The construction of the $1bn 250MW solar power project, called Silver State South, has begun in the Mojave Desert, Nevada, the US.
The project will tap solar energy using panels spread across almost four square miles of federal land in Las Vegas.
Under a long term agreement, the power generated from Silver State South will be distributed to Southern California Edison.
The project is slated to be completed in 2016, and would generate electricity sufficient to power around 80,000 homes in California.
NextEra Energy Resources' subsidiary will own and operate the plant.
NextEra Energy Resources president and CEO said: "Renewable energy sources such as solar power play an important role in the future energy mix in this country.
"We look forward to working with First Solar and Southern California Edison to make this project a reality."
The federal Bureau of Land Management chief Neil Kornze was quoted by Associated Press (AP) as saying, "The Silver State South Solar Project is another step forward in using clean and abundant energy resources to make energy and create good-paying jobs."
Since 2009, the federal bureau has given its approval to more than 50 renewable energy projects across the country, reports AP.
Silver State South is expected to be of the same size as another 250MW project, which broke ground in March this year and is being built on Moapa Paiute tribal land.
The Silver State South project is being built close to a 50MW Silver State North plant, which is located near Primm.
Owned by Canadian firm Enbridge, Silver State North sells electricity to NV Energy, which distributes the power in the Las Vegas area.
Many solar power projects have been proposed to be constructed in the southern part of Nevada, and several are already under construction, especially in the Eldorado Valley and outside the Nye County.