US utility Dominion Energy has invited bids for up to 500MW of new renewable generation in Virginia from solar and onshore wind farms.
The new projects are part of the larger plan from Dominion Energy to develop 3GW of new solar and wind power generation under the new Grid Transformation & Security Act (GTSA) of Virginia.
The utility has targeted to achieve the 3GW of new solar and wind energy generation under development or in operation by early 2022. Once commissioned, the new renewable generation will be able to meet the power consumption needs of 750,000 homes.
In order to fulfill the long-term commitment, the utility plans to issue a Request for Proposals (RFP) each year until the targeted generation is met. This will be similar in timing and content to the solicitation released for the 500MW generation.
Dominion Energy, in a statement, said: “Today’s announced Solar and Onshore Wind RFP is soliciting bids for energy, capacity and environmental attributes including Renewable Energy Certificates, for new solar and onshore wind facilities at least 5 megawatts (ac) in size. The facilities must be located in Virginia to be considered.”
The utility said that the proposals can be for power purchase agreements and/or the acquisition of development projects. In the RFP, the company has outlined the proposal requirements along with the power and asset purchase agreement terms, and the price and non-price evaluation criteria.
The proposed projects under the tender will require a commercial operations date in 2020, said Dominion Energy.
It further said that interested parties have to express their intent to bid by 2 November 2018 while final asset purchase and power purchase proposals will be due by 13 December 2018 and 14 March 2019, respectively.
Dominion Energy said that the GTSA, which became law on 1 July 2018, will enable the largest increase of renewable energy resources in Virginia’s history. The GTSA includes provisions for $200m in bill credits to consumers along with $125m in annual rate cuts due to tax relief and other benefits.