Xcel stalks 700MW of wind PPAs
Approval sought on trio of deals at plants in Texas, Oklahoma and New Mexico
Xcel Energy’s Southwestern Public Service Company is seeking approval to buy almost 700MW of additional wind energy through three purchase agreements in New Mexico.
The deals will save Texas-New Mexico customers more than $590m in fuel costs over 20 years and cover three facilities, the company said.
The 199MW Mammoth Plains and 249MW Palo Duro wind farms by NextEra Energy are planned for Dewey and Blaine counties, Oklahoma, and Hansford and Ochiltree counties, Texas, respectively. The 250MW Roosevelt Wind Ranch by Infinity Wind Resources will be sited in Roosevelt County, New Mexico.
Southwestern chief executive Riley Hill said: “We started shopping for more wind energy in March after seeing some very good prices on the market. We are making these acquisitions purely on economics and the savings we can deliver to our customers.”
Hill pointed out that the favorable pricing is partly the result of a federal production tax credit that Congress extended for one year, applicable to facilities that kick off onstruction before the end of this year.
Image: the 20-year PPAs will cover the output of three facilities (sxc.hu)