NRG Solar, a wholly-owned subsidiary of US-based NRG Energy, has acquired a 25.65MW (AC) solar project on the island of Guam from Quantum Utility Generation's (QUG) wholly-owned affiliate Quantum Guam Power Holdings.

NRG Solar will construct, own and operate the solar project. The power output from the project will be procured by the Guam Power Authority (GPA) under two 25-year power purchase agreements (PPA).

NRG Solar president and CEO Tom Doyle said that the company has been focusing on cutting down the cost of solar energy in both the utility and distributed solar markets.

"The result of this effort provides us with opportunities like the Guam project which was successfully-developed by QUG and is now ready for NRG Solar to assume long-term ownership of the project," added Doyle.

"We are proud to partner with GPA in paving the road for the development of this and other renewable energy capacity on Guam."

According to the GPA estimates,

The project is expected to result in total fuel cost savings of over $300m and net savings of approximately $100m to GPA.