Appalachian Power issues RFP seeking up to 200 MW of solar energy projects in Virginia

American Electric Power’s (NYSE:AEP) Appalachian Power (APCo) on Nov. 15 said that it has issued a request for proposals (RFP) seeking up to 200 MW of solar energy projects in Virginia to reduce customer costs and further diversify its electric generation mix.

According to the RFP, AEP subsidiary American Electric Power Service Corporation (AEPSC) is administering the RFP on behalf of APCo. AEP and APCo affiliates will be permitted to participate in the RFP, and APCo reserves the right to offer one or more self-build projects.

The RFP is being issued to support the requirements of Virginia Senate Bill 966 (2018) that APCo own and operate 200 MW of solar generation facilities in Virginia, as well as the pilot program for community solar development established in Section 56-585.1:3 of the Code of Virginia. The RFP added that bidders may include for consideration any of the factors listed in that section, including any quantifiable economic development benefits associated with their project.

APCo is seeking projects that are located in Virginia, interconnect to PJM Interconnection, and will qualify for 100% of the federal investment tax (ITC) credit.

The RFP also noted that APCo is requesting bids that will result in obtaining up to about 200 MWac of nameplate rated solar energy resources via a purchase and sale agreement (PSA) for purchase of 100% of the equity interest of the project’s limited liability company (Project LLC) at the completion of the project’s construction and commissioning.

APCo may execute one or more agreements as a result of the RFP, with the minimum nameplate rated bid size for the RFP being 50 MWac.

The RFP also noted that each project must be a complete, commercially operable, integrated solar-powered electric generating plant, including all facilities that are necessary to generate and deliver energy into PJM by the commercial operation deadline.

Also, existing projects will be permitted to participate in the RFP but must have a commercial operation date – placed in service – on or after July 1, 2017.

The RFP further noted that the bidder must have established site control of the proposed project, with site control being in the form of direct ownership, land lease, land lease option or easement.

The project must have a minimum design life of 30 years and should achieve its commercial operation date by Dec. 31, 2021.

Among other things, the RFP also noted that the proposal due date is Feb. 7, 2019 – by 3 p.m., EST.

About Corina Rivera-Linares 3065 Articles
Corina Rivera-Linares, chief editor for TransmissionHub, has covered the U.S. power industry for the past 15 years. Before joining TransmissionHub, Corina covered renewable energy and environmental issues, as well as transmission, generation, regulation, legislation and ISO/RTO matters at SNL Financial. She has also covered such topics as health, politics, and education for weekly newspapers and national magazines. She can be reached at clinares@endeavorb2b.com.