Amazon HQ2, Arlington County to both purchase power from this solar site in Virginia

Arlington County, Virginia. USA.

Here’s a cool deal: Pittsylvania County, Virginia, will be the home of a new 120-MW solar farm that will support both Amazon’s massive HQ2 and accompanying operations in state as well the government operations of nearby Arlington County. Dominion Energy is expected to begin construction in 2020 with completion planned for the summer of 2021 and full operations to kick in 2022. The solar farm site is between Danville and Lynchburg and is currently primarily agricultural land.

Arlington County is purchasing output from nearly one-third of the solar farm via Dominion Energy Virginia; and, under a separate agreement, as majority buyer, Amazon is purchasing the remaining 82 MW of the project, which is expected to generate 172,500 megawatt hours (MWh) of renewable energy annually. It will be Amazon’s tenth renewable energy project in the Commonwealth of Virginia.

For Arlington County, its portion of the production will support more than 80 percent of the electricity used annually for all County buildings, streetlights, traffic signals, water pumping, and wastewater treatment. The project goes beyond the County’s adopted Community Energy Plan goal of having at least 50 percent of the electricity for County operations come from renewable sources by 2022.

“This is a groundbreaking partnership for the County,” said County Board Chair Libby Garvey. “It will take us a long way toward our goal of 100 percent use of renewable sources for all electricity used in government operations by 2025.”

[button link=””]Don’t miss our Mounting Guide coming in May — subscribe to Solar Builder magazine (print or digital) for FREE today[/button]

County deal details

The agreement will not require any capital funding or upfront costs from the County. The solar farm will generate electricity that Dominion sells into the wholesale electric grid at market rates. The price for the delivered energy and renewable attributes will be the difference between the wholesale power price and the contract fixed price. Arlington County is the first locality in the Commonwealth to enter into a power purchase agreement of this scale for off-site solar energy with an investor-owned utility company.

For the first year, the net credit or cost will be estimated based on price forecasts and estimates of electricity production. In each subsequent year, the credit or cost will be reset based on the previous year’s actual production and costs.

Arlington County currently pays Dominion Energy for electricity. Over time, this agreement is expected to be cost neutral. The project will have no impact on customer rates.

Listen to more in-depth conversations on Solar Builder's YouTube channel

Our most popular series include:

Power Forward! | A collaboration with BayWa r.e. to discuss higher level industry topics.
The Buzz | Where we give our 2 cents per kWh on the residential solar market.
The Pitch | Discussions with solar manufacturers about their new technology and ideas.

Tags: , , , ,

Comments are closed here.