SWEPCO gets Louisiana's nod for 810 MW wind buy, plans 200-MW solar RfP

The Louisiana Public Service Commission (LPSC) has approved Southwestern Electric Power Co’s (SWEPCO’s) plan to buy into a 1,485-MW wind project portfolio in Oklahoma that will supply electricity to the utility’s clients in several states.

The subsidiary of utility American Electric Power Company Inc (NYSE:AEP) wants to acquire 54.5% stakes in three power plants, collectively called the North Central Energy Facilities. The capacity to be purchased amounts to 810 MW. Simultaneously, the Public Service Company of Oklahoma (PSO), SWEPCO’s sister company, will buy the remaining 45.5% in the wind cluster. The assets are planned to deliver power to the two AEP units’ customers in Arkansas, Louisiana, Texas and Oklahoma.

SWEPCO announced LPSC’s approval on Wednesday, two weeks after its plan was given the green light by regulators in Arkansas. For its part of the deal, the utility will invest USD 1.01 billion (EUR 917.6m). Under the LPSC’s ruling, the share of megawatts that Louisiana will receive from the project could be increased to 464 MW from the original 268 MW. Texas is still reviewing the proposal.

The Federal Energy Regulatory Commission (FERC) has given the thumbs-up to the acquisition of the wind facilities by SWEPCO and PSO. All assets in question have been developed by Chicago-based Invenergy. Their actual acquisition by SWEPCO and PSO will take place upon the completion of the schemes in 2020 and 2021.

SOLAR EXPANSION

Separately, SWEPCO said it intends to launch a request for proposals (RfP) for up to 200 MW of solar power capacity in its service territory. Construction of those projects has to be initiated within the next three years.

(USD 1.0 = EUR 0.908)

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