California solar companies file shared facilities agreement at FERC

Desert Sunlight 250 LLC and Desert Sunlight 300 LLC on Sept. 19 filed with the Federal Energy Regulatory Commission a Co-Tenancy and Shared Facilities Agreement covering interconnection to the grid of their neighboring solar projects in California.

The agreement is among Desert Sunlight 250, Desert Sunlight 300 and Desert Sunlight Holdings LLC. Desert Sunlight Holdings is designated as the manager in the Shared Facilities Agreement. Desert Holdings is a service provider with no operating control over jurisdictional facilities or any authority with respect to sales of electric energy.

The filing didn’t say anything about the operating schedule for the two projects, but there are indications both are to be fully operating by early 2014.

The Shared Facilities Agreement between Desert 250 and Desert 300 is intended to enable both of these companies to deliver the power produced by their generating projects to the transmission grid using interconnection facilities owned as tenants-in-common by Desert 250 and Desert 300.

Desert 250 and Desert 300 are subsidiaries of Desert Holdings, which in turn is a wholly-owned subsidiary of Desert Sunlight Investment Holdings LLC. Desert Investment is owned by three entities.

  • NextEra Desert Sunlight Holdings LLC holds a 50% direct ownership interest in Desert Investment. NextEra Desert is a wholly-owned indirect subsidiary of NextEra Energy Resources LLC, which in turn is a wholly-owned indirect subsidiary of NextEra Energy (NYSE: NEE).
  • EFS Desert Sun LLC holds a 25% direct ownership interest in Desert Investment. EFS Desert Sun is an indirect subsidiary of General Electric Capital Corp., which in turn is a wholly-owned direct subsidiary of General Electric (NYSE: GE).
  • Summit Solar Desert Sunlight LLC holds a 25% direct ownership interest in Desert Investment. Summit Solar is an indirect subsidiary of Sumitomo Corp. out of Japan.

Desert 250 owns and operates a photovoltaic solar facility with a capability to produce up to 250 MW aggregate nameplate capacity located in Riverside County, Calif. Desert 300 owns and operates a 300-MW (nameplate) photovoltaic facility located in Riverside County, Calif. The Desert 250 and Desert 300 facilities interconnect into the Red Bluff 230-kV bus, a 500/230-kV substation that is owned by Southern California Edison (SCE), located near Desert Center, Calif., which loops in the Devers-Colorado River No. 1 500-kV Transmission Line.

The “Shared Facilities” owned by Desert 250 and Desert 300 as co-tenants are interconnection facilities, including an approximately 12-mile, 230-kV generation tie line, a set of 230-kV disconnect switches and other interconnection facilities. The arrangements undertaken through the Shared Facilities Agreement concern the interconnection facilities allowing the solar generating facilities owned by Desert 250 and Desert 300 to sell their output into the California Independent System Operator balancing authority area.

About Barry Cassell 20414 Articles
Barry Cassell is Chief Analyst for GenerationHub covering coal and emission controls issues, projects and policy. He has covered the coal and power generation industry for more than 24 years, beginning in November 2011 at GenerationHub and prior to that as editor of SNL Energy’s Coal Report. He was formerly with Coal Outlook for 15 years as the publication’s editor and contributing writer, and prior to that he was editor of Coal & Synfuels Technology and associate editor of The Energy Report. He has a bachelor’s degree from Central Michigan University.