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LADERA HOPE PEAKER PLANT OPPOSITION AS OF SEPTEMBER 1, 2009

LADERA HOPE SUPPORTERS ~

Our last message in October 2008 informed you of SDG&E's continued efforts with the PUC to obtain approval of an amendment to their Power Purchase Agreement with Wellhead. This amendment continued to name the Santa Margarita site at Antonio and Avendale in Ladera Ranch as one alternative. It has now been almost a year since Ladera Hope filed a formal Protest to SDG&E's Petition For Modification with the PUC and SDG's formal Reply to our Protest. See "ARCHIVAL UPDATE FROM 2008" below.

We believe that SDG&E has quietly withdrawn its support for the Amendment and subsequently the entire Wellhead Power Purchase Agreement. If so, SDG&E will have to initiate a new Request For Offers if they intend to pursue a power plant installation at the Santa Margarita site or any other location it names. Thus, the original Power Purchase Agreement contested by Ladera Hope and any amendment thereto is rendered null and void.

We will be able to confirm this fully after Sept. 22, 2009. Please check back with us for news of this important milestone.

Thank you for your continued support.

Archival update from October 2008

We told you last May that the community of Ladera Ranch needs to stay vigilant on the power plant issue. That remains true and we wanted to let you know what we have been doing since our last email communication with this community almost 5 months ago. Since that time, we have dismissed our lawsuit after we obtained a concession from SDG&E, Wellhead and the County of Orange that the permits for the project are null and void. The dismissal came in mid-August after extensive litigation involving the Ladera Hope legal team. The issues were legally complex and the process was complicated, but we are pleased with the outcome.

So where are we now? The County's permit and the environmental approvals for the project are null and void. The South Coast Air Quality Management District's permit has not been issued and the SCAQMD considers the project to be 'suspended.' This means that if SDG&E and/or Wellhead wanted to pursue this project at this site in the future, they would need to have the appropriate reviewing body (either the County or the California Energy Commission) review the environmental impacts of the project on the community of Ladera Ranch and find that the project is CEQA compliant. We, together with the entire community of Ladera Ranch, would be active in that review process and vocal in our opposition to a power plant at this site (or any site close to a residential community).

However, when SDG&E started the permitting process for this project in 2007, the first thing they did was to seek approval from the California Public Utilities Commission for the agreement (called a 'Power Purchase Agreement') between Wellhead and SDG&E. They got that approval in September 2007. That agreement and the approval given by the CPUC was unaffected by our lawsuit (we sued the County of Orange, SDG&E and Wellhead for CEQA violations). Recently, on September 5, 2008, SDG&E made a filing with the CPUC to get their approval on an amendment of the Power Purchase Agreement between SDG&E and Wellhead. In this filing, SDG&E and Wellhead made it clear that they continue to have an interest in the Margarita (Ladera Ranch) site. You may view a copy of SDG&E's filing on our website by [clicking here].

On October 6, 2008, Ladera Hope filed a Response to SDG&E's September 5 filing. A copy of our Response is also available for you to read on our website by [clicking here]. In our filing, we outline for the CPUC our concerns about the significant environmental impacts a power plant would have on the community of Ladera Ranch. Also, with the help of our experts, we advocate to the CPUC that a power plant is not needed at all, and specifically not needed in Ladera Ranch, in order to meet projected needs within SDG&E's service territory.

We'll keep you up to date on what transpires with the CPUC. If we are successful in getting the CPUC to reconsider its approval of this project, that would be another major victory for Ladera Hope and Ladera Ranch. At a minimum, however, it is important for the SDG&E and Wellhead to understand that Ladera Ranch continues to strongly oppose a power plant at the Margarita substation site. We believe we have accomplished that with our recent filing. Also, we will certainly let you know when and if a new application is made for a power plant in Ladera Ranch.

In the meantime, we need you to stay interested and stay involved! We have had committee meetings in the past (communications, operations, finance, fundraising and legal). It is very likely that we will need to start meeting again in our committee groups. If you are able to give either your time or your money to this important cause, please contact us at laderahope@cox.net. New members: please let us know which committee interests you. Existing members: please reconfirm your willingness to help on a committee. Also, we continue to need your financial support in order to fund the fight (pay experts' fees, legal bills, etc.). Please consider donating to the cause and remember that you can donate online by [clicking here] using PayPal.

Any questions or concerns, please contact us at laderahope@cox.net. Thank you for your support! We would never have had all the success we've had so far without the help and support of this amazing community!

Faithfully,

Ladera Hope
'Keep the Dream Alive'

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