Renewable resources have been promoted in California since the early 1980s.  After the passage of PURPA and the advent of Qualifying Facilities, an number of hydro, wind, geothermal, and biomass projects were constructed in California.  Today, most of these projects have reached or are nearing the end of their original contracts.  And in many cases the only contract option available to these projects is a “QF legacy contact”.  Pay close attention, the bulk of the price paid under these legacy contracts is determine either directly by gas prices via a heatrate, or indirectly via the western US power market with is dominated by combined cycle generation.   Draw your own conclusions from the graph below on whether California is encouraging legacy renewables: