The Lost Hills project construction could start in early 2014
TEMPE, Ariz.--First Solar, Inc. (Nasdaq: FSLR) and the City of Roseville, California, today announced they have signed a power purchase agreement (PPA) for 32MWAC of solar electricity to be generated at the Lost Hills photovoltaic power plant that First Solar is developing and will construct in Kern County, California.
The 10-year PPA is First Solar's first such agreement with a municipal utility, and is effective in 2015. The PPA was approved by the Roseville City Council on July 17, 2013.
The Lost Hills project construction could start in early 2014, and is expected to create up to 200 jobs at its peak.
"We are proud to add this project to Roseville Electric's portfolio," said Brian Kunz, First Solar's Vice President of Project Development. "It will help the city reach its state renewable energy goals, while giving residents the benefit of clean, affordable electricity."
Roseville Electric purchased 325,000 MWH of renewable energy for $24 million for 10 years. The contract cost $6.5 million less than similar renewable energy purchase offers in 2012.
"We are pleased to acquire renewable electricity to help us reach the state's requirement for 33 percent by 2020," said Roseville Electric Utility Director Michelle Bertolino. "As a community-owned utility, contracts such as this help minimize the cost impact on our customers while maintaining highly reliable service."
Under the agreement, Roseville will receive 100 percent of the Lost Hills power plant's output for the first four years of the agreement; it will then decline to a smaller percentage of the output. First Solar has an additional PPA for Lost Hills' output with Pacific Gas and Electric, which goes into effect in 2019.
In its first year, Lost Hills will produce enough clean, renewable energy to power more than 11,000 homes, offsetting more than 20,000 metric tons of CO2 annually, which is the equivalent of taking about 4,000 cars off the road each year, and displacing over 18,000 metric tons of water consumption annually.
About Roseville Electric
Established in 1912, Roseville Electric is the City's electric utility provider. Its 130 employees proudly serve more than 55,000 residential and business customers located in Placer County, just east of Sacramento. As a community-owned utility, Roseville Electric's primary purpose is to provide highly reliable electricity to the businesses and residents of Roseville.
About First Solar, Inc.
First Solar is a leading global provider of comprehensive photovoltaic (PV) solar systems which use its advanced module and system technology. The company's integrated power plant solutions deliver an economically attractive alternative to fossil-fuel electricity generation today. From raw material sourcing through end-of-life module recycling, First Solar's renewable energy systems protect and enhance the environment. For more information about First Solar, please visit www.firstsolar.com.