SunEdison Inc. (NYSE: SUNE) announced July 22 that it has signed a 20-year power purchase agreement (PPA) with the Southern Nevada Water Authority (SNWA).
The agreement enables SNWA to lock in a significant portion of its energy costs at a fixed rate, providing an effective hedge against future increases. As part of the agreement, SunEdison will develop, construct, own and operate a 14-MW (ac) solar photovoltaic (PV) power plant located in Clark County, Nev.
“This partnership with SunEdison expands our renewable energy portfolio to about 18 percent of our total power mix, and it provides additional stability to power costs, which ultimately benefits Southern Nevada’s municipal water users,” said John Entsminger, Southern Nevada Water Authority General Manager. “When compared with traditional power production from fossil fuels, this solar facility will also save more than 100 million gallons of water and contribute to the sustainability of our community.”
“This project is a great example of how SunEdison can provide cost effective solar solutions to fit almost any location,” said Bob Powell, President, North America at SunEdison. “This ground-mounted facility will be built around a transmission and pipeline infrastructure that is quite complex – if we can do it here, we can do it anywhere.”
Construction of the facility will begin in early 2015 with commercial operation slated for later that year. Once operational, the plant will be managed by the SunEdison Renewable Operation Center, which provides global 24/7 asset management, monitoring and reporting services.
SunEdison manufactures solar technology and develops, finances, installs and operates distributed solar power plants, delivering predictably priced electricity and services to its residential, commercial, government and utility customers. SunEdison has offices in North America, Europe, Latin America, Africa, India and Asia.
The Southern Nevada Water Authority is a cooperative, not-for-profit agency formed in 1991 to address Southern Nevada’s unique water needs on a regional basis. SNWA’s members include: Big Bend Water District; Clark County Water Reclamation; the cities of Boulder City, Henderson, Las Vegas, North Las Vegas; and the Las Vegas Valley Water District.