Cow manure to to help PG&E generate power

The Pacific Gas and Electric Co (pg&e), California's biggest natural gas company, has announced plans to buy natural gas generated from cow manure in the state dairy farms to fuel its power plants. The move follows California's new state law related to global warming under which state utilities are required to boost renewable energy use to 20 per cent of total consumption by 2010.

The utility has already signed a deal with an environmental power corporation, Microgy Inc, a Portsmouth-based renewable energy developer, to buy enough biomethane to power at least 50,000 homes. Under the deal, Microgy Inc will build four plants to convert the manure into biomethane, which will then be connected to pg&e's network of natural gas pipelines.