day of a Stage 3 power alert, meaning that reserve power on the state's electricity grid has dropped to 1.5 percent or less.

Under those conditions, ISO can order rolling blackouts to conserve power.

Western governors, Bush team hold electricity summit
February 2, 2001
California governor signs bill to buy power for utilities
February 1, 2001
Utility bailout falters in California assembly
January 31, 2001
Stage 3 power alert continues in California
January 30, 2001
White House forms energy task force, but offers California scant hope of aid
January 29, 2001

The State of Tennessee Department of Economic and Community Development
Tulare County Economic Development Corp.
Reliant Energy
The California ISO
PG&E Corporation
SoCal Edison
  • Deregulation - What this means to you - Electricity Market Issues
California Power Exchange
System Conditions - The California ISO
California Public Utilities Commission
California Utilities Emergency Association
Foundation For Taxpayer & Consumer Rights

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