There has been a recent signing of a Power Purchase Agreement (PPA) between Capital Dynamics and Hoosier Energy. Going by the PPA terms, Hoosier Energy plans to buy the power of a capacity of 150 MW. The seller is the Capital Dynamics CEI sourcing it from its Ratts 2 greenfield solar project under development in Knox County, Indiana. It is important to note that the solar project developers are Tenaska and Arevon Energy Management, and they are working jointly. Besides developing the project, the two developers also played a role in the PPA procurement and negotiations. If things go according to the plan, the project’s development will commence in 2022, and it will be operating commercially by 2023.
According to Donna Walker, President and CEO at Hoosier Energy, the collaboration between Capital Dynamics and the company keeps it in a better position to meet its goal. It plans to have more projects, not overlooking diversity while at it, to its energy portfolio. However, the projects will be those that reduce its carbon footprint and lower the cost of energy for its customers.
On the other hand, the CEO of Capital Dynamics, Martin Hahn, is grateful for the partnership the company is in with Knox County, Ratts 2 Solar Project, and most importantly, the support it has received so far. He also went ahead to highlight some of the benefits that come with the projects. The main one was having a positive impact on the Knox County economy. Some of the ways of doing that included landowners making money from leases, creating jobs, and increasing tax revenue. The community will also get clean yet affordable energy. Martin added that Capital Dynamics is eager to work with Tenaska, Arevon Energy Management, and the county to achieve all that.
Arevon Energy Management President and CEO Tiago Sabino Dias said that the company was glad to have played a role in structuring the PPA. Consequently, Hoosier Energy has an opportunity to reduce its carbon emissions and save costs. As for Tenaska’s Strategic Development & Acquisitions Group senior vice president Steve Johnson, he appreciates Hoosier Energy’s efforts in increasing renewables energy capacity fast upon realizing that it has a cost and environmental benefits. Additionally, the company is looking forward to working with Capital Dynamics.
Last year October, Knox County Council agreed unanimously in approving the Ratts 2 Solar Project economic development. Over a period of 6 years, the county expects to receive up to $2.5 million from the same. That and long-term benefits are hard to ignore, no doubt.