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THE DAILY TRANSCRIPT - 06/27/05

Poseidon, unions reach agreement on Carlsbad desal plant


Brad Seraphin

 

Poseidon Resources Corp., the San Diego County Building and Construction Trades Council and the Southwestern Regional Council of Carpenters announced Friday a partnership for the construction of the Carlsbad desalination plant.

The partnership is marked by the approval of a Memorandum of Understanding on a Project Labor Agreement (PLA) for the construction of the Carlsbad desalination plant. The PLA will allow the water infrastructure project to be built with cost-effective labor from the San Diego community.

"The desalination plant will provide San Diego's residents and businesses with a new source of affordable drinking water while creating significant economic benefit for the employers and employees of San Diego County," said Poseidon president Walter J. Winrow.

Once built, the Carlsbad desalination plant will be the largest in the Western Hemisphere and will produce enough drinking water for 300,000 San Diegans annually.

"Creating drinking water from the vast Pacific Ocean is an innovative undertaking, and we believe the Carlsbad desalination plant will be one of the region's most successful public-private partnerships,” said Jim Flores, administrative assistant of the Southwestern Regional Council of Carpenters. “The benefits to employees, employers and the general public are enormous and we're proud to be part of the team.”

The Environmental Impact Report (EIR) for the Carlsbad desalination plant was released on May 16 by the city of Carlsbad for public comment. The publication of the EIR opened a 45-day period for the community to review and comment on the water infrastructure project.

In September 2004, Poseidon and the city of Carlsbad reached a water purchase agreement that provides Carlsbad with a cost-certain, locally controlled, drought-proof supply of water guaranteed by Poseidon. Poseidon will provide Carlsbad with its entire daily requirement for water, up to 25 MGD, and assume all risks associated with the financing, development, construction and operation of the project. Poseidon is in discussion with the San Diego County Water Authority and its member agencies regarding the purchase of the plant's remaining output. The $270 million desalination project is on track to be completed by 2008.

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