Assessing the risks and rewards of distributed energy strategies.
EDF Renewable Energy closed on the membership interest purchase and sale agreement (MIPSA) and started construction on the 5.86-MW Lancaster Solar Project. EDF Renewable Energy and Urban Green Technologies (UGT) signed the MIPSA in October 2013. The power generated will be delivered to the Town of Billerica, Massachusetts under a long-term PPA. EDF Renewable Energy will develop, own and operate the solar project with commercial operation expected in spring, 2014. EDF Renewable Energy has also executed an EPC contract with M+W U.S.
Developing a leadership role for utilities in alternative technologies.
Alterra completed an amendment of its PPA for the 62-MW Jimmie Creek run-of-river hydroelectric project. Under the agreement, the Jimmie Creek project will sell 100% of its power to BC Hydro for 40 years commencing in August 2016. Alterra has also agreed to purchase the 49% project stake currently held by an affiliate of General Electric Energy Financial Services. Upon closing of this transaction, Alterra will own 100% of the Jimmie Creek project. All first nations agreements and environmental permits for Jimmie Creek are in place.
Dominion acquired a solar project in Somers, Ct., capable of producing approximately 5 MW of electricity from Kyocera for an undisclosed sum. Kyocera and CleanPath, a San Francisco-based clean-energy company, jointly developed the Somers project, which is expected to begin commercial operation within the 4th quarter of 2013. The Somers Solar Center will use Kyocera Solar’s photovoltaic technology. The electricity will go to Connecticut Light & Power under a 20-year PPA.
Montana-Dakota Utilities Co., a division of MDU Resources Group, signed a PPA with Thunder Spirit Wind LLC, a subsidiary of Wind Works Power. The agreement is for approximately 105 MW of installed capacity of wind turbine generators to be located in southwest North Dakota. The generation will interconnect at Montana-Dakota’s substation near Hettinger, ND. The project is expected to begin commercial operation in the fourth quarter of 2015. Montana-Dakota issued a request for proposal earlier this year for electric capacity and energy.
Southern Company subsidiary Southern Power, in partnership with Turner Renewable Energy, began commercial operation on the Spectrum Solar Facility, located in Clark County, Nevada. The 30-MW solar PV installation utilizes tracking technology that enables greater efficiency by directing solar panels to track the sun as it moves across the sky. The 311-acre site was built and will be operated and maintained by SunEdison.
Better to compete from within than fight from afar.
PURPA and the future of avoided cost rates.
Original-cost ratemaking doesn’t suit the challenges facing utilities today.
Levelized rates can serve customers’ interests, while also accelerating capital investment and providing an economic stimulus to the economy.