>> COMING UP NEXT ON "HEADLINE HUMBOLDT", WE SIT DOWN WITH EXECUTIVE DIRECTOR MATTHEW MARSHAL FROM THE REDWOOD COAST ENERGY TO FIND OUT MORE ABOUT THE WIND PROJECT PROPOSED AND THE CHALLENGES REMAIN TO GET THAT DONE.

WORK TO REMOVE FOUR DAMS FROM THE KLAMATH RIVER HAS FINALLY BEGUN.

COMING UP NOW ON "HEADLINE HUMBOLDT".

FROM THE TOP OF HUMBOLDT HILL, THIS IS "HEADLINE HUMBOLDT", I'M JAMES FAULK.

HUMBOLDT COUNTY HAS A SPOTTY RECORD IMPROVING MAJOR DEVELOPMENT PROJECTS THAT SPUR THE ECONOMY AND CREATE NEW AND GOOD PAYING OPPORTUNITIES.

WE ALL UNDERSTAND THE COLLECTIVE NEED FOR JOBS, CERTAINLY.

THESE DEBATES USUALLY CENTER AROUND HOW THOSE PROJECTS IMPACT OUR QUALITY OF LIFE.

WHICH MATTERS MORE?

IT IS A COMPLICATED BALANCING ACT.

WE ALL NEED TO WORK, BUT HAVE APPRECIATED THE LACK OF CROWDING, LIGHT TRAFFIC AND EASY ACCESS TO NATURE LIVING HERE PROVIDES.

CHANGE IS SCARY.

ONE NEW PROJECT THAT COULD PROVIDE LOCAL JOBS AND A NEW AND CLEAN ENERGY SOURCE THE PROPOSED WIND FARM 20 MILES OUT TO SEA THAT WILL CAPITALIZE ON THE HIGH WINDS TO CREATE KILOWATTS OF POWER.

MUCH HAS BEEN MADE ABOUT THIS BEING A MAJOR BENEFIT FOR LOCAL WORKERS.

IS THIS TRUE?

WHAT ARE THE TIME FRAMES?

WHAT ARE THE INFRASTRUCTURE ISSUES THAT COULD AFFECT IT?

JOINS US NOW IS THE EXECUTIVE DIRECTOR OF REDWOOD COAST ENERGY, MATTHEW MARSHAL.

>> THANK YOU FOR HAVING ME.

>> WHAT IS THE REDWOOD COAST ENERGY AUTHORITY AND HOW IS THIS INVOLVED IN THIS PROCESS FOR THE WIND FARM?

>> SO WE RA A JOINT POWERS AUTHORITY FOR LOCAL GOVERNMENT.

WE HAVE MEMBER GOVERNMENTS, THE COUNTY OF HUMBOLDT, THE TRIBE AND WE ARE GOVERNED BY A BOARD OF DIRECTORS FROM THE JURISDICTIONS.

WE ARE CELEBRATING OUR 20th YEAR THIS APRIL.

>> CONGRATULATIONS.

>> WE HAVE BEEN WORKING ON SUSTAINABLE ENERGY INITIATIVES FROM THE BEGIN, THAT IS WHAT WE WERE CREATED TO DO, ENERGY EFFICIENCY PROGRAMS, WE OWN AND OPERATE ELECTRIC VEHICLE CHARGING INFRASTRUCTURE.

PART OF OUR GOALS ARE TO SUPPORT REGIONAL ENERGY PLANNING AND RENEWABLE RESOURCES AND IN PARTER INSHIP WITH PG&E PROVIDE THE GENERATION COMPONENT OF THE ELECTRICITY SERVICE THAT PEOPLE PROVIDE.

SO FROM A PERSPECTIVE OF OFFSHORE WIND, IT IS A RELATIVE TO OUR ORGANIZATION FROM THE BIG PICTURE OF, YOU KNOW, COUNTY, REGIONAL ENERGY DEVELOPMENT AND A POTENTIAL SOURCE OF POWER TO PROVIDE ELECTRICITY TO HUMBOLDT COUNTY CUSTOMERS.

>> OKAY.

SO YOU ARE LIKE A JOINT POWERS AUTHORITY LIKE HCOG?

>> EXACTLY.

>> YOU ARE IN THE BUSINESS OF POWER.

THIS IS RIGHT DOWN YOUR ALLEYWAY.

HOW BIG OF A PROJECT ARE WE TALK ABOUT WITH THIS PROPOSED WIND FARM?

IT IS 20 ACRES OFF?

