Ormat Technologies, Inc., a prominent geothermal and renewable energy company, has announced the signing of a 25-year extension to its existing power purchase agreement (PPA) with the Southern California Public Power Authority (SCPPA).
The agreement, effective February 2026, covers 52MW from the Heber 1 geothermal facility and will continue to provide clean, baseload energy to the Los Angeles Department of Water and Power (LADWP) and the Imperial Irrigation District (IID).
“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.”
The Heber 1 plant, one of Ormat’s flagship geothermal assets, has long been a cornerstone of clean energy in Southern California. Following a successful repowering project, the facility now operates with the latest air-cooled technology. Along with the rest of the Heber complex, it delivers 91MW of carbon-free, round-the-clock electricity. This extension guarantees the Heber 1 plant will continue serving millions of Californians through 2052.
“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.”
“This agreement ensures SCPPA Members can continue delivering reliable, affordable, and carbon-free energy to our communities, while advancing California’s clean energy goals,” said Daniel E Garcia, Executive Director, Southern California Public Power Authority, representing the Members and Board of Directors.
“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.”