Long Island Power Authority Approves 50 MW Solar Project

The Long Island Power Authority (LIPA) Board of Trustees has approved power purchase agreements (PPAs) with BP Solar and enXco Development Corporation, creating the state's largest source of solar power on Long Island. LIPA's Solar Energy Project will introduce approximately 50 megawatts (MW) of renewable energy generated on Long Island onto LIPA's electric grid. LIPA will enter into PPAs with BP Solar and enXco Development Corp. to provide 32 MW and 17 MW of energy, respectively.

In February 2009, LIPA officials announced the results of a competitive procurement process to install photovoltaic arrays, selecting BP Solar and enXco Development Corp. to provide LIPA with capacity, energy and associated renewable energy credits (RECs) from solar arrays to meet LIPA’s renewable energy goals. Both PPAs require the companies to construct, operate and maintain the project and achieve full operation by mid 2011.

BP Solar will construct its ground-mounted solar system at a cost of $298 million over the contracted 20-year term. enXco will install solar systems on car ports within existing parking lots, at railroad stations and other facilities owned by Suffolk County owned parking lots at a cost of $125 million over the contracted 20-year term.

The effect of the costs of The Long Island Solar Energy Project to LIPA customers is equivalent to approximately .83 cents per month per customer. To defray some of the costs of the solar project, LIPA is actively pursuing funding under the American Recovery and Reinvestment Act in the amount of $15 million dollars and has already secured federal appropriations in the amount of $1.75 million. (RenewableEnergyWorld.com, 12/18/09)