A Dominion (NYSE:D) subsidiary said Dec. 21 that it has reached an agreement with the Commonwealth of Virginia to deploy another 110 MW of solar power generation in the state.
The company announced earlier this year that it plans to add at least 400 MW of solar by 2020. The company already is seeking permission from the Virginia State Corporation Commission (SCC) to develop the 20-MW Remington solar project near the town of Remington in Fauquier County.
Dominion Virginia Power and Gov. Terry McAuliffe (D) joined together to announce the latest multi-year solar agreement on Dec. 21. The state will purchase the solar-generated electricity through a long-term agreement with Dominion.
“This is another positive step toward furthering the new Virginia economy and will create jobs here in the Commonwealth while reducing the state’s carbon footprint,” said Gov. McAuliffe. “We are committed to solar energy development, and I am pleased to work with Dominion to expand renewable generation in Virginia.”
McAuliffe also announced Dec. 21 that state agencies will dramatically increase the use of renewable energy to power the state’s operations. The state is setting a renewable energy procurement target that will see state government derive approximately 8% of its electricity from solar energy within the next three years.
“Dominion agrees, solar generation is an important element of a low-carbon, balanced and diverse generation mix,” said Dominion Chairman, President and CEO Thomas F. Farrell II. “We are proud to partner with the Commonwealth in its pursuit of making Virginia a leader in clean energy technology,” Farrell said.
Dominion Virginia Power will build up to 75% of the solar capacity and third party solar developers will develop 25% of the capacity. Dominion will work with various state agencies to determine the location and size of the individual facilities. Timeline for construction and costs will be determined as individual projects are scoped and developed.
Other Dominion customers will not experience a rate change because of this agreement. Any costs associated with this program will be paid by the state, the company said.
Once completed, the 110 MW of solar is expected to generate approximately as much energy as is consumed by the entire community college system annually, Dominion said.