Ormat Technologies, Inc. (Ormat) has announced the signing of a 25-year extension to an existing power purchase agreement (PPA) with the Southern California Public Power Authority (SCPPA) for 52 MW of supply from the Heber 1 geothermal power facility, located in the Imperial Valley of Southern California. Effective February 2026, the PPA will ensured continued delivery of geothermal power to the Los Angeles Department of Water and Power (LADWP) and the Imperial Irrigation District (IID).
The Heber 1 power plant, one of Ormat’s flagship geothermal assets, has been a cornerstone of clean energy supply in Southern California for decades. The facility had recently been repowered, following a temporary shutdown because of a fire incident in 2022. The repowering project also involved the replacement of the old water-cooled system with air-cooled technology. Together with the whole Heber complex, the facility delivers 91 MW of baseload geothermal electricity. This extension now ensures that the Heber 1 power plant will continue serving millions of California residents through 2052.
Ormat also has other PPAs with the SCPPA that concern supply from geothermal power facilities, such as the Steamboat Hills and McGiness Hills in Nevada.
“This previously announced agreement has now received the required approvals, which demonstrates both the promise of geothermal energy and Ormat’s ability to deliver reliable, renewable power at scale,” said Doron Blachar, Chief Executive Officer of Ormat Technologies. “We are proud to extend our partnership with SCPPA, LADWP, and IID in order to continue supporting California’s climate leadership and ambitious climate and energy transition goals through our Heber 1 geothermal facility.”
“IID continues to be a longtime, strong supporter of renewable energy development in the Imperial Valley for the clean power it provides, and we fully support Ormat’s work to continue this,” said Gina Dockstader, IID Board Chairwoman. “We sincerely appreciate the extended agreement with our partners for this reliable source of power.”
“Our commitment to renewable energy is rooted in building a more resilient, sustainable future for Los Angeles,” said David Hanson, LADWP’s Senior Assistant General Manager of Power System.
“Geothermal energy plays an important role in that future—providing safe, reliable power that strengthens grid stability and reduces our dependence on fossil fuels. The Heber 1 power plant is expected to supply power to more than 77,000 L.A. households – an added step in diversifying our clean energy portfolio. Investing in geothermal energy is not just about meeting climate goals; it’s a strategic decision that supports long-term energy security and environmental stewardship.”
