A Lake Elsinore-area water district has expressed interest in acquiring the PG&E Potter Valley hydroelectric project, which PG&E is seeking to decommission/exit. District staff reported that Lake Elsinore has openly stated they would use the acquisition to sell water back to local users at significantly higher rates to subsidize their own Southern California ratepayers. Staff expressed strong confidence this will not move forward, citing federal regulatory hurdles (FERC), tribal water rights transfers to Round Valley Indian Tribes, and broad local opposition — but the situation remains active, with Lake Elsinore issuing sweeping California Public Records Act requests to multiple local public agencies dating back to 2019.
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