Enron Gets Final Approval for Power Plant in Kern County

Enron Corp., the world’s biggest energy trader, received final approval Wednesday from the California Energy Commission to build a 750-megawatt power plant in Kern County, near Bakersfield.

Construction of the Pastoria Energy Facility, expected to begin producing electricity for the California spot market in the summer of 2003, is estimated to cost $500 million to $600 million, said Eric Thode, Enron spokesman. The plant is big enough to light 750,000 homes. Enron expects the plant’s production to go to the Los Angeles and San Diego markets. San Diego was the hardest hit by soaring electricity prices this summer and winter.

California prices in recent weeks jumped as high as $3,000 a megawatt-hour, compared with an average of $32 last December.

Enron has projects underway in California that will produce more than 2,000 megawatts of additional new projects under development. One megawatt is enough to light a thousand homes.

Shares of Enron were unchanged at $79.75 on the New York Stock Exchange.