POTENTIALLY, HOW MANY WINDMILLS COULD THERE BE?

>> YEAH.

THE SITE IS A SCALE OF 1,600 MEGAWATTS WHICH PROBABLY DOESN'T MEAN ANYTHING TO ANYONE.

FOR CONTEXT, IF YOU THINK ABOUT THE PG&E NATURAL GAS PLANT IN KING SALMON, 160 MEGAWATT POWER PLANT.

THIS IS 10 TIMES POTENTIAL CAPACITY FROM A SCALE STANDPOINT THAT PG&E PLANT CAN POWER ALL OF HUMBOLDT COUNTY.

WE ARE TALKING ABOUT THE ABILITY TO POWER 10 HUMBOLDT COUNTIES IN THE AREA LEASED, TWO LEASED BLOCKS TO TWO DIFFERENT DEVELOPERS AUCTIONED OFF AT THE END OF LAST YEAR.

>> WE REPORTED ON IT AT THE TIME.

THOSE HAVE BEEN SOLD AND THE CONTRACTS ARE IN THE PROCESS OF BEING SIGNED?

>> THE NEXT STEP IS THE FINALIZE THE LEASES.

THERE IS A FEDERAL PROCESS FOR THAT.

AND THAT WILL THEN KICK OFF A FILE, WHAT IS CALLED A SITE ASSESSMENT PLAN AND THAT SORT OF THEIR NEXT PHASE WHERE THEY DO SITE CHARACTERIZATION, COLLECTING WIND DATA, DOING ENVIRONMENTAL STUDIES AND THAT IS A MULTIYEAR PROCESS, THREE TO FIVE YEARS OF STUDIES KIND OF LEADING UP TO ACTUALLY THE PROPOSED DESIGN OF THE PROJECT AND THE ULTIMATE APPROVAL FOR CONSTRUCTION.

>> THOSE ARE LOOKING AT ENVIRONMENTAL IMPACTS AND HOW IT MIGHT IMPACT LOCAL FOLKS AND THE ECONOMY AND ALL THAT?

>> ENVIRONMENTAL IMPACTS, COMMUNITY IMPACTS, FISHING IMPACTS, ALL THOSE THINGS.

UNDER THE RESOURCE.

WHERE IS THE SEA FLOOR AND WHERE CAN YOU PUT ANCHORS?

IT IS THEIR OPPORTUNITY.

IT IS A BACKWARDS PROCESS THE WAY THE FEDERAL GOVERNMENT DOES IT.

>> TO INVESTIGATE THE SITE.

>> OBVIOUSLY, THERE HAS BEEN PREVIOUS EVALUATION AND ANALYSIS LEADING UP TO THIS CERTAINLY.

BUT THEY DON'T GET TO GO OUT IN THE OCEAN AND START COLLECTING DATA UNTIL THEY HAVE THAT LEASE IN PLACE AND GET THEIR EVALUATION PLAN APPROVED >> WHAT IS SO SPECIAL ABOUT THE WINDS OFF OF COAST AND NOT CAPE MENDICINO?

>> THIS AREA HAS THE BEST WIND RESOURCE.

>> IT IS THE WINDIEST?

>> IT IS THE WINDIEST AND CONSISTENT.

NOT JUST GUSTY SUMMER DAYS.

IT IS A LOT OF WIND IN THE OCEAN, BASICALLY, ALL THE TIME COMPARED TO ANYWHERE ELSE.

IF YOU LOOK AT THE RESOURCE POTENTIAL, YOU KNOW, IT IS WORLD CLASS.

AND SO THE AREA THAT WAS AUCTIONS OFF IS THE CLOSEST TO THE HARBOR, THE CLOSEST TO WHERE YOU CAN BRING POWER ONSHORE.

THERE IS INTEREST IN CAPE MENDICINO, THERE IS WIND DOWN THERE, MAYBE BETTER, CRESCENT CITY -- >> SO THEY ARE ALSO THINKING ABOUT THOSE SPOTS >> YEAH.

I WOULDN'T BE AT ALL SURPRISED IF WE SEE A NEXT ROUND OF EVALUATION LOOKING AT THE SOUTH AND NORTH OF US.

THEY ARE LOOKING AT SOUTHERN OREGON.

IF YOU LOOK AT THE STATE GOALS, THERE NEEDS TO BE ADDITIONAL WIND ENERGY AREAS IDENTIFY AND THE NORTH COAST IS WHERE THE RESOURCE IS.

SO -- >> YEAH.

