Sempra U.S. Gas & Power and Consolidated Edison Development have become equal partners in two of Sempra U.S. Gas & Power’s solar facilities; the 150-MW Copper Mountain Solar 2 near Las Vegas and the 150-MW Mesquite Solar 1 near Phoenix.
Under the terms of the joint-venture agreements, which were announced in May, each company will own a 50% interest in each of the solar facilities. The terms of the transaction were not disclosed.
“Copper Mountain Solar 2 and Mesquite Solar 1 are among the largest photovoltaic solar plants in the U.S., and we are pleased to partner with ConEdison Development in the ownership of both these plants,” said Kevin Sagara, vice president of renewables for Sempra U.S. Gas & Power, in a Sept. 23 statement. “This transaction enables us to improve our financial returns, deconsolidate debt and reinvest the proceeds to more rapidly grow our business.”
“To succeed in the world of solar development, it is essential to build relationships with the right partners and to invest in the right projects,” said Mark Noyes, vice president of ConEdison Development. “That is precisely what is happening here. We are delighted to be working together with Sempra U.S. Gas & Power, a company that is highly regarded as one of America’s foremost solar developers. These two projects are both first-rate facilities with solid, long-term agreements.”
Mesquite Solar 1, the first phase of Sempra U.S. Gas & Power’s Mesquite Solar complex located in Arlington, Ariz., was completed in late 2012. Power from the facility has been fully sold to Pacific Gas & Electric under a 20-year contract.
The first phase of Copper Mountain Solar 2 is complete and is currently generating 92 MW. When the second phase is fully constructed – expected in 2015 – the project’s total operating capacity will be 150 MW. Power from the facility has been fully sold to Pacific Gas & Electric under a 25-year contract.
Launched in 1997, ConEdison Development focuses on the development, ownership and operation of renewable and energy infrastructure projects. The company typically focuses on projects in the early or middle stages of development. Through acquisitions and development, ConEdison Development has owned, operated and marketed more than 2000 MW of electric generating facilities. It is a subsidiary of Consolidated Edison (NYSE: ED), one of the nation’s largest investor-owned energy companies.
Sempra U.S. Gas & Power is a leading developer of renewable energy and natural gas solutions. The company operates solar, wind and natural gas power plants that generate enough electricity for nearly 1 million homes, along with natural gas storage, pipelines and distribution utilities. The company is a subsidiary of Sempra Energy (NYSE: SRE).