LNG

Looking ahead to the autumn and winter season, the State Energy Commission, California’s Public Utility Commission (CPUC) and the system operator CASIO have agreed contingency measures to cap gas-burn in the power sector. Propping up gas storage with spot LNG purchases is being evaluated as an emergency option. Regasified LNG could be delivered into the SDGE system from Sempra’s Costa Azul regas terminal in Mexico, using the Otay Mesa receipt point. Sempra, the operator of the 7.6 mtpa Costa Azul facility has expressed interest – the Energy Commission and CPUC are in talks to sort out issues raise over affiliate rules.

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