ONE OF MY QUESTIONS WAS, IS THIS GOING BE ENOUGH POWER TO COVER OUR AREA'S NEEDS, BUT YOU MENTIONED IT WOULD BE 10 TIMES THE AMOUNT TO COVER WHAT WE DRAW ON HERE.

THAT GOES TO ISSUES OF INFRASTRUCTURE AND HOW WE ARE GOING TRANSPORT THAT POWER.

HOLD THAT THOUGHT THERE.

WE ARE GOING PLAY A CLIP REAL QUICK FROM ERIC BLACK, ONE OF OUR REPORTERS HERE AND HE DID THIS BACK IN DECEMBER AND SO LET'S WATCH THAT AND WE'LL GO FROM THERE.

>> CALIFORNIA GENERATIONS GRID ELECTRICITY USING THESE ENERGY SOURCES AND DISTRIBUTES THAT POWER TO CITIES AND RURAL AREAS.

>> HUMBOLDT COUNTY IS CONNECTED TO THE REST OF THE MAIN GRID BY WHAT I WOULD CONSIDER CAPILLARIES.

THE MAIN ONES ARE TWO 115-KILOVOLT TRANSMISSION LINES THAT RUN TO THE EAST AND CONNECT IN REDDING OR COTTONWOOD AREAS.

SOME OF THE BIG POWER LINES IN THE CENTRAL VALLEY WOULD BE THE MAIN ARTERIES.

THOSE ARE 500 KKILOVOLTS.

TRANSMISSION LINES TEND TO BE LARGEST IN AREAS WHERE YOU ARE TRYING TO MOVE BULK AMOUNTS OF POWER FROM GENERATION SOURCES TO THE MAIN SUBSTATIONS.

>> THE FLOATING WINDMILLS WILL CREATE A NEW GENERATION SOURCE THAT WAS NOT ANTICIPATED WHEN HUMBOLDT COUNTY'S CURRENT TRANSMISSION INFRASTRUCTURE WAS BUILT.

THOSE LINES CARRY SMALL LOADS OF POWER WEST TO HUMBOLDT'S ROUGHLY 137,000 PEOPLE.

TO DELIVER LARGE VOLUMES OF POWER IN THE OPPOSITE DIRECTION FROM THE WIND FARM SOURCE EAST TO A ELECTRICITY CUSTOMER STATEWIDE, THE STATE OR DEVELOPER MIGHT BUILD NEW 500 KILOVOLT LINES.

>> SO IN LIGHT OF THAT REPORT, I HAVE A COUPLE OF QUESTIONS.

FIRST OFF, HAS THE STATE OR DEVELOPER DECIDED WHETHER THEY ARE GOING CONNECT THE MAIN SUBSTATION BY LAND OR SEA?

HAS THAT COME UP YET ?

>> IT IS NOT DECIDED YET.

THE STATE STARTED THE PLANNING PROCESS.

IT IS IN A DECISION MAKING STATE-LEVEL PROCESS THAT PLANS FOR THE OVERALL GRID.

THE DEVELOPERS WOULD BE COMING ASHORE SOMEWHERE, BUT MOST LIKELY THAT WOULD BE SORT OF -- THEIR PART OF THE PROJECT FROM THE TRANSMISSION PERSPECTIVE IS LIMITED AND THE BROADER GRID IS OPERATED AT THE STATE LEVEL AS A WHOLE.

SO THE OPTIONS THE STATE'S VERY EARLY DISCUSSION OR PLANNING ANALYSIS OF POTENTIALLY GOING EAST AND DOWN TO THE BAY AREA OR MORE OF A STRAIGHT SHOT TOWARDS MENDICINO TO THE BAY AREA OR POTENTIALLY AN UNDERSEA CABLE AND BUILT OUT THE RESOURCE ON THE NORTH COAST IT MIGHT BE A COUPLE OF THOSE OPTIONS, MAYBE NOT ALL THREE, BUT ONE OR TWO COMBINED.

>> THAT IS SORT OF THE TRICK OF THIS.

WE HAVE A PRETTY RICKETY INFRASTRUCTURE HERE.

DO WE NEED TO UPGRADE OUR OWN GRID BEFORE WE LOOK TO DO THIS OR UTILIZE THIS AS A MEANS TO HELP US UPGRADE OUR INFRASTRUCTURE?

WHERE DO WE STAND THERE?

>> THEY ARE DIFFERENT ENDS OF THE SCALE, BUT HOPEFULLY THERE WILL BE ALIGNMENT.

