The 12-year, virtual power purchase agreement (PPA) covers electricity and the associated renewable energy credits (RECs) from a 115 MW share of the project. Power will be off-taken by Campbell Soup Co, helping the company reduce its Scope 2 GHG emissions and progress on its 2030 target to reduce Scope 1 and 2 emissions by 42%. The contract is expected to commence in Jul’23, and as per Enerdatics’ research, marks the third PPA for the project.
In Sep’22, Enel signed a 90 MW virtual PPA for a duration of 8 years, with Thermo Fisher Scientific, a life sciences solutions provider. During the same month, Enel signed a 12-year virtual PPA with pharmaceutical company Takeda for the supply of 79 MW of electricity. Schneider Electric advised Thermo FIsher Scientific on the deal, while Takeda was advised by Edison Energy. The agreements account for 95% of the wind farm’s nameplate capacity and are representative of the increasing popularity of corporate PPAs in the US, driven by ambitious decarbonization goals of companies.
The Seven Cowboy wind farm marks Enel’s 13th onshore wind investment in Oklahoma, bringing the company’s portfolio in the state more than 2 GW in capacity and $3bn in investment. Construction on the project commenced in Mar’22, with commercial operations expected to be achieved by the end of 2022. The project is estimated to generate more than $55mn in local tax revenue and over $41mn in payments to landowners, over its lifetime.
Enel’s North American portfolio spans 14 US states and one Canadian province, with 7.8 GW of installed capacity comprising wind, solar and geothermal power plants. The company also has 830 MW of battery energy storage systems (BESS) under construction or in operation and has signed corporate PPAs with more than 25 customers, including Meta, Google, and Anheuser-Busch.
The above analysis is proprietary to Enerdatics’ energy analytics team, based on the current understanding of the available data. The information is subject to change and should not be taken to constitute professional advice or a recommendation.