Renewables developer Pattern Energy Group LP on Monday announced the signing of a long-term power purchase agreement (PPA) for a portion of the electricity that will be generated by the massive 3,500-MW-plus SunZia Wind project in New Mexico.
The off-takers are Shell Energy North America (US) LP and the Regents of the University of California, or UC Regents. Pattern Energy did not give more information about the terms of the contract.
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SunZia Wind, which is considered to be the largest wind project in the Western Hemisphere, will be realised in New Mexico’s Torrance, Lincoln, and San Miguel Counties. It comes hand in hand with another big project, namely SunZia Transmission, which involves the construction of a 550-mile high-voltage direct current (HVDC) power line between central New Mexico and south-central Arizona capable of transmitting about 3,000 MW of electricity.
Pattern Energy pointed out that the SunZia Transmission project will allow the planned wind power complex to help meet the high demand for electricity in Arizona and California during the early evening hours when the available renewables supply is low.
Both projects are still in the process of securing the needed approvals from federal agencies, local jurisdictions and stakeholders, though, the developer expects construction work to be initiated on schedule later this year. Completion is planned for 2026.
In early April, Pattern Energy quoted an independent study saying that the two projects are estimated to generate USD 20.5 billion (EUR 18.85bn) in total economic benefit. A month later, the company announced the appointment of contractors.
(USD 1.0 = EUR 0.919)