US-based electric power company Southwestern Electric Power (SWEPCO) has announced that the Public Utility Commission of Texas (PUCT) has rejected its plan to add 810MW of wind energy.

The firm is seeking to acquire 54.5% stake in three wind farms, collectively known as the North Central Energy Facilities located in north central Oklahoma, with an investment of $1.01bn.

The remaining 45.5% in the wind portfolio will be acquired by the utility’s sister company, Public Service Company of Oklahoma (PSO).

The two companies will acquire the projects at their completion over the next two years.

The wind project will supply electricity to the SWEPCO’s clients in Arkansas and Louisiana

SWEPCO president and chief operating officer Malcolm Smoak said: “It is disappointing that our customers in East Texas and the Panhandle will not have access to this major wind project, missing the opportunity for long-term cost savings and making it more difficult for businesses, residents and communities to meet their renewable energy goals.

“However, today’s decision by the PUCT does not affect the project’s full viability. We appreciate the approvals we received from the Arkansas Public Service Commission and the Louisiana Public Service Commission, and we look forward to bringing this low-cost renewable energy to our customers in Arkansas and Louisiana.”

Although the proposal has not been cleared in Texas, the full wind project is expected to supply electricity to the SWEPCO’s clients in Arkansas and Louisiana, as it has already received regulatory approvals in those states.

The approval provisions given by the Arkansas Public Service Commission and Louisiana Public Service Commission, include increase the number of megawatts allocated to them if one state does not approve the proposal.

Additionally, SWEPCO and PSO have received approval from the Federal Energy Regulatory Commission (FERC) for the acquisition of the wind facilities.

In May this year, SWEPCO secured approval from the Louisiana Public Service Commission (LPSC) for wind projects.