Nevada Sun-Peak LP on Jan. 16 notified the Federal Energy Regulatory Commission of the cancellation of its Amended Power Purchase Agreement with Nevada Power because the utility completed a buy of the power plant last month.
“Prior to December 20, 2014, Seller owned a 222 MW dual-fuel simple cycle peaking electric plant located in Las Vegas, Nevada (Facility),” the company wrote. “Pursuant to the Amended PPA, Seller sold the entire output of the Facility to Nevada Power Company (NPC). Pursuant to the transaction authorized by the Commission in Docket No. EC14-83-000, Seller sold the Facility to NPC on December 20, 2014. The Amended PPA was terminated as part of that transaction. Accordingly, Seller submits this Notice to reflect the termination of the Amended PPA. NPC, which currently owns the Facility, was Seller’s only wholesale customer under the Amended PPA.”
Nevada Power is a wholly owned subsidiary of NV Energy, which also owns Sierra Pacific Power. NV Energy is a subsidiary of Berkshire Hathaway Energy.
Nevada Sun-Peak is an indirect subsidiary of ArcLight Energy Partners Fund III LP and ArcLight Energy Partners Fund IV LP, both of which are private equity investment funds managed by ArcLight Capital Partners LLC.
This transaction is part of an Emissions Reduction and Capacity Replacement Plan to comply with the requirements of Nevada Senate Bill 123. Senate Bill 123 includes a schedule for retiring or eliminating at least 800 MW of coal-fired capacity by Dec. 31, 2019.