PSEG Solar Source Continues Shopping Spree with Two More Acquisitions
Unregulated utility picks up a pair of utility-scale solar projects in North Carolina
PSEG Solar Source is adding to its growing portfolio of utility-scale solar projects by purchasing two new facilities in North Carolina.
With an investment of $74.6 million, the unregulated subsidiary of PSEG Power is buying two solar farms with a total capacity of 47 megawatts. The two projects are under construction and are expected to be operational later this year, the company said.
For PSEG Solar Source, the latest acquisitions bring to 21 the number of utility-scale solar projects it owns in 13 states, including five in North Carolina and one in New Jersey in Hackettstown at Mars Snackfoods U.S. headquarters. The total investment by the company is approximately $800 million, according to Mike Jennings, a spokesman.
In less than two years, the company has nearly doubled the number of solar facilities it owns. In 2015, it had 11 projects with a total capacity of 140 megawatts. It now has 326 megawatts with another 70 megawatts under construction at four additional sites, Jennings said.
PSEG Solar Source builds, owns, and operates large-scale solar facilities outside the franchise territory of Public Service Electric & Gas, a sister company. Both are owned by Newark-based Public Service Enterprise Group.
In recent years, PSEG has invested heavily in solar, both from its regulated utility and unregulated PSEG Solar Source. PSE&G has built about 125 megawatts of solar capacity inside its franchise territory, spending over $760 million. Late last year, the utility also won approval to spend another $80 million to build another 33 megawatts of solar capacity from state regulators.
The two facilities acquired most recently have a 10-year power purchase agreement with Virginia Electric and Power On and were purchased from BayWa r.e.
“These are important transactions for us, as we continue to expand our solar portfolio across the country,’’ said Diana Drysdale, president of PSEG Solar Source.
BayWa r.e. will operate the two facilities for PSEG when each goes online, according to the companies.