EDF, Shell ink PPA for part of 500-MW solar complex in California

EDF Renewables North America will sell 100 MW of power from the 500-MW Palen solar project in California to Shell Energy North America US LP (SENA), it was announced on Wednesday.

The parties have signed a 15-year power purchase agreement (PPA) that calls for SENA to buy electricity and associated renewable attributes from the contracted capacity. The solar farm itself, previously known as Maverick 4, will cover up to 3,140 acres of lands administered by the US Bureau of Land Management (BLM) in eastern Riverside County. It is expected to become operational by end-2020.

The Palen project was initially owned by a subsidiary of Solar Millenium which went bankrupt in 2012. The scheme was subsequently acquired by BrightSource Energy Inc, which later partnered with Spanish group Abengoa SA (BME:ABG). EDF estimates that the scheme will require a total infrastructure investment of around USD 1 billion (EUR 881.9m).

Earlier this month, BLM awarded a Record of Decision (ROD), which was the final step in the federal permitting process for the project. The original application was submitted some 10 years ago and included a solar power tower, while EDF opted for changing the proposed technology to solar photovoltaic (PV) after buying the scheme from Abengoa at the end of 2015.

(USD 1.0 = EUR 0.882)

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