Salt Lake-based Deseret Generation & Transmission Cooperative's sales will increase as the result of its settlement of a dispute with the city of Anaheim, Calif.
At issue was Anaheim's concern that a long-term power sales agreement established in 1993 should have been terminated as the result of the restructuring of other Anaheim contracts related to California's recent electrical deregulation. Anaheim also challenged the wholesale electric rates charged by Deseret.The case was up before the Federal Energy Regulatory Commission and in pending civil actions in Utah and California courts.
Under terms of the settlement, Anaheim will continue to buy electricity under the sales agreement, which will stay in effect through Dec. 31, 2004. Anaheim also will buy 20 megawatts of additional electricity beginning this month.
Deseret officials said they hope the additional sales will offset the effect of negotiated savings passed on to Anaheim under the revised contract.
Deseret is Utah's second largest electricity supplier, serving 38,000 customers in California, Utah, Wyoming, Nevada, Colorado and Arizona. The company is owned by six rural electric cooperatives.