Solar Power
Plutonic Power Corporation is proposing to enter the Ontario solar energy market. Plutonic and its partner, GE Energy Financial Services, have agreed to acquire a 50-megawatt portfolio of three solar energy farms from First Solar, Inc., an Arizona-based solar panel manufacturer.
Plutonic will contribute about $6 million and serve as the projects’ managing partner. Construction of the facilities is expected to begin by mid-2011.
“Expanding into both a new market and a new technology represents significant growth for Plutonic,” said Donald McInnes, vice-chairman and CEO of Plutonic, in a statement. “Our solid relationship with GE Energy Financial Services enabled this expansion into our third joint near-term operating asset.”
Plutonic and GE jointly own the East Toba River-Montrose Creek run-of-river power project in the Toba Valley and the Dokie wind farm near Dawson Creek, the largest wind farm in BC. Toba-Montrose, which went online in the spring and summer of 2010, is the largest independent, run-of-river hydro project in BC.
“This transaction is GE Energy Financial Services’ first solar investment in Canada, broadening our US$6 billion renewable energy portfolio and supporting our strong partnership with Plutonic,” said Mark Tonner, managing director and Canada business leader at GE Energy Financial Services. “We see significant growth potential for solar power worldwide, which continues to improve on technology costs and efficiencies and helps balance wind-generated power, which peaks at different times.”
First Solar will continue developing the three facilities: Amherstburg, 10 megawatts; Belmont, 20 megawatts; and Walpole, 20 megawatts. First Solar will arrange debt for the project on behalf of Plutonic and GE and will provide engineering, procurement and construction services and operations and maintenance services under long-term contracts.
The projects, which are expected to create more than 600 construction jobs, will sell their power to the Ontario Power Authority under 20-year energy purchase agreements.
The facilities could produce enough electricity to power approximately 6,300 homes. Ontario, which is the largest market in Canada, has committed to ending its coal-powered energy generation.
Plutonic and GE have also signed a 40-year electricity purchase agreement with BC Hydro for the 124-megawatt Upper Toba Valley hydroelectric project. The project consists of two run-of-river facilities, Upper Toba River and Jimmie Creek. It has received environmental assessment permits and will use the same transmission line as the East Toba River-Montrose Creek project.