WHEN WE THINK OF OFFSHORE WIND, THE HARBOR INFRASTRUCTURE THAT NEEDS TO BE DEVELOPED.

WEST COAST RELEVANCE SO IT IS NOT BASED OFF OF HOW SOON ARE THINGS HAPPENING ON OUR COASTLINE, BUT LOOKING TO THE SOUTH AND TO THE REST OF THE OREGON, WASHINGTON, AND SO THAT HARBOR INFRASTRUCTURE PROJECT IS, YOU KNOW, A MASSIVE PROJECT IN AND OF ITSELF >> YES.

>> THE SECOND IS THE TRANSMISSION AND THE WIND FARM ITSELF, THERE ARE TWO FARMS IN THIS CASE.

>> YEAH.

>> FOR THE TRANSMISSION, OUR LOCAL GRID IS REALLY IN MANY WAYS AT CAPACITY.

YOU KNOW, IT HAS BEEN IN THE NEWS A LOT.

>> YEAH.

>> THAT IS NOT THE ONLY PART OF OUR LOCAL GRID SORT OF IN THE SAME CONSTRAINTS -- >> WHEN THEY SAY AT MAX CAPACITY, DOES THAT MEAN THEY CAN'T ADD ON ADDITIONAL CONNECTIONS OR -- >> YEAH.

SO IT STARTED TO GET COMPLICATED.

THE ANALOGY IS IF YOU THINK ABOUT A ROAD SYSTEM LIKE THE POWER GRID.

YOU'VE GOT YOUR HIGHWAYS, THE TRANSMISSION SYSTEM THAT MOVES POWER AROUND THE STATE AND, YOU KNOW, THE DIFFERENT SCALES OF THAT.

>> YEAH.

>> RIGHT NOW WE HAVE THE EQUIVALENT OF A HIGHWAY 36 TRANSMISSION SYSTEM AND WE NEED AN I-5 SYSTEM TO MOVE OUR OFFSHORE WIND OUT.

>> THAT IS A GREAT ANALOGY.

>> THE NEXT TIER DOWN IS SUBSTATIONS WHERE YOUR OFFRAMPS FOR THAT HIGHWAY SYSTEM AND CITY STREETS AND COUNTY ROADS THAT ARE DISTRIBUTION LINES THAT GO TO BUSINESSES AND HOMES.

SO THE ISSUES IN SOUTHERN HUMBOLDT ARE CONSTRAINTS AT ALL OF THOSE LEVELS.

THE TRANSMISSION SYSTEM DOESN'T HAVE THE POWER TO GET THE ENERGY DOWN TO GARBERVILLE AREA FOR NEW LOAD GROWTH.

SOME OF THE LOCALIZED DISTRIBUTION LINES ARE CONSTRAINED.

THE LINE THAT GOES FROM GARBERVILLE TO PETROLIA IS AT CAPACITY.

THERE ARE OTHERS ARCADIA, CAL POLY HUM WON'T BE, THOSE LINES ARE AT THE POINT WHERE ADDING NEW LOAD, YOU KNOW, IS VERY CONSTRAINTED.

SO THAT IS OBVIOUSLY A PROBLEM FROM ECONOMIC DEVELOPMENT STANDPOINT.

IF YOU WANT NEW BUSINESS VENTURES.

>> ABSOLUTELY.

>> BUILDING NEW HOUSES, HOUSING NEEDS.

THE STATE HAS ELECTRIICATION GOALS TO GET OFF OF FOSSIL FUELS.

ELECTRIFYING BUILDINGS WITH HEAT PUMP.

ALL OF THOSE NEED CAPACITY.

THE SCALE OF THE 500KV LINE ARE FROM WHAT HAVE VERY DIFFERENT.

ONE THING WE WANT TO LOOK AT IS MAKING SURE WE DON'T SEE BILLIONS OF DOLLARS OF GRID INVESTMENT AND IT IS JUST A FLYOVER FROM THE WIND TURBINES DOWN TO THE BAY AREA AND OUR GRID IS STILL INSUFFICIENT.

>> NEGLECTED.

YEAH.

>> HOPEFULLY THERE CAN BE ALIGNMENT, IF WE ARE GOING INVEST BILLIONS OF DOLLARS IN GRID INFRASTRUCTURE LET'S ADDRESS RURAL COMMUNITY NEEDS.

WE DON'T WANT TO WAIT FOR THE 10 YEARS FOR THAT CONSTRUCTION PLANNING.

