Sep 28, 2020

Construction begins on 100MW solar plant in Arizona

Bizclik Editor
3 min
East Line Solar Plant in Pinal County expected to begin operations in December 2020, and provide $10m worth of tax benefits over 25 years
East Line Solar Plant in Pinal County expected to begin operations in December 2020, and provide $10m worth of tax benefits over 25 years...

Salt River Project (SRP) and sPower have started constucting a new solar plant which will generate $10 million in 25 years of tax revenue and up to 350 construction jobs to Pinal County, in Arizona.

Known as East Line Solar, the plant - expected to bring operations in December - will soon deliver 100 megawatts (MW) of solar generation to Intel Corporation’s Chandler facility, after receiving its conditional use permits in the City of Coolidge in 2019.

“sPower has proven its commitment to renewable energy for a sustainable future, and the City is fortunate to partner with the sPower team to expand in one of the regions fastest growing industrial and technology corridors," says Rick Miller, City Manager, City of Coolidge. 

"It is also gratifying to have community partners like sPower that give back to the community and work with us on our efforts to better the environment for our citizens."

The project will provide sustained tax revenue to the local community, as well as sustainable energy at a fixed price for the 25-year contracted life of the project. The estimated tax benefits total $10 million, with the highest payments coming at the onset of project operations, which infuses substantive benefits into the local communities, according to a statement. 

Additionally, up to 350 construction workers will be employed for six to seven months, while three full-time equivalent workers will be employed long-term, with a focus on hiring locally.

"We are committed to Pinal County for the long term with this low-cost, highly economically impactful project. We also seek to be a good neighbour as we develop, construct, and operate projects, and it’s important for us to integrate ourselves from the start. Recent COVID-19 relief efforts have included donations to Eloy’s Community Action Human Services and Coolidge’s Hope International Ministries," says sPower CEO, Ryan Creamer.

The development is part of SRP’s Sustainable Energy Offering, a program that gives SRP commercial customers the option to power a portion of their operations with clean, emission-free energy at an affordable price. There are now a total of 33 companies, including 21 organisations recently announced, that have signed up to receive 300 MW of solar energy provided from Arizona-based solar plants, including the sPower East Line Solar facility.

"This is a scenario that works well for all involved," said SRP Associate General Manager & Chief Customer Executive Jim Pratt. "With the East Line Solar project, we are supporting a great, locally based partner, Intel, meet its sustainability goals. We also experience many other benefits associated with utility-scale solar investment, like job creation and expansion in an environmentally sensible, growing industry."

Furthermore, the East Line Solar facility will support Intel’s Chandler Ocotillo Campus, one of the corporation’s largest global, semiconductor manufacturing sites. 

"Intel is proud to support new, renewable energy built in Arizona and we are looking forward to East Line Solar supplying our growing Arizona manufacturing operations," said Marty Sedler, Intel’s Director of Global Utilities and Infrastructure. 

"For more than a decade, Intel has been one of the top voluntary corporate purchasers of green power, currently supplying our US and European facilities with 100% green power. Our goal is to achieve 100% renewable energy use across our global manufacturing operations by 2030 and projects like East Line Solar help make green power more accessible to all,” he said.

The solar plant is also part of SRP’s growing portfolio of clean energy resources, which contribute to the utility’s 2035 Sustainability Goals, which aim to reduce carbon intensity by more than 60 percent by 2035 and by 90 percent by 2050 from 2005 levels.

Share article

Apr 23, 2021

Drax advances biomass strategy with Pinnacle acquisition

Dominic Ellis
2 min
Drax is advancing biomass following Pinnacle acquisition it reported in a trading update

Drax' recently completed acquisition of Pinnacle more than doubles its sustainable biomass production capacity and significantly reduces its cost of production, it reported in a trading update.

The Group’s enlarged supply chain will have access to 4.9 million tonnes of operational capacity from 2022. Of this total, 2.9 million tonnes are available for Drax’s self-supply requirements in 2022, which will rise to 3.4 million tonnes in 2027.

The £424 million acquisition of the Canadian biomass pellet producer supports Drax' ambition to be carbon negative by 2030, using bioenergy with carbon capture and storage (BECCS) and will make a "significant contribution" in the UK cutting emissions by 78% by 2035 (click here).

Drax CEO Will Gardiner said its Q1 performance had been "robust", supported by the sale of Drax Generation Enterprise, which holds four CCGT power stations, to VPI Generation.

This summer Drax will undertake maintenance on its CfD(2) biomass unit, including a high-pressure turbine upgrade to reduce maintenance costs and improve thermal efficiency, contributing to lower generation costs for Drax Power Station.

In March, Drax secured Capacity Market agreements for its hydro and pumped storage assets worth around £10 million for delivery October 2024-September 2025.

The limitations on BECCS are not technology but supply, with every gigatonne of CO2 stored per year requiring approximately 30-40 million hectares of BECCS feedstock, according to the Global CCS Institute. Nonetheless, BECCS should be seen as an essential complement to the required, wide-scale deployment of CCS to meet climate change targets, it concludes.

Share article