California Gov. Gavin Newsom (D) late last week signed a bill aimed at keeping the Golden State’s last operating nuclear plant online into the next decade, his office said.
The legislation, which Newsom signed into law Friday afternoon, authorizes the California Department of Water Resources to loan Diablo Canyon Power Plant operators Pacific Gas & Electric (PG&E) up to $1.4 billion to keep the facility running. PG&E has said it would shutter Diablo Canyon’s two reactors in 2024 and 2025, respectively.
“Climate change is causing unprecedented stress on California’s energy systemand I appreciate the Legislature’s action to maintain energy reliability as theState accelerates the transition to clean energy,” Newsom said in a statement published Friday.
According to the newly-inked measure, passed Aug. 31 by the California state Senate with just hours left in the legislative session, PG&E now has 180 days, or around six months, to apply with the Nuclear Regulatory Commission for a license renewal for the Diablo Canyon plant.
Such action is required to keep the San Luis Obispo, Calif., nuclear plant online — the utility in 2018 withdrew an active license renewal request when it announced its intention to close the plant. An NRC licensing review could last beyond Diablo Canyon’s scheduled closure date.
“PG&E is committed to California’s clean energy future. As a regulated utility, we follow the energy policies of the state,” utility CEO Patti Poppe said in an emailed statement Tuesday. “We are proud of the role Diablo Canyon plays in providing safe, reliable, low-cost and carbon-free energy to our customers and Californians.”
Meanwhile, California’s new law directs the utility to continue seeking federal financial assistance to keep Diablo Canyon online. PG&E has said that it would apply with the Department of Energy to receive a bailout as part of its roughly $6 billion civil nuclear credits program. Tuesday is the deadline for bids on that program.
Updated 9/07/2022 with comment from PG&E.
