PG&E Draft Surrender Application and Decommissioning Plan for the Potter Valley Project

Updated March 2025

PG&E Issues Public Draft Surrender Application & Decommissioning Plan

PG&E’s Final Draft Surrender Application and Conceptual Decommissioning Plan (Surrender Application) and Application for Non-Project Use of Project Lands for the Potter Valley Hydroelectric Project (FERC Project No. 77) is available for review and comment at the following website: http//pottervalleysurrenderproceeding.com. This document can be accessed from the Documents page using the following password: PV_Surrender

In late 2023, PG&E received a proposal from Sonoma County Water Agency, Mendocino County Inland Water and Power Commission, Humboldt County, Round Valley Indian Tribes, California Trout, Trout Unlimited, and California Department of Fish and Wildlife, collectively referred to as the “Two-Basin Partners”, related to the decommissioning of Cape Horn Dam and associated diversion facilities. PG&E and the Two-Basin Partners have since collaborated to identify a regulatory pathway that would allow for the construction of the New Eel-Russian Facility (NERF) during decommissioning of Cape Horn Dam to minimize construction impacts to the Eel and Russian River basins, while facilitating activities related to NERF.

This file contains two applications:

PG&E’s Draft Application for Surrender of License, and
A draft application requesting the Federal Energy Regulatory Commission (FERC) to authorize non-Project Use of Project lands to allow the Eel-Russian Project Authority (ERPA) (a joint powers authority formed by a joint exercise of powers agreement between the County of Sonoma, Sonoma Water, and the Mendocino County Inland Water and Power Commission) to modify existing Project works and construct the NERF on lands within the FERC Project boundary.

PG&E solicited comments from Tribes, regulatory agencies, and other interested parties on the Draft Application for Surrender of License and Application for Non-Project Use of Project Lands. The public comment period closed on March 3, 2025. PG&E will address comments as appropriate before distribution of the Final Surrender Application in July 2025.

On Thursday, Feb. 6, 2025 PG&E hosted an online meeting to share information on the final draft, discussed the regulatory process, and noted opportunities to participate. Presentation linked below. See articles linked below for more information.

Slides from presentation: 2025, 2-6 PG&E DRAFT PVP License Surrender Application slides.pdf

Public Comments submitted on DRAFT Decommissioning Plan:

State Water Resources Control Board Comments to PG&E 2025, 03-03.pdf Lake County Board of Supervisors Comments to PG&E 2025, 03-03.pdf American Whitewater Comments to FERC, 2025, 03-04.pdf Lake County Comments to FERC. 2025, 3-13.pdf Erin Brazil Comments to FERC 2025, 3-17.pdf Dave Luhrs Comments to FERC 2025, 3-20.pdf SWRCB supplemental Comments on PG&E Draft surr. 2025, 03-24.pdf

UPDATE January 2025:

PG&E Requests Revised Schedule to Submit

PG&E submitted the letter linked below to FERC, adjusting the timeline for the Potter Valley Project surrender application and decommissioning plan.

2025, 1-24 Surrender App Schedule Update.pdf

PG&E schedule: Draft review by Jan 31, 2025; address comments Mar-May 2025; finalize by Jul 29, 2025.

UPDATED JULY 16, 2024 [CORRECTED 12/16/24]:

Potter Valley Tribe Motion to Intervene

The Potter Valley Tribe filed a motion to intervene regarding the ongoing development of the Final Draft Surrender Agreement and the Final Surrender Application and Decommissioning Plan by PG&E. “Despite … extensive measures, the Tribe currently is not party to any of the major discussions or proceedings regarding the Project.” “The Tribe has now chosen to move for intervention in an exhaustive effort to be fairly included in the conversations that determine the divestment of the facilities and waters on their ancestral lands.”

2024, 7-16 Potter Valley Tribe Motion to Intervention.pdf

UPDATED JULY 1, 2024:

FERC Approves PG&E’s Revised Schedule for Filing Surrender Application

On July 1, 2024, FERC issued acknowledgement and acceptance of PG&E’s request to delay the submission of the Potter Valley Project decommissioning plan by six months.