THERE ARE NEEDS THAT NEED TO BE MET NOW AND SOLUTIONS CAN BE IMPLEMENTED, THAT COULD BE LOCALIZED PROJECTS.

AND OBVIOUSLY PG&E IS RESPONSIBLE FOR THAT, BUT THERE ARE WAYS TO GET CREATIVE WITH MICRO GRIDS AND THINGS.

THERE ARE TWO DIFFERENT KIND OF CHALLENGE, BUT THEY BOTH INTERSECT AND HOPEFULLY CAN BE DONE IN A WAY THAT ARE COMET -- COMPLEMENTARY.

>> HOW MUCH GOVERNMENT ASSISTANCE DO YOU NEED TO MAKE ENERGY PROFITABLE IN THE LONG TERM?

I MEAN, THERE IS A COST THAT THE GOVERNMENT IS GOING HAVE TO INVEST IN TO GET THINGS UP TO SNUFF TO MAKE THAT HAPPEN.

THERE IS A COST WITH STAYING WITH FOSSIL FUELS.

IS THIS A LOT CHEAPER THAN IT WOULD BE TO STAY WITH FOSSIL FUELS IN THE LONG TERM.

HOW MUCH MONEY WILL THE GOVERNMENT HAVE TO PUT OUT ON THIS?

>> ENERGY MARKETS CAN BE KIND OF DYNAMIC, SO IT IS HARD TO PREDICT WAY IN THE FUTURE.

BUT THE STATE HAS TARGETS FOR DECARBONIZING ELECTRICITY IN THE OVERALL ECONOMY.

AND SO THAT TRANSITION TO RENEWABLE RESOURCES IS -- HAS GOALS AND DEADLINES AND THE STATE IS MARCHING TOWARDS THOSE.

>> YEAH.

>> AND SO THERE IS A BALANCE POINT OF OBVIOUSLY WANTING THE ENERGY TO BE AFFORDABLE.

THAT SAID, RENEWABLES ARE OVERTAKING FOSSIL RESOURCES AS FAR AS THE PRICE OF THE POWER AND, YOU KNOW, THE INVESTMENT ONCE YOU BUILD A WIND FARM.

THE WIND IS FREE.

SO OPERATION AND MAINTENANCE, BUT NOT SUBJECT TO THE PRICE OF NATURAL GAS AND HAVE TO BE DEPENDENT ON THAT.

>> ABSOLUTELY.

>> SO THERE IS ALREADY THE STATE MANDATES THAT SAY, HEY, THOSE THAT SERVE CUSTOMERS LIKE RCA, WE HAVE TO BUY RENEWABLES AND WIND IS A GREAT COMPLEMENT TO SOLAR ENERGY.

WE HAVE ABUNDANT SOLAR ENERGY IN CALIFORNIA AND THAT IS VERY, VERY AFFORDABLE.

BUT, YOU KNOW, THE SUN DOESN'T SHINE ALL THE TIME SO, OKAY, HOW DO YOU BALANCE THAT OUT?

YOU KNOW, YOU CAN BUILD TONS AND TONS OF BATTERIES, WHICH IS SOMETHING THAT IS ALREADY HAPPENING.

OFFSHORE WIND IS A GOOD COMPLEMENT TO SOLAR.

SO I THINK IT IS GOING HAVE A GOOD COMPETITIVE POSITION ON A MARKET BASIS.

THERE ARE FEDERAL INCENTIVES FOR TAX CREDITS FOR DEVELOPERS TO REDUCE SOME OF THE COSTS.

I THINK SO THE PROJECTS THEMSELVES, I EXPECT IF THEY GET ECONOMIES OF SCALE SHOULD BE GENERALLY COST COMPETITIVE AND HAVE NOT AN ISSUE BEING ABLE TO SELL THE POWER.

>> YEAH.

>> SOME OF THAT INFRASTRUCTURE INVESTMENT, THAT IS WHERE THERE IS LESS CLARITY.

THE STATE FUNDS IN GENERAL AND ULTIMATELY RATEPAYERS.

THE OVERALL GRID INFRASTRUCTURE AND SOME KIND OF SORTING THROUGH HOW THAT GETS, YOU KNOW, PAID FOR AND BUILT IS A STATE LEVEL KIND OF PROCESS.

AND THEN OBVIOUSLY, THE HARBOR INFRASTRUCTURE.

PART OF THAT WILL BE ON THE BACK END WHERE TENANTS WILL PAY TO USE THE FACILITIES.

THERE IS A LOT OF FUNDING FOR INFRASTRUCTURE INVESTMENT RIGHT NOW AT THE FEDERAL LEVEL, AT THE STATE LEVEL.

