CalEnergy has entered into an agreement with Southern California Edison to recoup money owed it by Edison and resume generating power for Edison.
At midnight Friday, CalEnergy, which operates 10 geothermal plants in the Salton Sea area, resumed selling Edison power under the terms of existing contracts after three months of selling power to companies other than Edison.
The agreement stipulated that Edison pay Calipatria-based CalEnergy 10 percent of the about $120 million it owes plus interest within two days of Edison signing the agreement. That payment was made last week, said Vince Signorotti, CalEnergy land manager.
It also sets up a payment schedule for Edison to completely reimburse CalEnergy for the five-month period last winter that it failed to pay for power.