Exercising its usual busy business practices, SunEdison made two large announcements this week starting with the agreement it has entered into with JPMorgan Capital to fund around US$60 million in project financing for SunEdison solar deals in the U.S. The agreement will be funded through SunE Solar Fund X and used towards the financing of several megawatts of solar projects in the commercial and government sectors throughout the United States.
SunEdison will finance, construct, monitor and maintain PV power plants at host locations through SunE Solar Fund X. The hosts for these solar locations will buy the energy produced at prices that will be at or below retail rates. JPMorgan’s financing will be the catalyst for clients to experience the benefits of solar without the upfront capital costs that are usually connected to solar installations.
“JPMorgan is excited about this opportunity with SunEdison, a key developer in solar, to finance photovoltaic power plants with commercial and government power purchasers,” said John Eber, head of energy investments for JP Morgan Capital.
In addition to its contract with JPMorgan, SunEdison has also finalized a contract with CPS Energy for SunEdison’s first utility scale solar installation in Texas. Located in the San Antonio area, SunEdison will build, own and operate three solar production facilities in the CPS service district, which total 30MW. Construction of the plants is expected to commence in 2011.
“We are pleased to provide this long-term, renewable energy solution for our customers,” said CPS Energy Chief Sustainability Officer Cris Eugster. “In addition to helping us meet our goal to provide 100MW of solar generation by 2020, we’re also looking to SunEdison to be a key partner in transforming San Antonio into a national hub for solar energy.”