MidAmerican Solar Acquires World's Largest Solar Development from SunPower
Antelope Valley Solar Projects Will Generate 579 Megawatts for Southern California Edison
PHOENIX and SAN JOSE, Calif., Jan. 2, 2013 /PRNewswire/ -- Today, MidAmerican Solar, a subsidiary of MidAmerican Renewables, and SunPower Corp. (NASDAQ: SPWR) announced MidAmerican Solar's acquisition from SunPower of the 579-megawatt Antelope Valley Solar Projects (AVSP), two co-located projects in Kern and Los Angeles Counties in Calif. Together, the two combined projects will form the largest permitted solar photovoltaic power development in the world and will create an estimated 650 jobs during construction.
"We are pleased to be working with SunPower on this project. MidAmerican Renewables, a subsidiary of MidAmerican Energy Holdings Company, has a total portfolio of more than 1,830 megawatts of owned assets, including wind, geothermal, solar and hydro assets," said Bill Fehrman, president of MidAmerican Renewables. "We are excited about these projects because they support our core business principle of environmental respect. We are very proud to add SunPower technology to our portfolio of projects."
The Antelope Valley Solar Projects will provide renewable energy to Southern California Edison (SCE) under two long-term power purchase contracts approved by the California Public Utilities Commission.
"The Antelope Valley Solar Projects mark a historic milestone for the energy industry," said Howard Wenger, SunPower president, regions. "We are delivering highly reliable low-cost renewable energy at a very large scale. SunPower is proud to partner with MidAmerican Solar and SCE, recognized leaders in clean energy development, bringing critically needed jobs and economic opportunity to California and helping the state achieve its renewable portfolio requirement."
"SCE appreciates the opportunity to work with SunPower and MidAmerican Renewables to meet California's renewable energy goals," said Nicole Neeman Brady, SCE's director of contracts, renewable and alternative power.
SunPower developed the co-located Antelope Valley Solar Projects over the last four years. At the 3,230-acre site, SunPower will install the SunPower® Oasis® Power Plant product, fully integrated, modular solar technology that is engineered to rapidly deploy utility-scale solar projects while minimizing land use. The Oasis product uses high-efficiency SunPower solar panels mounted on SunPower® T0 Trackers, which position the panels to track the sun during the day, increasing energy capture by up to 25 percent. In addition, SunPower will be the engineering, procurement and construction contractor and will operate and maintain the facility via a multiyear services agreement. Construction of the solar project is scheduled to begin in first quarter 2013, with the plants expected to be complete by year-end 2015.
AVSP has secured final conditional use permits and has completed full environmental review pursuant to the California Environmental Quality Act.
According to estimates provided by the U.S. Environmental Protection Agency, the project is expected to offset more than 775,000 tons of carbon dioxide emissions per year, which is equivalent to removing almost three million cars from California's highways over 20 years of the plant's operation.
MidAmerican Solar's projects also include the 550-megawatt Topaz Solar Farms in San Luis Obispo County, Calif., and a 49 percent ownership interest in the 290-megawatt Agua Caliente solar project in Yuma County, Ariz.
"We are pleased to be working with SunPower on this development and look forward to establishing a mutually beneficial relationship with Southern California Edison as our customer for energy generated by this project. As we have done at our other solar project locations, we will work hard to establish positive and productive relationships with community and county neighbors and stakeholders," said Paul Caudill, president, MidAmerican Solar.
SunPower has more than 1,000 megawatts of solar power plants operating worldwide, including the first 130 megawatts of the 250-megawatt California Valley Solar Ranch, which is under construction in San Luis Obispo County, Calif.
About MidAmerican Renewables MidAmerican Renewables is a subsidiary of MidAmerican Energy Holdings Company, a global energy provider. MidAmerican Renewables owns and operates wind, geothermal, solar and hydro projects in the unregulated renewables market. MidAmerican Renewables is headquartered in Des Moines, Iowa, and has offices in Phoenix, Ariz., and Calipatria, Calif. Information about MidAmerican Renewables is available on the company's website and its Twitter, Facebook and YouTube pages, which can be accessed via www.midamericanrenewablesllc.com.
About SunPower SunPower Corp. (NASDAQ: SPWR) designs, manufactures and delivers the highest efficiency, highest reliability solar panels and systems available today. Residential, business, government and utility customers rely on the company's quarter century of experience and guaranteed performance to provide maximum return on investment throughout the life of the solar system. Headquartered in San Jose, Calif., SunPower has offices in North America, Europe, Australia, Africa and Asia. For more information, visit www.sunpowercorp.com.
SunPower's Forward-Looking Statements This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are statements that do not represent historical facts and may be based on underlying assumptions. SunPower uses words and phrases such as "will," "expected," "scheduled to," "expected to" and similar terms to identify forward-looking statements in this press release, including forward-looking statements regarding (a) the construction of the Antelope Valley Solar Projects and providing energy to Southern California Edison, (b) SunPower completing the engineering, procurement and construction ("EPC") for the projects and operating and maintaining the projects, and (c) schedule to begin construction of the projects in the first quarter of 2013 and expected completion by year-end 2015. Such forward-looking statements are based on information available to SunPower as of the date of this report and involve a number of risks and uncertainties, some beyond SunPower's control, that could cause actual results to differ materially from those anticipated by these forward-looking statements, including risks and uncertainties such as: (i) unanticipated delays or difficulties securing necessary permits, licenses or other governmental approvals, or necessary land use rights and other third party consents, and litigation related thereto; (ii) construction difficulties or potential delays in the project development and implementation process; (iii) early termination in the agreements between MidAmerican and SunPower and/or its affiliates, including the EPC agreements for the projects; (iv) the risk of continuation of supply of products and components from suppliers; (v) unanticipated problems with deploying the projects on the site, including engineering, design, procurement, installation, construction, commissioning and warranty issues; (vi) evolving law including permitting, financing, grid interconnection, technical, and other customer or regulatory requirements, and SunPower's and MidAmerican's ability to satisfy such requirements; (vii) general business and economic conditions, and growth trends in the solar power industry; (viii) the continuation of governmental and related economic incentives promoting the use of solar power; (ix) construction difficulties or potential delays in the project implementation and completion process including those caused by force majeure events and other factors; (x) changes in law impacting the federal investment tax credit; (xi) MidAmerican's ability to obtain project financing for the projects and its ability to make timely payments to SunPower in accordance with the agreed payment schedule for the projects; (xii) timely receipt of the federal investment tax credit for the projects in accordance with the expected schedule; (xiii) events that prevent or delay notices to proceed from being issued for one of the projects; (xiv) SunPower's ability to decrease the amount of its performance security for the projects and its ability to meet other security or financial obligations; (xv) SunPower's ability to meet its warranty obligations and other performance guarantees, as planned; (xvi) the timeline of revenue recognition for the projects, including its impact on SunPower's operating results; and (xvii) other risks described in SunPower's Annual Report on Form 10-K for the year ended January 1, 2012 and Quarterly Reports on Form 10-Q for the quarters ended April 1, 2012, July 1, 2012 and September 30, 2012, and other filings with the Securities and Exchange Commission. These forward-looking statements should not be relied upon as representing SunPower's views as of any subsequent date, and SunPower is under no obligation to, and expressly disclaims any responsibility to, update or alter its forward-looking statements, whether as a result of new information, future events or otherwise.
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