MARYVILLE, Mo., Feb. 12, 2018 /PRNewswire/ -- Tenaska, one of the leading independent power producers in the United States, has signed a long-term power purchase agreement (PPA) with Associated Electric Cooperative Inc. (Associated) with a capacity of approximately 236 megawatts (MW) of renewable power from a wind project in northwest Missouri.
The Tenaska Clear Creek Energy Center project, currently in advanced development, is located near Maryville in Nodaway County. Under the terms of the 25-year PPA that was announced Monday at an event at Northwest Missouri State University, the project is anticipated to be operational in 2020.
"We are excited to be starting a new relationship with Associated, a relationship that will bring more renewable generation and significant economic benefits to the region," said Greg Kelly, president and managing director in Tenaska's Strategic Development & Acquisitions Group. "We look forward to completing development and construction of Tenaska Clear Creek and putting this project into operation."
Tenaska, based in Omaha, Nebraska, has successfully developed approximately 10,000 MW of natural gas-fueled and renewable power projects. The company has mid- to advanced-stage wind development projects in the Midwest and is considering opportunities across the United States.
Associated Electric, an electric generation and transmission cooperative based in Springfield, provides wholesale power to six regional cooperatives, including NW Electric Power Cooperative Inc. of Cameron, Missouri, and 51 local cooperative systems in Missouri, southeast Iowa and northeast Oklahoma that serve 910,000 members. Associated's diverse resource mix includes coal, natural gas, wind and hydropower.
"This agreement secures long-term, fixed and competitively priced renewable energy for our members, serving as a buffer against projected increases in fuel prices," said David J. Tudor, Associated's CEO and general manager. "With our experience managing significant amounts of wind power on our system, Clear Creek is a good fit for our power supply portfolio."
The Tenaska Clear Creek project, which will utilize Associated's strong transmission interconnections, will be comprised of 100 to 120 wind turbines able to produce 2 to 3 megawatts each. Vestas is currently anticipated to supply the wind turbines and provide maintenance services for the project. Construction is expected to begin in 2019.
Construction and operation of Tenaska Clear Creek is expected to boost the local economy, with a total estimated construction cost of $200 million to $300 million. The project will create more than 200 jobs at peak construction and up to 15 full-time jobs when operational, in addition to providing opportunities for local businesses to provide goods and services for the project.
The project is also anticipated to result in increased tax revenue of more than $1.2 million annually to local units of government, as well as diversify land use and provide stable income – estimated at more than $1.2 million annually – to landowners through lease payments.
Tenaska, based in Omaha, Nebraska, is one of the leading independent power producers in the United States. Forbes magazine ranks Tenaska among the largest privately held U.S. companies. Tenaska and its affiliates have developed approximately 10,000 megawatts (MW) of natural gas-fueled and renewable power generation and manage operations for approximately 7,000 MW of power generation consisting of nine power plants.
Tenaska formed Tenaska Clear Creek Wind, LLC to build, own and operate the Tenaska Clear Creek Energy Center.
Tenaska affiliates also market natural gas and electric power and provide energy risk management services. Tenaska is involved in asset acquisition, natural gas fuel supply and transportation systems, and electric transmission development. For more information about Tenaska, visit www.tenaska.com.
About Associated Electric Cooperative Inc.
Associated Electric Cooperative Inc. is owned by and provides wholesale power to six regional and 51 local electric cooperative systems in Missouri, southeast Iowa and northeast Oklahoma that serve 910,000 members. Associated's mission is to provide an economical and reliable power supply and support services to its members. Associated is a Touchstone Energy Cooperative.