RICHMOND, Va., Sept. 15, 2014 /PRNewswire/ -- Dominion (NYSE: D) announced an agreement to acquire two solar energy projects totaling 42 megawatts from EDF Renewable Energy, one of North America's largest independent power producers and renewable energy project developers. The acquisitions of the California projects are expected to close in 2015.
The Cottonwood project, with solar sites located in Kings, Kern and Marin Counties, has secured a 25-year power purchase agreement (PPA), interconnection agreements and engineering, procurement, construction (EPC) contracts. The company anticipates that the 24-megawatt solar energy facility will come online in the first half of 2015.
The Catalina Solar 2 project, located in Kern County, has secured a 20-year PPA, an interconnection agreement and an EPC contract. The 18-megawatt solar energy facility is expected to enter service in the second quarter of 2015.
David A. Christian, chief executive officer of Dominion Generation, said:
"These planned acquisitions would increase our renewable energy generation and align with our portfolio of regulated and long-term contracted assets. We are working to identify additional solar projects to boost Dominion's renewable energy portfolio and support our long-term growth plan."
The Cottonwood and Catalina Solar 2 projects are expected to qualify for the federal Investment Tax Credit.
Earlier in 2014, Dominion announced agreements to purchase solar energy projects totaling 159 megawatts in California, including the 20-megawatt CID solar energy project from EDF Renewable Energy. All of these projects are under construction and are expected to be operational by late 2014.
With the anticipated addition of Cottonwood and Catalina Solar 2, Dominion's total contracted solar generating portfolio would consist of 274 megawatts. The company has developed or is developing utility-scale solar energy facilities in California, Connecticut, Georgia, Indiana and Tennessee. Additionally, in Virginia, the company's Dominion Virginia Power electric utility is implementing the Solar Partnership Program. Under that program, Dominion will construct and operate up to 30 megawatts of company-owned solar facilities on leased rooftops or on the grounds of commercial businesses and public properties throughout the Virginia service area.
Dominion is one of the nation's largest producers and transporters of energy, with a portfolio of approximately 23,600 megawatts of generation, 10,900 miles of natural gas transmission, gathering and storage pipeline, and 6,400 miles of electric transmission lines. Dominion operates one of the nation's largest natural gas storage systems with 947 billion cubic feet of storage capacity and serves utility and retail energy customers in 10 states.
This Dominion news release includes certain "forward-looking information." Examples include information as to expectations, beliefs, plans, goals, objectives and future financial or other performance or assumptions concerning matters discussed in this release. Our business is influenced by many factors that are difficult to predict, involve uncertainties that may materially affect actual results and are often beyond our ability to control or estimate precisely. We have identified and will in the future identify in our SEC Reports on Forms 10-K and 10-Q a number of factors that could cause actual results to differ from those in the forward-looking statements. We refer you to those discussions for further information. Any forward-looking statement speaks only as of the date on which it is made, and we undertake no obligation to update any forward-looking statement to reflect events or circumstances after the date on which it is made.