PG&E considering abandoning Potter Valley dams


Pacific Gas and Electric is actively considering the possibility of getting out of the business of operating dams on the Eel River, a company representative told a regional commission this morning.

The company’s decision, when it comes, could ignite a northern California water war.

The two dams associated with the utility’s Potter Valley Project — a hydropower system — annually divert tens of thousands of acre-feet of water out of the Eel River and into the Russian River watershed, where it is used by municipalities and agricultural operations in Lake, Mendocino and Sonoma counties.

At a meeting of the Eel Russian River Commission in Eureka this morning, PG&E director of power generation David Moller said that the utility has been looking at all its options as in undergoes the process of relicensing the dams. The current licenses for the project — issued by the Federal Energy Regulatory Commission — are set to expire in 2022.