The Texas Public Utility Commission, on a technical issue, on June 25 denied an application from Panhandle Wind Holdings 2 LLC.
On June 11, Panhandle Wind Holdings 2 filed an application for approval of a transaction and motion for certification of an issue. There were no responses or objections to the motion for certification.
Panhandle Wind Holdings 2 owns 100% of Pattern Panhandle Wind 2 LLC, which is developing a 181.7-MW wind project in Carson County, Texas. This facility will be interconnected to the Electric Reliability Council of Texas by Cross Texas Transmission LLC, its transmission service provider.
Pattern Energy Group will soon directly own 100% of PH Holdings 2. In the proposed transaction, PH Holdings 2 will convert interests held by Pattern Energy into managing interests and issue passive equity interests to JPM Capital Corp., Morgan Stanley Wind LLC and Comet Wind TX LLC (collectively called the “Investors”).
PH Holdings 2 stated that as passive equity interest holders (in contrast to holders of voting securities), the Investors will have no management or control over PH Holdings 2, Panhandle Wind, or the sale of electricity by Panhandle Wind.
In another docket, an affiliate of PH Holdings 2, Pattern Panhandle Wind LLC, filed for approval of a similar passive equity transaction related to a separate, 218-MW wind project.
The commission’s June 25 ruling said this question should be pursued under another commission regulatory program.