US Utility Launches Call For Over 1 GW Clean Energy Capacity

• Appalachian Power has issued 3 separate RFPs seeking renewable energy projects 
• A total of up to 1.1 GW of capacity needs to come from wind, solar and BESS facilities 
• It also seeks to purchase renewable energy credits produced from eligible renewable energy resources under the 3rd RFP 

Part of the American Electric Power (AEP) group, US utility Appalachian Power (APCo) has invited proposals for more than 1 GW of new clean energy capacity from wind, solar and battery energy storage systems (BESS) to meet its future energy needs. 

The 1st request for proposals (RFP) seeks up to 800 MW of wind and/or solar resources along with co-located as well as standalone BESS via one or more purchase and sale agreements (PSA) for 100% equity in the project company. 

Preference will be accorded to projects located within Virginia or West Virginia on eligible sites that are defined as those previously used for electricity generation, industrial, manufacturing or mining operations. They may not be limited to brownfields, closed landfills, hazardous waste sites, former industrial sites and former mining sites. 

The minimum project size under the RFP is 50 MW for wind and solar and 10 MW for BESS. 

These may be completed or under development provided such facilities can come online latest by December 15, 2028. 

APCo's 2nd RFP relates to up to 300 MW of wind and/or solar via one or more power purchase agreements (PPA). The utility aims to purchase the energy, capacity and environmental attributes, including renewable energy certificates (REC) from the project. Solar power projects with a minimum size of 5 MW and wind energy projects with 50 MW capacity can apply. These need to come online by December 31, 2028.   

Eligible projects under both RFPs need to be connected to the PJM Interconnection or APCo distribution system. 

The 3rd RFP is for RECs produced from eligible renewable energy resources. Bidders can submit proposals for contract terms between 5 years and 30 years beginning January 1, 2027. 

Launched on May 13, 2024, APCo will admit proposals to its RFPs till July 16, 2024. The details of the 3 RFPs are available on its website.  

APCo is required to deliver 100% carbon-free energy to its Virginia customers by 2050 under the Virginia Clean Economy Act (VCEA). The utility currently provides electricity to 1 million customers in Virginia, West Virginia and Tennessee. Its close to 29 GW diversified electricity generation portfolio comprises nearly 6 GW of renewable energy.