Tag Archives: PPA

Philadelphia To Be Partially Powered By 70-MW Solar Farm

By Frank Andorka, Senior Correspondent

Leading clean energy developer Community Energy announced the approval of a 70-megawatt (MW) solar Power Purchase Agreement (PPA) in Adams County, Pennsylvania to power government facilities in Philadelphia.

The solar farm, named Adams Solar LLC, will produce enough electricity to operate 22 percent of Philadelphia government buildings by 2020. The project is the largest in Pennsylvania by sevenfold, and a significant step toward the City’s clean energy goal of sourcing 100 percent of its electricity from renewables by 2030

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Adams Solar LLC will sell 100 percent of its power under a 20-year contract to The Philadelphia Energy Authority, an independent city agency. The project will generate 156,000 megawatt hours (MWh) of energy in the first year of operation, eliminating more than 4 million tons of carbon dioxide emissions over the life of the project.

“The Philadelphia solar commitment demonstrates impressive and much-needed leadership on climate change in Pennsylvania,” said Brent Alderfer, Community Energy CEO and co-founder. “As the costs of climate change go up, Philadelphia is showing the way for municipalities to secure reliable, long-term solar power to decarbonize and head off irreversible climate damage.”

An Economic Opportunity Plan (EOP) will use best efforts to incorporate minority, women and disabled-person owned businesses into the Adams Solar LLC project. Job fairs for sub-contractors and the workforce will be held in both Philadelphia and Adams County. Community Energy’s efforts will connect to existing solar training opportunities, such as recent Philadelphia Energy Authority initiatives.

This latest large-scale solar project by Community Energy reflects shifting energy production and sourcing trends that extend well beyond the state of Pennsylvania. According to a report by GTM Research and Solar Energy Industries Association (SEIA), constituents are calling on government officials to set renewable energy goals that will bring reliable, climate-friendly energy to their communities. As requests for clean power translate into municipal sustainability goals, the industry is witnessing an acceleration of utility-scale project deployment and that growth is expected to continue.

“This project not only helps Philadelphia demonstrate leadership on climate action, but it also makes good economic sense and helps to boost regional job growth in the renewable energy sector,” said Mayor Jim Kenney. “We thank Councilwoman Reynolds Brown, the Philadelphia Energy Authority, and Community Energy, Inc. for their partnership in creating this win-win deal for Philadelphians.”

Reports: Exxon May Want To Power Itself With Solar And Wind – And Is Close To Signing A PPA

By Frank Andorka, Senior Correspondent

It’s as if Apple started using a Microsoft operating system.

Exxon, one of the world’s largest oil-and-gas corporations, put out a request-for-proposal for contracts on at least 100 MW of solar and wind power, and possibly up to 250 MW for the right contracts.

The contracts would be for between 12 and 20 years long, according to Bloomberg reporters who have seen the confidential RFP. It’s also unclear whether the power is intended to fuel the company’s Irving, Texas, headquarters or whether Exxon would re-sell the power to other offtakers.

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It’s not unusual to see oil companies dabble in renewable energy. After all, as Bloomberg points out, Shell and BP have already (re)entered the solar markets and are actively exploring entering wind. But Exxon, the legacy company of John D. Rockefeller’s oil conglomerate, has long held to the precept that it should stick with what it knows.

There is no indication of what has changed the company’s mind, but if Exxon joins the renewable revolution, its importance can’t be overestimated. As Kyle Harrison, a New York-based analyst at Bloomberg NEF, said:

I have never seen an oil and gas company doing a corporate PPA anywhere near that size. If you’re seeing the biggest oil and gas companies going out and making investments in clean energy, it shows that renewables are cost-competitive. This can be a way for them to show a commitment to sustainability without suffering economically.

It would indeed be something of a game-changer, particularly in Texas (where the RFP is for). Texas is one of the largest wind-producing states in the country, and even solar is becoming cost-competitive with coal in the Lone Star State. What a revolution it would be to see this once and future oil capital of the world slowly but surely move on toward a renewable future. You’d expect that kind of future in states like California and Arizona (and even Massachusetts). But in Texas? A move to renewables – especially by a company like Exxon – would really change the conversation around renewable energy, in the best way possible.