SO I THINK IT IS A HOPEFUL TIME TO SEE THAT FEDERAL FUNDING COME AND SUPPORT SOME OF THESE PROJECTS BECAUSE REALLY IT IS NOT JUST -- THE FEDERAL GOVERNMENT HAS TARGETS FOR OFFSHORE WIND.

THEY ARE VERY AMBITIOUS.

THE STATE DOES.

>> EVERY LITTLE BIT WE CAN MOVE IN THAT DIRECTION HELPS BOTH.

>> WE ARE IN THE WINDY SPOT.

THERE COULDN'T BE A BETTER TIME TO GET OUTSIDE INVESTMENT TO HELP US WITH INFRASTRUCTURE NEEDS.

>> THAT WAS A FOLLOWUP QUESTION.

THE FACT THIS IS INSTRUMENTAL IN HELPING THE STATE MEET ITS GOALS HELPS US IN THE LONG-TERM IN TERMS OF SECURING FUNDING.

NORMALLY WHEN WE ARE CLAM MORING FOR INFRASTRUCTURE FUNDING, OUR CLOUT IS RELATIVELY LOW AND WE WOULDN'T BE IN THE RUNNING.

THIS IS PART OF THE STATE'S OWN PLAN TO GET CLEAN ENERGY WORKING THAT BODES WELL.

IS THAT FAIR TO SAY?

>> IT IS AN UPHILL BATTLE TO GET ATTENTION.

THE AGENCIES ARE LOOKING, HEY, THIS IS WHERE THIS NEEDS TO HAPPEN FOR OUR GOALS TO BE MET.

YEARS AGO THERE WAS A FEDERAL STUDY LOOKING AT HARBORS.

IT IS NOT WE ARE TRYING TO PITCH HUMBOLDT BAY TO PEOPLE ARE NOT INTERESTED.

BECAUSE WE DON'T HAVE A BRINL -- BRIDGE TO GET OUT OF THE PAY.

THIS IS ONE OF THE FACTORS, YOU STAND THEM UP AND FLOAT THEM OUT.

YOU CAN'T PUT THEM TOGETHER IN THE SAN FRANCISCO BAY.

WHEN THE STATE LOOKED AT THE WEST COAST AND HARBORS AND PROS AND CONS, OBVIOUSLY, WE NEED INVESTMENT IN THE DOCK PART OF IT >> YEAH.

>> BUT THE FUNDAMENTALS ARE THERE.

HUMBOLDT BAY, THAT IS THE SPOT TO HAVE AS A HUB FOR OFFSHORE WIND ON THE WEST COAST >> YEAH.

>> THEY CAME TO THAT CONCLUSION WITHOUT US HAVING TO SELL THEM THE IDEA.

IT IS -- I THINK WE ARE IN A GOOD POSITION BECAUSE WE ARE NOT TRYING TO CONVINCE PEOPLE OUR GOALS SHOULD BE THEIR GOALS.

>> THEY CAME TO US OR WHATEVER.

BATTERIES.

YOU MENTIONED BATTERIES.

WHAT IS THE STATUS OF DEVELOPING BATTERIES TO STORE POWER FROM THE WIND TURBINES?

AND THERE WAS SOME TALK OF CRITICS ARGUING TRYING TO CONTROL MOST OF THE SUPPLY CHAIN TO PRODUCE THOSE BATTERIES AND WE SHOULDN'T RELY ON THEM BECAUSE OF THAT.

IS THAT FAMILIAR?

>> SO THERE IS DEFINITELY THE, YOU KNOW, THE MATERIALS THAT GO INTO BATTERIES IS BOTH AN ENVIRONMENTAL CONCERN AND WHO CONTROLS THAT SUPPLY CHAIN.

>> A LOT OF RARE EARTH >> YEAH.

LITHIUM.

>> YEAH.

>> THE STATE HAS A INITIATIVE AT LOOKING AT PRODUCING MORE OF THOSE MATERIALS IN CALIFORNIA, THE LITHIUM VALLEY INITIATIVE OR SOMETHING ALONG THOSE LINES IS PARTICULARLY FOCUSED ON THAT.

ALSO THE STATE'S FUNDING RESEARCH AND PEOPLE ARE WORKING ON DIFFERENT WAYS TO STORE ENERGY AND SO THERE'S RIGHT NOW LITHIUM BATTERIES ARE KIND OF THE STANDARD, THEY ARE REALLY BIG VERSIONS OF WHAT IS IN YOUR PHONE OR LAPTOP OR WHATEVER.

