California could lend PG&E $1.4 billion to save Diablo Canyon nuclear plant
A last-minute proposal from Gov. Gavin Newsom could keep the Diablo Canyon nuclear plant open through 2035, a decade beyond its current closure date — in part by giving owner Pacific Gas & Electric Co. a $1.4-billion forgivable loan.
The proposal is part of draft legislative language distributed to state lawmakers late Thursday night. The bill, which has yet to be introduced in the Legislature, would also exempt the Diablo Canyon extension from the California Environmental Quality Act and several other environmental rules that nuclear opponents might otherwise use to challenge the extension.
Diablo Canyon is California's single largest power source. Officials are worried that without it, the state could have trouble keeping the lights on — and air conditioners running — during intense summer heat waves. Newsom has also suggested that keeping the plant open would help fight climate change because Diablo doesn't produce planet-warming pollution.
"Some would say it's the righteous and right climate decision," Newsom earlier this year.