2024, 7-1 FERC approval of PG&Es revised decommissing plan schedule.pdf

Updated June 6, 2024:

PG&E Requests an Extension on Decommissioning Plan

PG&E has made an Extension of Time request to the Federal Energy Regulatory Commission (FERC) for their final draft of the Surrender Agreement that they are curating for the Potter Valley Project dams. PG&E made this request so that they may submit for comments to be made on their draft in January 2025, instead of June 2024. Along with this, they requested that the Final Surrender Agreement be submitted in June of 2025, instead of January 2025 – which was agreed upon previously. PG&E says that by extending this time, they will have more success in consulting with various organizations and agencies to make a better Surrender Agreement and a quicker path for the decommissioning of the Potter Valley Project.

PG&E states that they are going to support the proposal of a new Eel-Russian Facility and will enter into legal agreements with the Eel-Russian Project Authority to address construction, permitting, and transferring the facility. Along with this, they would like to enter into legal agreements with agencies and parties whose interests fall outside of the FERC Surrender process.

For more information about ERPA Meetings: https://www.eelrussianauthority.org/events/meeting

Sign-up for newsletter updates (bottom of home page) on the Eel-Russian Facility Authority at https://www.eelrussianauthority.org/

Updated February 12, 2024:

PG&E Releases Draft Surrender Application and Decommissioning Plan for the PVP

PG&E has reviewed the proposal provided by the Project Proponents determining there are aspects of the proposal which do not align with its goal of completing the decommissioning of the Potter Valley Project within the schedule approved by FERC. Therefore, the proponent’s request to construct the new Eel-Russian facility under FERC’s jurisdiction will not be included in PG&E’s Final Draft Surrender Application and Decommissioning Plan. PG&E is encouraged to see broad stakeholder support of the proposal and supports completion of the new facility in a separate but parallel path to PG&E’s decommissioning. To facilitate that path, PG&E will include those portions of the proposal that will not otherwise delay dam removal and will continue to engage with the proponents on a solution which addresses both parties’ goals. Eel Russian Project Authority (ERPA) representatives believe a path forward for continued diversions still exists and the work continues. PG&E stated it will support and facilitate that work where it can and remains committed to continue working together. North Coast U.S. Rep. Jared Huffman is not dismayed, emphasizing his committment to a Two Basin Solution and that continued diversion is not dependent on partnership with PG&E.

UPDATED DECEMBER 2023:

PG&E Releases Initial Draft Surrender Application and Decommissioning Plan for the Potter Valley Project

On November 17th, PG&E released the Initial Draft Surrender Application and Conceptual Decommissioning Plan (SA) for public review at the following website: pottervalleysurrenderproceeding.com

The initial draft can be accessed from the DOCUMENTS PAGE using the Password: PV_Surrender

The public comment period will be open until December 22, 2023. Formal comments must be submitted in writing via email to PVSurrender@pge.com or by mail.

PG&E will address comments as appropriate before distribution of the Final Draft Surrender Application in June 2024.

The initial draft includes PG&E’s conceptual decommissioning plan and a third-party proposal for modifications of the former Cape Horn Dam site and Van Arsdale Diversion, as necessary, to construct a New Eel-Russian Facility. PG&E has not accepted the proposal at this time but is including it as an option for Cape Horn Dam. Proponents of the proposal include California Department of Fish and Wildlife (CDFW) California Trout, Humboldt County, Mendocino County Inland Water and Power Commission, the Round Valley Indian Tribes, Sonoma County Water Agency, and Trout Unlimited. A copy of the Proponent’s Proposal is available at: https://www.sonomawater.org/pvp.

PG&E is soliciting comments from Tribes, regulatory agencies, and other interested parties on the Initial Draft Surrender Application that includes PG&E’s conceptual decommissioning plan and the Proponent’s proposal for Cape Horn Dam site and Van Arsdale Diversion.

The Initial Draft Surrender Application does not include an environmental analysis. The environmental analysis will be included in the Final Draft Surrender Application, which will be available for public review in June 2024.