EDF Renewable Energy to buy first phase of 500MW wind project in US

22 July 2013 (Last Updated July 22nd, 2013 18:30)

EDF Renewable Energy has agreed to acquire the first phase of the 500MW Hereford Wind Project in Texas, US, from Lincoln Renewable Energy.

Wind turbine

EDF Renewable Energy has agreed to acquire the first phase of the 500MW Hereford Wind Project in Texas, US, from Lincoln Renewable Energy.

The first phase includes 200MW and the agreement also provides an option to acquire the 300MW second phase.

Construction of the first phase is expected to start later in 2013 to qualify for the production tax credit (PTC).

The project will be developed on 15,000 acres of land in Deaf Smith County south-east of the town of Hereford.

Upon completion, the plant will be interconnected to competitive renewable energy zone (CREZ) transmission lines linking the wind generating capacity of the Texas panhandle to high electricity demand areas in the state.

"Construction of the first phase is expected to start later in 2013 to qualify for the production tax credit (PTC)."

EDF is also in advanced talks to secure a long-term, fixed-price hedge agreement for the anticipated energy production of the first phase of the project.

EDF Renewable Energy executive vice-president Ryan Pfaff said the PTC extension in early 2013, along with the CREZ transmission build-out, creates an opportunity for the company to expand its presence in the Texas panhandle.

"We applaud the Public Utility Commission of Texas for their vision in implementing the CREZ transmission project, which will provide access-to-market for low-cost, clean renewable energy, and in turn spur economic development at the local level," Pfaff said.

EDF said it will soon expand its installed wind capacity in the Texas panhandle to 972MW, following on from the 161MW Spinning Spur and 150MW Bobcat Bluff projects commissioned in December 2012, and the 161MW Spinning Spur II project presently under construction.


Image: EDF is planning to expand its installed wind capacity in Texas Panhandle to 972MW. Photo: courtesy of FreeDigitalPhotos.net.

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