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ANAHEIM BEGINS RECEIVING GEOTHERMAL ENERGY AS CITY MOVES TO CLEANER FORMS OF ELECTRIC POWER

ANAHEIM, CA (February 23, 2006) - Anaheim is now receiving geothermal energy, a cleaner form of electric power, under an agreement made last year with Southern California Public Power Authority and three other cities.

Anaheim will acquire up to 12 megawatts of geothermal electrical capacity as a participant in the Ormat Geothermal Energy Project. On Jan. 25, Anaheim began receiving 6 megawatts from one plant in the Imperial Valley and expects to receive an additional 6 megawatts from a second plant in November of this year.

“This 25-year contract will supply enough electricity to power 10,000 single-story homes until 2032,” according to Marcie Edwards, Anaheim Public Utilities general manager. “By the end of 2007, with the addition of this geothermal energy, we expect that about 10 percent of Anaheim’s energy will come from renewable resources.”

Geothermal energy, produced from underground heat, is not only a more environmentally friendly source of energy, it is also more reliable and economical. It uses the heat from the ground to generate electricity at a plant.

“Geothermal energy is still more expensive than producing electricity by burning a fossil fuel such as coal,” Edwards said, “but it is an infinite resource and is not dependent on oil and gas price fluctuations.”

Renewable resources are defined as non-fossil fueled resources. In addition to geothermal, they include wind, hydropower, solar, biomass, municipal solid waste and landfill gas.

“We owe it to future generations to protect the environment and avoid the unnecessary depletion of fossil fuels,” Edwards said. “At the same time, we are committed to providing our customers an adequate and reliable power supply at the lowest possible rate. Long-term contracts such as this one, that provide clean energy as well as protection against rising fuel costs, afford us the opportunity to do both. Furthermore, we anticipate no adverse impact on customer rates due to acquiring these new renewable energy resources.”

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ABOUT ANAHEIM PUBLIC UTILITIES For more than 100 years, Anaheim Public Utilities has served Anaheim water and electric customers with low rates and reliable service. Anaheim Public Utilities is Orange County's only publicly owned water and electric utility.

ABOUT ANAHEIM The City of Anaheim, founded in 1857, is one of the nations premier municipalities and is Californias 10th most populous city. Anaheim covers 50 square miles with more than 345,500 residents and more than 2,100 City employees. The municipal corporations annual budget is $1.3 billion. Anaheim supports a thriving business community with companies such as CKE Restaurants, Inc., L-3 Communications, Pacific Sunwear, and Disneyland Resort. Successful sports franchises call Anaheim home, including Angels Baseball, Anaheim Ducks, Anaheim Arsenal, and the 2008 Olympic Gold Medal winning USA Men's Volleyball team. Anaheim also boasts world-class meeting and entertainment venues with the Anaheim Convention Center, the largest on the west coast, Honda Center, The Grove of Anaheim, Anaheim GardenWalk, and Angel Stadium of Anaheim. Annually, Anaheim welcomes millions of visitors to the city, truly making it where the world comes to live, work and play. For more information, please visit www.anaheim.net.