Texas-based electric utility Luminant will buy electricity from the Foard City wind farm of Innergex Renewable Energy Inc (TSE:INE) under a 300-MW power purchase agreement (PPA), the Canadian developer said today.
Innergex expects to issue full notice to proceed with construction in the final quarter of the year. Commercial operation is seen to start in the third quarter of 2019. Then the 350-MW wind farm in Foard County, Texas can start sales under the Luminant PPA, whose term is 12 years.
An interconnection agreement for the wind project has been reached recently with Electric Transmission Texas LLC. Innergex said it has completed site control, the environmental impact assessments (EIAs), and the signing of local property tax abatement agreements.
Because of on-site activities performed since 2016, the Foard City project should be eligible for production tax credits (PTCs). Discussions with financiers regarding tax equity and debt financing are in progress.
Innergex said it chould surpass 2 GW of installed capacity by 2020.