One of the world’s largest solar companies, Canadian Solar, announced this week that it had completed the sale of a portfolio of Californian solar projects worth 235 megawatts (MW) to Korea’s largest electric utility Korea Electric Power Corporation.
Canadian Solar announced on Tuesday that it had completed the sale of its interests in three Californian solar PV projects held by its subsidiary Recurrent Energy to Korea Electric Power Corporation (KEPCO), the country’s largest electric utility with an installed capacity of 79 gigawatts. Specifically, KEPCO has acquired interests in the 100 MW Astoria project, the 75 MW Astoria 2 project, and the 60 MW Barren Ridge project, each located in southern California.
This is KEPCO’s largest investment in the US solar market, but the Korean utility is expecting to do further business with Canadian Solar in the future.
“These high-quality solar assets are a strategic addition to our renewable energy holdings and will allow us to further diversify our generation portfolio,” said Mr. Bong-soo Ha, executive vice president and chief global business officer, KEPCO. “We expect further cooperation with Canadian Solarand are also pleased to be working with an industry-leading developer like Recurrent Energy as we grow our presence in the attractive U.S. solar market.”
The two Astoria projects are located in Kern County and generate enough clean electricity to supply more than 43,000 homes. The electricity from the Astoria project is being purchased by PG&E under a long-term Power Purchase Agreement, while electricity and associated Renewable Energy Certificates for the Astoria 2 project have been purchased by the Southern California Public Power Authority and four of its members.
Meanwhile, the 60 MW Barren Ridge project, also located in Kern County, generates enough clean electricity to supply more than 25,000 homes and is supplying the electricity through a PPA with The Los Angeles Department of Water and Power.
“Traditional investors increasingly view utility-scale solar as a strategic investment, and this transaction with a global energy leader highlights that trend,” said Shawn Qu, chairman and chief executive officer of Canadian Solar. “The Recurrent Energy team continues to create value through deals with world-class investors that monetize our quality U.S. solar project assets.”