AEP Ohio, a unit of American Electrical Power, has entered into a memorandum of understanding to negotiate a long-term power purchase agreement for solar energy with Turning Point Solar.

Under the agreement, AEP Ohio would purchase, through a 20-year agreement, all of the output including renewable energy credits from the 49.9MW solar facility, to be built in southeastern Ohio, US.

The development of the solar plant will take place in three phases over three years.

About 20MW is expected to be in operation by late 2012.

An additional 15MW will be added by the end of 2013 and the remaining 14.9MW will be online by the end of 2014.