Demolition green light for San Diego power plant; should be complete by 2014.
The Port of San Diego and the former operator of the South Bay Power Plant reached an agreement Tuesday for a two-step demolition process to remove the 51-year-old plant after a series of closed-session meetings that began in February.
Executives from Houston-based Dynegy Inc. sent an Oct. 25 letter to port officials outlining and clarifying details of the agreement to make way for long-delayed redevelopment of the bayfront.
Dynegy plans to apply for a demolition permit from the California Coastal Commission in the next 15 days, a Dynegy spokeswoman said.
According to the letter, the inactive plant will be demolished in two phases with a timeline stretching through the end of 2014. The first phase will include tearing down the colossal aboveground structure by July 2013. Removal of some of the pipes and foundation underneath will follow.
Funding for the demolition will first tap a trust account managed by the port that now amounts to $22 million. The state money was set aside in 1999 and has collected interest over time.
“Any costs above and beyond that related to work for the Coastal Commission permits — and we anticipate there will be additional costs — will be the responsibility of Dynegy,” said Katy Sullivan, a spokeswoman for the company.
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