Lightsource bp to build 298-MW solar farm in Colorado

Lightsource bp on Wednesday said it is developing a second solar project in Pueblo, Colorado under a power purchase agreement (PPA) with Minneapolis-based utility Xcel Energy (NASDAQ:XEL).

The UK-based solar developer half owned by BP Plc (LON:BP) will finance, build, own and operate the 298-MW Sun Mountain Solar farm, which is expected to move into construction before the end of the year. The electricity generated, sufficient to power 53,540 homes, will be sold under a long-term PPA with Xcel Energy.

With this project Lightsource bp will have about 600 MW of contracted solar assets in Colorado. Sun Mountain adds to the recently dedicated 300-MW Bighorn Solar project, which powers Evraz North America’s steel mill in Pueblo. Bighorn Solar sells its output to Xcel Energy under a 20-year PPA, while Evraz has arranged with the utility to receive renewable power and price certainty through 2041.

The two solar power plants represent a total investment of more than USD 500 million (EUR 430m), the developer said.

The new PPA supports Xcel Energy’s Colorado Energy Plan to reach 55% renewable energy on the grid and cut carbon emissions 60% by 2026, as well as Colorado’s targets of reducing emissions 26% by 2025, 50% by 2030 and 90% by 2050.

(USD 1 = EUR 0.861)

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