Pacific Gas and Electric mostly agrees with a recent guest opinion piece urging the removal of Scott Dam due to a better understanding of the seismic risks. 

As described in our draft decommissioning plan, PG&E considers the expedited removal of the Scott Dam to be in the best interest of PG&E customers. It is also the most appropriate long-term mitigation to address the seismic risk. 

In the meantime, PG&E has implemented interim measures to reduce near-term seismic risk — the most prominent being the restricted maximum reservoir storage elevation. 

However, contrary to the opinion piece, PG&E’s decision not to seek a new license for the Potter Valley Project — a hydroelectric facility — is based on the fact the project is not economical for PG&E’s customers. PG&E can acquire energy from the market at much lower expense than producing it at the project’s Potter Valley hydroelectric powerhouse. 

Economics drove the license surrender decision. Later, seismic studies were completed. The hazard risk is one of the key factors that led to the decommissioning plan for expedited removal of Scott Dam in the decommissioning plan and schedule.  

Ultimately, the project not being economic means we made the decision in the best interest of our customers and their energy bills. 

The Potter Valley Project was developed for power generation, but a byproduct of power production was water diverted from the Eel River to the Russian River watershed, which over time was utilized by communities in Mendocino, Sonoma and Marin counties.

PG&E recognizes the communities’ water concerns and continues to work with the Eel Russian Project Authority in their development of future water diversion infrastructure so water can continue to flow to the Russian River watershed.

What is often missing from recent news stories is that nearly 10 years ago, when PG&E determined it was no longer interested in continuing to operate the Potter Valley Project, we approached water users about taking on the facility.  We did this because PG&E understood how the users had grown to depend on the water. 

Eventually we issued a request for offers to any potential buyer. With no takers, in 2019 PG&E decided to withdraw its preliminary application for notice of intent to file an application for a new hydropower license from the Federal Energy Regulatory Commission, or FERC.

The agency then initiated its “orphan process” which allowed another opportunity for interested parties to seek ownership by taking on the relicensing, but again none did.  In response, FERC directed PG&E to develop a surrender application and decommissioning plan. 

PG&E plans to engage a broad set of stakeholders in development of the details of the decommissioning plan. The filing of PG&E’s surrender application and decommissioning plan to FERC in July 2025 is not the end of the process. 

While we have been already working with the Eel Russian Project Authority on their future diversion, PG&E’s filing of the surrender application and decommissioning plan is really the beginning of the regulatory proceeding and development of detailed management plans.

In 2023, seismic studies at Scott Dam completed by PG&E and its consultants raised some concerns. To mitigate potential risks, PG&E implemented a reservoir restriction of 10 feet below the usual maximum reservoir elevation. 

To maintain this reservoir restriction PG&E is not closing the dam’s spillway gates. With the gates open, there is less water in the reservoir and less pressure on the dam, which leaves more capacity to resist damage from earthquake shaking.

Lastly, PG&E is not “abandoning” the project and remains committed to safely operating the facility until the eventual decommissioning, and to acting transparently and with integrity in engaging all interested parties throughout the process. 

Dave Canny is vice president of PG&E’s North Coast Region and a resident of Marin County, California.