>> YEAH.

YEAH.

>> BUT THERE ARE OTHER TECHNOLOGIES BEING DEVELOPED AND PILOTS.

SO, YOU KNOW, EVEN JUST THE COMMERCIAL UTILITY SCALE BATTERIES IS FAIRLY NEW AS A RESOURCE THAT IS BEING DEPLOYED.

THAT IS OFTEN DRIVEN BY THE AMOUNT OF SOLAR WE HAVE.

YOU ONLY HAVE SO MUCH SOLAR -- >> HOW DO YOU MAKE IT WORK.

>> SAVE IT.

HAVING BATTERIES AS PART OF THE SYSTEM, YOU CAN DO ARBITRAGE WHEN YOU NEED IT AND HAS THE OPPORTUNITY FOR ENERGY RESILIENCE.

FOR EXAMPLE, THE SYSTEM AT THE AIRPORT THAT HAS A LARGE SOLAR RAY AND A BIG BATTERY SYSTEM WHEN THE GRID GOES DOWN, WE'RE ABLE TO SWITCH THAT OVER AND HAVE OUR BATTERIES AND SOLAR ENERGIZE A POCKET OF PG&E'S GRID CAN POWER THE AIRPORT, THE COAST GUARD AIR STATION THERE FOR AN EXTENDED PERIOD OF TIME.

THAT SYSTEM GOT QUITE THE WORKOUT THIS WINTER, FIRST WITH THE EARTHQUAKE AND ALL THE STORMS.

IT HAS BEEN TURNING ON PRETTY REGULARLY IN THE PAST FEW MONTHS.

>> AND WORKING.

>> AND WORKING.

YES.

THE AIRPORT SEAMLESSLY TRANSITIONS OVER.

BECAUSE IT IS A UTILITY SERVICE SCALE SYSTEM THAT USUALLY IS PROVIDING POWER TO OUR RCA CUSTOMERS, BUT WHEN IT GOES INTO ISLAND MODE IT CAN RUN THE COAST GUARD AND THE WHOLE AIRPORT FOR AN EXTENDED PERIOD OF TIME SO THEY DON'T HAVE TO RELY ON THEIR BACKUP GENERATORS AND DOES THAT SEAMLESSLY SO THEY ARE NOT RUNNING AROUND TURNING ON GENERATORS.

>> YEAH.

WE HAVE A GENERATOR HERE THAT KICKS ON WHEN THE POWER FLOPS.

WE HAVE AN EMERGENCY MANAGEMENT SYSTEM HERE.

YEAH.

WE HAVE SOMETHING SIMILAR.

WHAT IS THE TIMELINE WE ARE LOOKING AT?

THERE ARE DIFFERENT STAGES, DIFFERENT THINGS HAPPENING.

CAN YOU GIVE US A SENSE OF WHAT WE MIGHT LOOK FOR FIRST AND THINGS THAT MIGHT HAPPEN DOWN THE ROAD?

>> THE NEXT STEP IN THE PROCESS IS WITH THE TWO COMPANIES THAT GOT LEASES, THEY WILL DEVELOPMENT AND SUBMIT A SITE ASSESSMENT PLAN.

BASICALLY THEIR PROPOSAL OF HOW THEY ARE GOING COLLECT DATA, WHAT DATA THEY ARE GOING COLLECT, HOW THEY ARE GOING DO IT.

ONCE THAT IS APPROVED IT IS USUALLY A THREE TO FIVE-YEAR PROCESS FOR THAT ANALYSIS PHASE.

>> YEAH.

>> THEY ARE STARTING TO DEVELOP THEIR DESIGNS AND PROPOSING WHAT THEY ARE GOING BUILD, WHERE THE TURBINES ARE GOING BE AND WHAT THAT IS GOING LOOK LIKE.

OUT OF THE THREE TO FIVE YEAR ASSESSMENT PHASE THEY SUBMIT A CONSTRUCTION OPERATION PLAN, BUILT, OPERATE, COMMISSION.

WHAT THEY ARE GOING ACTUALLY DO.

THAT HAS TO GO THROUGH A COUPLE YEAR PERMITTING PROCESS.

THAT IS THE ACTUAL THING THAT IS GETTING PERMITTED, THE CONSTRUCTION PROJECT.

>> YEAH.

>> THEN YOU'VE GOT AT LEAST A COUPLE OF YEARS, DEPENDING ON THE SCALE THEY GO AT, YOU KNOW, OF CONSTRUCTION.

