The Public Utilities Commission of Nevada voted 3-0 to ratify contracts between Duke Solar Energy of Raleigh, N.C., and Nevada Power Co. of Las Vegas and Sierra Pacific Power Co. of Reno.
Duke agreed to build the Eldorado Solar Electric Generating Station in the Eldorado Valley near Boulder City to generate solar power for the utilities.
Duke expects to complete the plant by 2005. It will supply electricity to Nevada Power and Sierra so that the utilities will be able to comply with a state law that requires them to obtain some of their energy from so-called renewable sources.
Renewable sources include geothermal power from hot underground water and wind power. The law requires the utilities to obtain some solar power although it is generally more expensive than wind and geothermal power.
Duke Solar agreed to provide the 50 megawatts of generating capacity to the two utilities for 15 to 17 cents a kilowatt hour over 20 years.
It will generate enough electricity for 8,400 homes in Nevada, according to the PUC.Once completed, it will be the third largest solar plant in the country -- smaller only than the 160-megawatt solar plant at Harper Lake and the 150-megawatt plant at Kramer Junction, both in California.
