California Governor Gavin Newsom is proposing to give PG&E Corp (PCG.N) a $1.4 billion government loan to extend the life of a nuclear power plant it runs by as much as a decade as the state seeks to shore up electric reliability while moving away from fossil fuels, his office said on Friday.
The proposal, which would have to be introduced as a bill in the state legislature, is the latest in a series of steps California has made this year to reconsider its 2016 decision to retire the Diablo Canyon power plant by 2025.
California wants to produce all of its electricity from clean sources by 2045, but has faced challenges with that transition, such as rolling blackouts during a heatwave in 2020.
Strict Covid lockdowns and rolling blackouts? Californians sure got it good and hard in 2020. And yet Larry Elder was a reach too far for the state’s voters.