A resolution proposing to okay a Southern California Edison request for approval of two bilateral contracts for a purchase and a sale of renewables portfolio standard-eligible energy is up for review at the April 7 California Public Utilities Commission meeting.
The resolution approves cost recovery for a bilateral long-term renewable energy power purchase agreement between Southern California Edison (SCE) and Voyager Wind I LLC, and a bilateral contract for resale of bundled renewable energy and associated Renewable Energy Credits (RECs) from SCE’s portfolio of renewable resources between SCE and TGP Energy Management LLC.
SCE in December 2015 requested this review and approval of a 15-year bilateral renewable energy PPA with Voyager. The Voyager PPA originated from, and was executed after the SCE’s 2014 RPS solicitation closed.
The Voyager Wind facility will be located in Kern County, California on two separate sites between Mojave and Tehachapi and has a capacity of approximately 132 MW. It will interconnect to SCE’s 220 kV Windhub Substation on the Tehachapi Renewable Transmission Project (TRTP) within the California Independent System Operator (CAISO) balancing authority area.
Pursuant to the TGP Sale Agreement, SCE will sell 404 GWh of Portfolio Content Category (PCC) energy and associated Renewable Energy Credits (RECs) to TGP in 2016. The energy and RECs will come from a portfolio of CEC-certified renewable projects that are already commercially operational.
Voyager Wind I and TGP Energy Management are wholly owned subsidiaries of Terra-gen LLC, which will develop the proposed facility. SCE is to begin purchasing the generation from Voyager beginning January 1, 2019. The expected annual generation to be purchased from the facility is 438 Gigawatt-hours (GWh).
Incidentally, Voyager Wind I LLC applied Feb. 5 at the Federal Energy Regulatory Commission for acceptance of its Market-Based Rate Tariff effective on April 6 and waiver of certain commission regulations under the Federal Power Act. The company said it is constructing and will own or lease and operate an approximately 132-MW (nameplate) wind facility located in Kern County, California. Voyager Wind I expects the facility to commence first production of test power in September 2016 and commercial operation soon thereafter.
The entire output of the facility will be sold exclusively at wholesale to third parties, including under a long-term power purchase agreement with SCE that will take effect in 2019. The project company is an exempt wholesale generator under the Public Utility Holding Company Act of 2005.