Dominion Virginia Power will build a 21MW direct current (DC) solar energy facility at Naval Air Station Oceana in Virginia Beach, Virginia.
The project partners also include the Department of the Navy and the Commonwealth of Virginia.
Dominion is seeking Certificate of Public Convenience and Necessity permissions from the State Corporation Commission. The solar plant is expected to be completed and operational in 2017.
The Navy will provide the 100 acres of the land where 179,000 solar panels will be installed. The Navy will in turn receive an alternative electric feed, which will add to its power independence.
The solar facility is expected to produce enough electricity to light up 4,400 US households.
Dominion Virginia Power chairman, president and CEO Thomas F. Farrell II said: "Solar is an integral part of Dominion's commitment to renewable energy.
"The Oceana solar facility, along with four other large solar facilities we have announced in Virginia, will bring clean energy to the state, new jobs and other economic benefits.
“Partnerships like the ones highlighted with the Department of Navy and the Commonwealth help to make our state a more attractive place to live, work and do business. We are very proud of what we have collectively accomplished today."
It is the second time that Dominion and the Navy have collaborated on. The first project was at Morgans Corner, which produces 25MW of power.
Navy Secretary Ray Mabus said: "Not only did we meet the one gigawatt (GW) goal ashore five years early, we surpassed it – reaching 1.1 GW by the end of last year.
“In doing so we've achieved $90 million in nominal energy cost savings, $62 million in energy security hardware upgrades to bases, 170 megawatts of access to power during outages and 22 million tons of CO2 abated. And we are just getting started.
"Today, the State of Virginia, the Hampton Roads community, Dominion Virginia Power and our Navy and Marine Corps are joining together to add to our success, to protect the future of NS Norfolk and NAS Oceana, and to enhance national security for the American people."