SO, YOU KNOW, WHEN YOU START ADDING UP THOSE THINGS, YOU KNOW, IT IS A SEVEN TO 10-YEAR KIND OF TIMELINE.

>> YEAH >> AND SO THE SOONEST WE ARE LIKELY TO SEE WIND TURBINES OFF THE COAST IS 2030 IF NOT LATER THAN THAT.

IT IS A MARATHON, NOT A SPRINT.

>> NOT A SPRINT.

>> SO THERE WILL BE A LOT OF STAGES LEADING UP TO WHEN THEY HAVE A PROPOSAL FOR A PROJECT THAT IS GOING TO GET BUILT AND THE APPROVAL PROCESS.

>> WE ARE BASICALLY OUT OF TIME.

I WANT TO ASK REAL QUICK, ARE YOU ABLE TO SEE THEM FROM THE SHORE?

>> POSSIBLY.

IT IS ABOUT 20 MILES OFF THE COAST.

IF YOU GO TO TRINIDAD HEAD AND YOU LOOK AT THE SAMOA PULP MILL SMOKESTACK WHILE IT IS THERE, THEY ARE TALLER THAN THAT.

THAT IS THE DISTANCE.

IF YOU ARE AT THE SEA LEVEL, YOU ARE PROBABLY NOT GOING BE ABLE TO SEE THEM.

IF YOU GET UP AT HIGHER ELEVATION, IF IT IS A CLEAR DAY, YOU CAN MAKE THEM OUT.

>> THANKS FOR JOINING US.

THAT WAS VERY INFORMATIVE.

>> THANKS FOR HAVING ME.

>> YEAH.

WE'LL BE BACK AFTER THIS SHORT BREAK.

>> WORK HAS OFFICIALLY BEGUN ON REMOVING THE FOUR DAMS THAT IMPEDE THE LOWER KLAMATH RIVER.

A LONG AND DEVELOPMENT PROJECT THAT SEEKS TO RESTORE THAT WATERWAY AND ITS FISHERY TO A MORE NATURAL CONDITION.

KLAMATH RIVER RENEWAL CORPORATION CEO MARK BRANSON SAID CREWS HAVE BEGUN PRELIMINARY WORK IN THE FIELD, BRIDGE UPGRADES, NEW ROAD CONSTRUCTION, WORK SITE DEVELOPMENT AND MORE, HE SAID.

THE PLAN TO REMOVE THE DAMS AND RESTORE 38 MILE RIVER REACH TO A FREE-FLOWING CONDITION STANDS FROM A PREVIOUS OWNER, THE STATES OF CALIFORNIA AND OREGON AND SEVERAL TRIBES.

THE PLAN WAS APPROVED BY THE FEDERAL REGULATORY COMMISSION LATE LAST YEAR.

IT IS FUNDED BY DR 200 MILLION BY PACIFIC CORPS AND $250 MILLION FROM A CALIFORNIA WATER BOND PASSED IN 2015.

IT WILL BENEFIT PEOPLE AND WILD LIFE AS SHOWN IN A DOCUMENTARY.

HERE IS AN EXCERPT.

>> KLAMATH RIVER IS WHAT BRINGS US LIFE.

WE ARE AT ISHIPISH FALLS, AT OUR SACRED CEREMONIAL FISHING SPOT.

AND VERY FORTUNATE THERE ARE SALMON HERE THIS YEAR.

THIS YEAR I'M ACTUALLY LIVING WHERE SOME YEARS YOU DON'T FEEL LIKE IT SO MUCH WHEN THE FISH AREN'T HERE AND YOU ARE FISH PEOPLE.

SALMON SIGNIFIES OUR CEREMONIES, IT SIGNIFIES WHAT TIME OF YEAR IT IS.

OUR PEOPLE BELIEVE THAT IF THE SALMON ARE NO LONGER IN THE RIVER, HUMANS ARE NO LONGER ON THE LAND.

AND THEY PUT THE DAMS IN, THEY BLOCKED OFF HUNDREDS OF MILES OF THE PRISTINE HABITAT THAT OUR SALMON NEEDED.

TO HAVE THESE DAMS REMOVED IS GOING RESTORE THE CULTURE OF OUR PEOPLE.

>> THAT'S IT FOR OUR SHOW TONIGHT.

THANKS FOR WATCHING.

WE'LL BE BACK NEXT WEEK WITH MORE NEWS YOU CAN USE AND SO STAY TUNED, STAY INFORMED.

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