PCG - California faces summer power outages as drought drains hydropower generation

California's severe drought could cut its summer hydropower generation nearly in half from 15% of the state's electricity under normal conditions to 8%, the U.S. Energy Information Administration said Friday in a new analysis. The drought's depletion of California's large reservoirs may strain hydroelectric plants to the point where some may need to be shut down, the EIA study said, noting that Lake Shasta, the state's largest reservoir, has experienced only one other year when the reservoir storage was lower than current levels. The cut in hydropower will place more of a burden on natural gas plants and raise electricity rates and greenhouse gas emissions, the EIA said. Nearby states may be unable to make up for California's shortfalls as they cope with their own scorching weather. Potentially relevant tickers include (NYSE:PCG), (NYSE:EIX), (NYSE:SRE) The drought conditions come as California is undergoing a broad transition in its electricity mix toward

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California faces summer power outages as drought drains hydropower generation