The Potter Valley Project is an interbasin water transfer project in Northern California in the United States, delivering water from the Eel River basin to turbines in the headwaters of the Russian River.[1] The project is owned and operated by Pacific Gas and Electric Company (PG&E). The main facilities are two dams on the Eel River, a diversion tunnel and hydroelectric plant.[2] Average annual throughput is 159,000 acre⋅ft (196,000,000 m3), although this figure varies significantly with both the amount of precipitation in the Eel River basin and the demand on the Russian River.[3]
In 2019, PG&E chose not to relicense the hydroelectric project with the Federal Energy Regulatory Commission, as it had become unprofitable to operate. Federal regulations require that PG&E submit a final license surrender application by 2025, which would enable it to begin decommissioning the project.[4][5] The dams and hydroelectric facilities are to be removed, while various options are being considered for maintaining water diversions to the Russian River.[6]