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Energy transition ahead for 50,000 Tahoe-area customers

A landscape photo of Lake Tahoe.
Shelby Herbert
/
KUNR Public Radio
The Lake Tahoe watershed is recognized nationally and globally as a natural resource of special significance and is designated an "Outstanding National Resource" under the Clean Water Act.

A significant shift is coming to how electricity is supplied across the Sierra Nevada, particularly for about 50,000 customers around Lake Tahoe.

For years, those customers in the Tahoe Basin and along the eastern slope have been served through a partnership between NV Energy and Liberty Utilities. That arrangement, however, is now set to end.

Both companies confirmed the transition in statements.

NV Energy says the change has been anticipated for some time. The company has supplied electricity to Liberty Utilities since 2009, after selling portions of its California energy system. While the agreement was extended multiple times, it was always intended to be temporary.

Currently, Liberty Utilities generates a portion of its electricity through its own solar projects, with the rest supplied by NV Energy. Beginning in 2027, that additional power will instead come from new providers.

Liberty says it plans to open a competitive bidding process this summer, prioritizing affordability and an increased share of renewable energy sources.

The transition does come with logistical challenges. The Tahoe region is not fully connected to California’s primary power grid and instead relies on transmission lines from Nevada. As a result, even after NV Energy stops supplying electricity, it will continue to provide transmission services for Liberty’s customers.

Despite the shift, both companies describe the transition as cooperative.

Maria Palma joined KUNR Public Radio in December 2022 as a staff reporter. She reports on regional news, including environmental and social issues in the Lake Tahoe region, and hosts Al Aire con KUNR, the station’s first Spanish-language news segment highlighting community stories.