Shell turns to NextEnergy Capital for US solar PPA

Share on facebook
Facebook
Share on twitter
Twitter
Share on linkedin
LinkedIn
Share on reddit
Reddit
Share on email
Email
Shell's solar interests in the US also include a minority stake in developer Silicon Ranch. Image: Shell.

NextEnergy Capital (NEC) has entered into two separate ten-year power purchase agreements with Shell Energy North America for the power from two US-based solar farms.

The deal will see Shell Energy North America, the US and Canada-facing utility and energy solutions arm of the oil and gas major, procure around 62GWh of solar each year – equivalent to approximately 90% of the portfolio’s output – from two solar farms with a combined generation capacity of 45MW.

Also included in the deal are an equivalent amount of Renewable Energy Certificates for five years.

The projects in question – Briel Farm and Fardy’s Mill, both located in Virginia – form part of NEC’s NextPower III fund’s portfolio, which amounts to 250MW.

Both projects are currently under construction with commissioning anticipated before the year’s end.

Lorena Ciciriello, managing director at NEC, described the execution of the contracts as a “landmark” for the institutional fund, adding that the company was delighted for the projects to support decarbonisation progress in a historically “coal-centric state” such as Virginia.

“We’re proud to be working with NextEnergy Capital to enable further development of renewable energy assets that provide the kind of energy solutions that society demands,” Glenn Wright, president at Shell Energy North America, said.

Shell Energy North America provides utilities, retailers and businesses with power, gas and other energy-related solutions, professing to have a generation capacity in excess of 10GW.

Shell’s wider interest in solar has continued to climb, driven by a now established goal to attain net zero status by 2050. That target will see it invest more significantly in solar PV and other renewables, seemingly expanding on a portfolio of clean energy investments that includes a stake in US-based developer Silicon Ranch.

Read Next

March 2, 2021
A round-up of solar news from across the United States, including updates from EDF Renewables, utility group Exelon and UK-based investor SDLC.
March 1, 2021
Xcel Energy has announced plans to double its renewables and battery storage capacity in Colorado by 2030, as the utility progresses with efforts to reach 100% carbon-free electricity generation across its service area by 2050.
February 24, 2021
Microinverter supplier to use proceeds to repurchase notes due 2024 and 2025 as well as other corporate purposes
February 19, 2021
A new energy strategy in Poland that aims to transition the country to a low-carbon economy by 2040 underestimates the growth potential of solar generation, PV trade associations have suggested.
February 17, 2021
Shorter purchasing contracts with private companies could be a "lucrative" short-term source of income for Poland's solar market.
February 16, 2021
Appalachian Power has issued a Request for Proposals (RFPs) for up to 300MW of solar and/or wind power, in what is the first in a series the supplier is set to issue.

Subscribe to Newsletter

Upcoming Events

Solar Media Events, Upcoming Webinars
March 9, 2021
Solar Media Events
March 17, 2021
Solar Media Events
April 13, 2021
Solar Media Events
April 20, 2021
Solar Media Events
May 11, 2021