January 28, 2023
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Lands Commission extends leases to keep Diablo Canyon running until 2025


The California State Lands Commission unanimously approved two land lease extensions that may keep the Diablo Canyon Power Plant running until 2025.

After nearly a full day of public testimony, the commission approved two lease extensions for water intake structures and breakwaters at the plant that are used to pipe cooling water through the reactors and to get water for the plant’s on-site desalination plant.

Last week, PG&E announced plans to shut down the plant in late 2025 after coming to an agreement with local environmental groups and labor unions.

If the lands commission denied the lease extensions, it could’ve meant plant’s closure sometime in 2018.

One 49-year lease issued in 1969 by the commission would have expired on Aug. 17, 2018. Another 49-year lease would have expired May 31, 2019.

At issue at the lands commission meeting was whether PG&E needed to conduct an additional environmental impact report.

In a memorandum recommending approval of the lease extensions, commission staff said the environmental reports were already sufficiently conducted when the leases were granted.

The joint proposal to shut down the plant must now be approved by the California Public Utilities Commission after a 30-day public comment period.

• Contact Philip Joens at pjoens@pacbiztimes.com.